American Dream Downpayment Initiative Program Fact Sheet
American Dream Proposal for Fiscal Year 2004
- Providing communities throughout America with $200 million in
grants to help homebuyers with the downpayment and closing costs,
the biggest hurdles to homeownership.
- We expect the program to assist 40,000 families
Program Goal
- Increase
the overall homeownership rate, especially among minority groups
who have lower rates of homeownership compared to the national
average.
- More
than two-thirds of all Americans own their home. Fewer than
half of African-American and Hispanic families are homeowners.
- Revitalize,
stabilize communities.
Eligibility
Requirements
- The
focus is on low-income families who are also first-time homebuyers.
To participate recipients
must have annual incomes that do not exceed 80 percent of the
area median income.
- Based
on current experience in the HOME program, it is anticipated that
the initiative will help 40,000 families, with an average subsidy
of $5,000.
Program Administration
-
Will be administered as a part of HUD's existing HOME Investment
Partnerships Program (HOME). HOME helps address the shortages
of affordable rental housing and homeownership in communities
nationwide.
-
Families may use the subsidy for downpayment assistance, such
as closing costs and interest reduction.
-
More than 50 states and local governments will be eligible to
receive the $200 million in grant funding.
Program Start Date
-
The program is expected to start in August 2003.
Content Archived: April 9, 2010