Utah Approves $6,000 Grant to Home Buyers

March 22, 2009 - PRLog -- Governor Jon Huntsman signed Senate Bill 260 on March 19, 2009 to authorize Home Run Grants.

Home buyers must meet the following income restrictions:

Single person, $75,000
Married couple, $150,000
If more than one unmarried person is taking title to the Eligible Home, each such single person is subject to the $75,000 income limit.
Home buyers must occupy the purchased home as a primary, permanent residence no later than 30 days after closing.
If home buyers need a mortgage loan to purchase the home, the loan must be a fixed interest rate, amortizing mortgage loan with a term of 30 years or less.  Cash buyers can also qualify by contacting Utah Housing Corporation directly.
The Home Run Grant Program is effective for home purchases closed after a Home Run Grant Commitment has been issued for that specific transaction. Unfortunately the funds may not be used for homes purchased without the Home Run Grant Commitment.

To get a first-come, first-served written commitment for the Grant, home buyers must:

Enter into a written contract to purchase a newly-constructed, single –family home.
Contact a lender to obtain final underwriting approval for any needed financing.
Have their mortgage lender furnish required documentation to Utah Housing Corporation for the Grant.
Utah Housing will reserve the $6,000 Grant for 30 days.

Homes must be recently-constructed, single-family residences that have a Certificate of Occupancy or a Final Inspection.  They cannot be previously-occupied.  Eligible property types include single-family detached homes, condominiums, planned unit developments (PUD), twin homes, town homes and manufactured homes permanently affixed to a foundation.

Home buyers should tell their home builder, realtor and mortgage lender that they want to apply for a Home Run Grant. Mortgage lenders are the key link between the home buyer and the Home Run Grant. The mortgage lender assists the home buyer to provide necessary information to secure the grant from Utah Housing Corporation.  The home buyer does not work directly with Utah Housing Corporation (unless it is a cash buyer).    

If home buyers need a mortgage loan, it must be a fixed interest rate loan with a term of 30 years or less.  Loans may be obtained from any lender qualified to make mortgage loans under Utah law.  Examples of qualifying loans include:

*        Conventional

*        FHA, VA, or Rural Housing

*        Utah Housing Corporation’s FirstHome and FirstHome Plus

One other advantage to obtaining this grant is that you do not have to be a first time home buyer.  Home Run Grants are available to all home buyers who meet the income restrictions of $75,000 for singles, $150,000 for couples and, if more than one single person takes title, the $75,000 limit applies to each such single person.  

The $6,000 Home Run Grant can be combined with the new $8,000 federal tax credit!  If a home buyer is a first-time home buyer and meets the independent criteria of both the federal and Home Run programs, they may take advantage of both.   The $6,000 Home Run Grant is available to both those who are first-time home buyers as well as those who previously owned a home.  The  $8,000 federal tax credit is available only to first-time home buyers.

A total of approximately1,600 grants are available. Each grant is $6,000.  Only one grant can be used for the purchase of each home.  Home Run Grants are distributed on a first-come, first-served basis to qualified home buyers.  The approximate number of remaining grants will be posted on the UHC web page at www.utahhousingcorp.org.

Home Run applications are submitted through a home buyer’s mortgage lender.  Home buyer applications cannot be made directly to Utah Housing Corporation unless the Buyer is paying cash for the Home.