There are a handful of, what are known as, Down Payment Assistance (DPA) financing programs in Maricopa County and even state wide. These programs provide grant funds that pay most or all of the costs and down payment associated with the purchase of a home. Talbot Team refers to these programs as $0.00 Out-of-Pocket cost home purchase options, as we have taken the down payment assistance financing programs one step further. Down payment assistance funds, seller contributions; as well as, special discounts and terms from Talbot Team's affiliates assure the buyers we represent do not have any upfront out-of-pocket costs associated with purchasing a home. For an average home in Maricopa County, those fees could range up to $12,000. The current real estate market in Phoenix allows for buyers to successfully negotiate between 2 and 3% from a seller to pay costs associated with obtain a mortgage and purchasing a home. Seller's expect buyers to ask for such costs. However, seller are not allowed to pay any portion of a down payment for a buyer. This is where grant based down payment assistance financing programs come in.
Banks which operate under federal charters are required to participate in some type of community outreach program to maintain their charters. The feds tell the banks what type of activities qualify to satisfy the requirements. Typically, these activities include building community infrastructure, scholarship programs or low income Homeownership assistance. There are currently 5 main grant based homeownership assistance programs, most of which are available statewide (some only in Maricopa County). Each program offers slightly different incentives and qualifications. The following is a chart with a breakdown of the different program's specs: