Now’s a great time for local working families looking for some financial assistance to buy their dream home.
The Regional Housing Alliance of La Plata County — with the help of local banks and agencies – has made it possible for working families in the area to receive down-payment or closing-cost assistance when purchasing a house.
A variety of programs are available for households that fit the criteria.
The first program is a $7,500 forgivable loan that can be used for either a down payment or closing costs. The loan does not carry interest and is fully forgiven after five years. However, this program is only available to households who earn less than $68,000 for a family of three or more. It is only available to first-time homebuyers. Banks offering this specialized assistance are First National Bank of Durango and Bank of Colorado.
“We wanted to bring this product to Durango because we know how hard it is for families to find a desirable home in their price range,” Laura McKinney, vice president of First National Bank of Durango, said in a news release. “The funds will not last long, and we encourage folks to act quickly if they are interested.”
The second program is a collaborative effort through the RHA and Three Springs, a new residential development near Mercy Regional Medical Center. The RHA will provide $10,000 for a down payment to assist buyers who purchase a home in the Three Springs neighborhood. In order to be eligible for this assistance, a household of three or more must earn a combined income of less than $82,000 a year.
“Our vision at Three Springs is to create a diverse community, where working families can afford to live. It is important to the economic vitality of our region that we have affordable homes for our workforce,” said Sherry O’Toole, project manager at Three Springs.
The third program is targeted at Durango Mountain Resort employees. RHA is working with the ski resort to provide a second mortgage loan for up to 17 percent of the purchase price. The loan does not accrue interest and a payment is not necessary until the property is sold. So far, two DMR employees have been assisted with this program, while others are in the process of applying.
“In our high-cost market, buyers need all the help they can get. The biggest barrier to home ownership that we encounter is not having a down payment,” said Karen Iverson, executive director of the Regional Housing Alliance. “We are excited about these new partnerships within the community, and together we can ensure that working families can afford to live here.”
For more information, contact the RHA at www.rhalpc.org or by phone at 970-259-1418.