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| Federal Government Programs For Home Owners And Buyers There are a number of different government grant programs available to the public; however, most of the grants can be broken down into three general categories: business grants, educational grants, and programs to help home owners. Grant money is available at the federal, state, and local levels, in a variety of packages to meet the needs of deserving individuals and groups. The following is a rundown of the basic kinds of grants and government programs available to home buyers and prospective home owners. The federal government insures FHA loans for mortgages, both for new home puchases and to refinance an existing mortgage. There are a number of programs which allow home buyers flexibility in the type of residence they can purchase, from singe family homes, to mobile homes, and condominium units. The US Department of Housing and Urban Development, or HUD, offers a program called adjustable rate mortgage insurance, which helps prospective home buyers obtain a mortgage on a primary residence. HUD also offers the buyer the option of a basic FHA mortgage. While HUD does not make loans directly to the consumer, they provide insurance for FHA approved lenders who offer mortgage loans. Other HUD programs offer home buyers a variety of home loans that function in a similar way. These programs include Combination Mortgage Insurance for Manugactured Home and Lot, Condominium Unit Purchase insurance, and Property Improvement Loan Insurance. Again, HUD does not offer loans directly to the buyer, but instead works with private FHA approved lenders. HUD also offers many homes for sale. The homes are available in most cases because of foreclosure, as the previous owner has defaulted on their mortgage. Anyone can buy a HUD home provided they are pre-approved for the home loan or can verify that they have enough cash to pay a certain percentage of the debt. HUD homes are usually purchased by lower income buyers and are to be sold expeditiously and at market value. Frequently HUD homes will sell for an amount significantly lower than market value, offering buyers an opportunity to buy a more desirable property than they might otherwise be able to afford. The Department of Housing and Urban Development is not the only government agency offering homes for sale. Properties are sold or auctioned by the FDIC, the Department of Veteran's Affairs, the IRS, Customs and many others. Some programs have more stringent eligibility requirements than others, so one should consult a real estate agent who is authorized to deal with the agency offering the property. Another program offered through HUD is the Home Equity Conversion Mortgage program. This program offers the opportunity for older home owners to convert the equity in their home to regular monthly payments or a line of credit. In order to be eligible, the home owner must be over 61 years of age and have an existing mortgage. If you want to go it alone in your search for grant money, the information can be found on the internet and at the public library. However, to save a lot of time in finding and applying for grant money both public and private, there are third party grant assistance companies that offer software and access to databases of available grant programs searchable by keyword and type of grant. They also offer instructions on how to put together grant applications that maximize your chances of being awarded money. The better companies back their programs with a money-back guarantee, so there is no risk to you in trying their services. You could save countless hours of research, and find the work of applying for grant money much more enjoyable. |
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