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About the Rural Housing Grants Program
If you’re a first time home buyer and looking to purchase a farm, ranch, or outdoor property, here’s something you will want to know about. The Nevada Rural Housing Authority (NRHA) has a bond program designed to help first-time homebuyers in low to moderate income brackets purchase a new construction or existing home in Nevada. The loans will be awarded on a first-come, first-served basis. The total fund is approximately $50 million.
While these loans are 30-year fixed rate mortgages, the mortgage is 6.45% below market with a 4% non-repayable down payment assistance grant. All qualified homebuyers will receive this grant which is equal to 4% of the original loan amount to assist with the down payment and the closing costs on the mortgage. The loan has a 1% origination fee and a .50% discount point which is due at closing. Participating lenders are required by law to provide specific APR information.
How To Apply for This Loan
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Obtain a purchase contract on any home that meets the program’s requirements
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Qualify for the program
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Apply through one of the lenders listed by the Program
How To Qualify
You can qualify if you are a first-time home buyer and the home you purchase is your primary residence. You will be considered a first-time homebuyer if you have not owned a home within the past three years, or if you are a veteran who qualifies. In addition to these requirements, the purchasers must meet certain income qualifications and the normal requirements of the FHA, VA, Conventional or RHS requirements on credit worthiness.
Which Homes Qualify?
The program restricts the homes which are eligible through this program to any home throughout the State of Nevada, except for those homes in cities and towns with populations of more than 100,000.
The maximum home cost (family residence) are as follows:
County Cost Maximum Income Limits
Carson City $358,875 2 or fewer $72,000 3 or more $84,000
Clark $360,000 2 or fewer $72,120 3 or more $84,140
Douglas,Storey,Washoe $429,619 2 or fewer $80,640 3 or more $94,080
Elko, Eureka,Nye $292,500 2 or fewer $63,400 3 or more $72,910
Lyon $298,125 2 or fewer $60,671 3 or more $69,772
All other $237,031 2 or more $60,300 3 or more $69,345
Down Payment Assistance
All qualifying homebuyers will receive a grant equal to 4.00% of the original loan amount to be used for down payment and closing cost assistance. This 4.00% assistance is a non-repayable grant provided by the Nevada Rural Housing Authority. There is a 1.00% origination fee and 0.50% discount points (1.50% total) will be paid at loan closing.
So, if you’re a first time homebuyer interested in purchasing a home, farm, ranch, or outdoor property through this program, you'll find that this may be a great way to move closer toward achieving your homeownership goal!
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