Homebuyer assistance and home improvement services are available to help you purchase and improve a vacant foreclosed single family home or condominium in Oakland County. Through this program, your monthly mortgage costs could be less than what you now pay for rent.
With Oakland County's assistance, even very low income families may be able to afford a home. Homebuyers with incomes at or below 120% of Area Median Income (AMI) are eligible for assistance. For example, a family of four earning up to $83,900 per year is eligible under this program. (See chart).
Oakland County can provide you with deferred no-interest loans for down payment assistance, closing costs, home improvements or other financing. The home must be purchased as your primary residence. You must prequalify for a fixed rate mortgage loan from a lending institution. This loan represents 51% of the purchase price. Oakland County will finance the remaining 49% of the purchase and rehabilitation costs up to $100,000. You must also provide $2,000 to initiate the purchase. Payment on the down payment and home improvement loans is deferred until the property changes ownership. You only have to pay on the conventional mortgage obtained from your lender. To put it simply, you're making half the payments, or getting twice as much house for your money.
Oakland County is by your side through every step of the home buying process. Before you even begin the process, we'll provide free homebuyer counseling before the purchase: figure out how much you can afford, know your rights, shop for a loan, learn about homebuying programs, shop for a home, make an offer, get a home inspection, shop for homeowners insurance, and sign papers.
You'll have to negotiate a price on the foreclosed property. Foreclosed home purchases must be discounted 15% from the as-is appraised value. Oakland County will provide free property as-is and after rehabilitation appraisals.
If home improvements are required, the Oakland County Community & Home Improvement Division will coordinate the work for you. Oakland County will complete work specifications and cost estimates, bid the contract to the lowest responsible bidder, oversee the work and issue contractor payments. The home improvements will be completed, on average, within 120 days.
The 2009 Oakland County Home Ownership Drive covers properties in select Oakland County communities. For a complete list, check the website listed below or call Community & Home Improvement for details. Contact Farmington Hills, Pontiac, Royal Oak, Southfield, or Waterford directly to inquire about home buying assistance programs in their communities.
Funding for this program is provided by the U.S. Department of Housing and Urban Development's (HUD) Neighborhood Stabilization Program (NSP).
Call Oakland County Community & Home Improvement
(248) 858-1529 or visit the website at
oakgov.com/chi Equal Opportunity Programs/Activities
Department of Housing and Urban Development Income Categories
NEIGHBORHOOD STABILIZATION PROGRAM
Family Size 120% of Area Mean Income (AMI)
1 $58,700
2 $67,100
3 $75,500
4 $83,900
5 $90,600
6 $97,300
7 $104,000
8 $110,700
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