Updated over 8 years ago on . Most recent reply
Chicago Home Buyer Assistance!
Hello All!
I making this post to lean on some of you that are more experienced here on BP in regards to any Home Buyer Assistance Programs/Credits that you may have used when purchasing an investment.
Their is currently a program in Chicago that offer 7% towards down payment and closing cost if you qualify. When speaking with my lender, she mentioned that if i were to use this program that my interest rate will increase from 4.25% to about 5.5%. She also mentioned that these programs carry a separate a 2nd lien on your home for the grant for 5 years. So you will not be able to refinance or sell before the 5 year period.
Has anybody had any experience with these programs?
What is the penalty if I refinance within the 5 years? Is it a matter if simply having to pay the 7% back? (I'm planning on using the BRRRR method)
Any and all information will be helpful :)
Thank you,
Emmanuel