BIG CHANGES WITH VHDA Downpayment Assistance Program
Effective with locks on or after Wednesday, September 7th, VHDA is updating their DPA Grant program guidelines in order to make it a Sustainable program and will require the following:
• All borrowers must contribute a minimum of 1% of the sales price for each transaction. These funds may come from borrower contributions or other acceptable funds in accordance with the program guidelines. Gifts are acceptable.
• The maximum grant amount will be 2.50% for FHA loans and 2.00% for Fannie Mae loans.
• The minimum credit score will be 640 (for all borrowers).All borrowers must have a credit score to be eligible.
• The maximum debt to income ratio will be 41.00%.
• All loans must receive an AUS approval (Reminder: FHA with gift funds may not be run through LPA, only through DU). Manual approvals will not be accepted.