When we posted about Own in Yonkers last month, the comments filled up fast. Do co-ops count? Do I have to live here? What's the income limit? How do I even sign up? So we went back to the City's program page and its press release and pulled the answers in one place.
What It Is
Mayor Mike Spano launched the First-Time Homebuyer Down Payment Assistance Program on Oct. 19. The website calls it Own in Yonkers. It helps first-time buyers with the hardest part of buying a home: the down payment. The City runs it with Westchester Residential Opportunities, or WRO. That's a nonprofit that HUD, the federal housing agency, has approved to counsel homebuyers. WRO helps with the paperwork. The City checks who qualifies and approves the money.
How Much Help You Can Get
Up to 19% of the purchase price. On a $300,000 home, that's as much as $57,000. The exact amount is set through underwriting, which means a close look at your finances, and it depends on how much funding is left. You also have to put in at least 1% of the price from your own savings.
Do You Ever Pay It Back?
Maybe not. The help comes as a 0% loan with no monthly payments. It's tied to the home as a second mortgage, which sits behind your main home loan. Make it your main home for five years and follow the program, and the loan is forgiven. The program page spells out what happens if you sell within those five years. One thing it does not cover: closing costs. Plan for those on your own.
Yes, Condos and Co-ops Count
Single-family homes, condos and co-ops in Yonkers can all qualify, whether they're older homes or brand new. A condo is an apartment you own outright. A co-op works differently. You buy shares in the company that owns the building, and that gets you your own unit. Co-op buyers should know that any extra co-op costs are on them. The home also has to meet the program's standards. And the purchase can't push out a tenant who already lives there.
It's for People With Yonkers Roots
You need one real tie to Yonkers, and there are three kinds. You've lived in Yonkers for at least 12 months. Or your parent lives here now and has for at least 12 months. Or you own a business that's mainly run out of Yonkers. Working here for someone else isn't on the list. Whichever tie you use, the home you buy has to become your main home.
How Much Can Your Household Make?
Our comments argued about this one, so here are the exact numbers. Your whole household has to earn at or below 120% of the area median income. That's the middle income for the region, the point where half of households earn more and half earn less. Here are the limits:
1 person: $142,450
2 people: $162,800
3 people: $183,150
4 people: $203,550
5 people: $219,800
6 people: $236,100
How to Get Started
Step one is an info session. The Nov. 9 in-person session is full, and so is the Nov. 12 English session online. The Nov. 12 Spanish session online, 6:30 to 7:30 p.m., wasn't full when we checked. Two more dates are open. There's an in-person session at Will Library on Monday, Nov. 16, from 5:30 to 6:30 p.m. And there's an online session on Thursday, Nov. 19, in English from 1 to 2 p.m. and in Spanish from 2:15 to 3:15 p.m. Signing up for a session is separate from applying. The application opens after Nov. 9.
The info session is just the start. You'll also need HUD-approved homebuyer classes and one-on-one counseling, and the info session doesn't count toward that. Once you qualify, your approval is good for 90 days while you shop. The biggest rule of all: get program approval before you sign a contract on any home.
Everything is at owninyonkers.com, in English and Spanish.
Know someone who's been saving for a first place? Send this to them. For more Yonkers stories, follow @TheYonkersCollective on Instagram, and pick up Not Upstate Magazine at thenineonefour.com.
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