Down Payment Assistance Programs for First-Time Homebuyers in Wyoming

Wyoming is a state home to breathtaking landscapes and rich cowboy culture. Millions of tourists visit attractions with the likes of  Yellowstone along with Grand Teton National Park. It offers stunning mountain views and outdoor activities like hiking and fishing.

The one sector which is reeling is its housing market. It is in a state of crisis with home prices increasing by 17.5% over the past year. This makes it challenging for first-time homebuyers to find affordable options whereas countless struggle with high demand for housing units and limited inventory.

Luckily, the state and other organizations have launched numerous down payment assistance programs that provide loans and grants to help first-time buyers with down payments and closing costs and make homeownership more accessible in this state.

Looking for Assistance in a Specific Part of Wyoming?

Are you on the search for down payment assistance programs to help you with your closing costs in Wyoming? This section contains the details of different initiatives in different localities along with their types and amounts along with sponsor and eligibility criteria.

Down Payment Assistance in Wyoming

Did you know that the median home sale price in Wyoming is around $352,427, which means a minimum down payment of about $10,573 for a conventional loan at 3%? To address this critical issue, the state of Wyoming and other organizations offer several down payment assistance programs that cover a certain amount. The coverage makes homeownership easy for eligible applicants.

Here is an in-depth look into the initiatives:

Wyoming Community Development Authority Home$tretch Down Payment Assistance Loan

The Home$tretch Down Payment Assistance Loan program offers valuable assistance to first-time homebuyers in Wyoming by covering the upfront costs of purchasing a home and turning the dream of homeownership into a reality for eligible borrowers.

Fundamentals

• Assistance Type: Interest-free, “silent” second mortgage loan
• Sponsor:  Wyoming Community Development Authority (WCDA)
• Assistance Amount:  $15,000 (at maximum)

Eligibility Requirements

• Applicants must have a first-time homebuyer status
• Applicants should be using the WCDA’s Standard First-Time Homebuyer or Spruce Up programs
• Applicants with a credit score of less than 620 are not eligible to apply
• Applicants have to contribute at least $1,500 towards the purchase. This can also be in the form of a gift from family or friends
• Borrowers are required to complete WCDA’s regular Homebuyer Education Class and attend confidential counseling sessions
• Applicants should meet income and purchase price limits which vary by household size and county

Welcome Home Wyoming Program

The Welcome Home Wyoming Program is a state-sponsored initiative that helps first-time homebuyers achieve their dreams of homeownership covering down payments, closing costs, prepaid items, or principal reduction.

Fundamentals

• Assistance Type: 30-year fixed-rate, fully amortizing second mortgage
• Sponsor: Wyoming Community Development Authority (WCDA)
• Assistance Amount: $15,000 (at maximum)

Eligibility Requirements

• The applicant who has purchased a home in the past three years are not eligible to qualify
• Borrowers have to meet the income limits that vary by household size and county
• Applicants with a credit score of lower than 620 do not qualify for the assistance
• Applicants are required to complete a homebuyer education course
• The purchased house should only be a single-family home or have a size of 10 acres of land or less.

Wyoming Down Payment Assistance Program FAQs

What is a silent second mortgage?

A silent second mortgage refers to a second mortgage placed on an asset (such as a home) for down payment funds that are not disclosed to the original lender on the first mortgage. The borrowers who fail to disclose a second loan could be penalized.

Do borrowers have to make a contribution when seeking coverage through the WCDA Home$tretch Down Payment Assistance Loan?

Yes, applicants are expected to contribute at least $1,500 towards the purchase in the form of payment or a gift from a close one/friend.

Disclaimer: This article is for informational purposes only and should not be considered as legal or financial advice. Please consult an attorney, mortgage lender, or CPA for guidance on your specific situation.