Kansas Local Assistance Programs Guide

Guide to the Kansas Local Assistance Programs

The Kansas Local Assistance Programs are designed to help homebuyers in specific regions of Kansas by providing financial assistance for down payments and closing costs. These programs target local areas with the goal of promoting homeownership and making it easier for residents to purchase homes. For 2025, the program continues to offer important benefits and updated eligibility requirements. Below is an overview of the program, detailing how to apply and the benefits it provides.

1. Program Overview:

• Purpose: The Kansas Local Assistance Programs aim to support eligible homebuyers by offering financial aid for down payments and closing costs. These programs are focused on specific local areas in Kansas, with the goal of increasing homeownership rates and making homeownership more accessible to residents.
• Assistance Amount: Depending on the local area and program, eligible buyers can receive up to $7,500 in assistance to help cover the costs associated with purchasing a home.
• Loan Structure: The assistance is provided as a second mortgage, typically with deferred payments. The loan is due when the home is sold, refinanced, or paid off, allowing homebuyers to focus on their monthly mortgage without additional payments for the assistance loan.

2. Eligibility Requirements for 2025:

To qualify for the Kansas Local Assistance Programs, applicants must meet the following criteria:

• Residency Requirement: These programs are available to Kansas residents who are purchasing a home within the designated local areas. Applicants must provide proof of their residency or intent to live in the area they are applying for.
• Income Limits: The programs have income limits that vary by county or local area. These limits ensure that assistance is directed to low- and moderate-income buyers, making homeownership more accessible to those who need it most.
• Credit Score: A minimum credit score of 640 is required to qualify for the program. The credit score requirement ensures that homebuyers are financially responsible and able to manage their mortgage payments.
• Property Requirements: The home must be located within the specific local area covered by the program. The property must also be the buyer's primary residence and meet certain price limits to ensure affordability.
• Homebuyer Education: Applicants must complete a homebuyer education course that covers important aspects of homeownership, including budgeting, understanding mortgage terms, and managing homeownership responsibilities.

3. How to Apply:

Applying for the Kansas Local Assistance Programs involves the following steps:

• Assigned Loan Officer: After expressing interest in the program, you will be assigned a loan officer who will assist you throughout the application process. The loan officer will verify your eligibility, assist with document collection, and guide you through the next steps.
• Required Documentation: Be prepared to provide various documents such as proof of income, tax returns, credit reports, and a certificate from the homebuyer education course.
• Submit Your Application: Once all documentation is gathered, submit your application to your loan officer. The loan officer will review your materials and help you move forward with the process.

4. Homebuyer Education Course:

• Mandatory Requirement: All applicants must complete an approved homebuyer education course. The course is designed to provide valuable information to help you understand the responsibilities of homeownership and better manage your mortgage.
• Course Options: The course is available both online and in-person, offering flexibility to meet your schedule. After completing the course, you will receive a certificate, which is required to proceed with the application.

5. Down Payment and Closing Cost Assistance:

• Assistance Amount: Depending on the local area and program, up to $7,500 in down payment and closing cost assistance may be available. This financial assistance is designed to reduce the upfront costs of purchasing a home, making it more affordable for eligible buyers.
• Deferred Loan Terms: The financial assistance is typically provided as a deferred second mortgage. This means there are no monthly payments required, and the loan is due when the home is sold, refinanced, or paid off.

6. Finalizing the Loan:

• Approval Process: Once your application is approved, your loan officer will guide you through the next steps, including reviewing and signing the loan documents. The loan officer will ensure you understand the terms of the assistance provided.
• Closing Costs: While the Kansas Local Assistance Programs help cover down payment and closing costs, you may still need to cover some additional expenses. Your loan officer will help you understand which costs are covered and what you may need to pay out of pocket.

Our dedicated loan officers are here to support you through every step of the process. From gathering your documents to finalizing your loan, they will provide guidance, answer your questions, and ensure you take full advantage of the Kansas Local Assistance Programs. With their assistance, you can confidently take the next step toward homeownership in your community.