City of Alexandria Announces New Financing Opportunity for First Time Home Buyers
For Immediate Release: October 9, 2018
The City of Alexandria has announced the availability of Community Homeownership Revitalization Program (CHRP) funds to provide first-time homebuyers with permanent financing for home purchases. The City was recently awarded an allocation of $4 million through a competitive solicitation administered by the Virginia Housing Development Authority (VHDA).
The CHRP funding only applies to VHDA mortgages, but can be combined with City homeownership and down payment loan assistance to qualified, income-eligible first time homebuyers. CHRP funds reduce VHDA mortgage loans to 1% lower than VHDA’s published First-Time Homebuyer mortgage rate. CHRP financing is not a grant or a loan, and does not require repayment. However, CHRP allocations are only reserved for individual homebuyers after the buyer has a ratified sales contract.
To qualify for a City of Alexandria sponsored CHRP allocation, the prospective homebuyer must meet the following criteria:
- Live or work in the City of Alexandria for six months prior to requesting CHRP funding;
- Have an annual household income at or below 100% of Area Median Income (which ranged from $82,100 for a household of one to $126,600 for a household of five in 2018);
- Be a first-time homebuyer, defined as someone having had no ownership interest in real property in the past three years (exceptions may be granted based on circumstances regarding a termination of prior ownership);
- Receive a first trust VHDA mortgage from a City of Alexandria-designated “Participating Lender;” and
- Purchase a home located within the City of Alexandria.
Homebuyers do not have to participate in the City’s Flexible Homeownership Assistance Program to use CHRP funding, but they may be eligible.
Lenders and homebuyers who are interested in using CHRP funding should visit alexandriava.gov/Housing.