Home Loans

The Homebuyer Dream Program is a matched savings program offered to assist low-to-moderate income first-time home buyers in Tompkins, Cortland, Tioga, Chemung, Schuyler, Seneca, Steuben, Cayuga, Monroe, Orleans, Genesee, Livingston, Ontario, Wayne, Yates, Onondaga and Broome Counties. This program is sponsored and funded by the Federal Home Loan Bank of New York.

Participants can save up to $1,000 to be matched with with anywhere from $9,500 to $19,500 to go towards the asset goal of homeownership.

Eligible households will work with Alternatives’ staff to prepare for homeownership through a series of counseling sessions. When the household has accomplished all the necessary tasks to prepare for home ownership, they may meet with our mortgage department to obtain pre-qualification in order to start looking for homes.

• Income eligibility limits per household (income limits subject to change)
  • 1-2 person: $84,880 for Tompkins County
  • 3 or more: $97,612* for Tompkins County
  • All other counties = $82,960 for 1-2 person hh & $95,404 3+ person hh
• Employment: Must be full time (32+ hours/week) or equivalent
• Education Requirements: INHS Homebuyers Course within 18 months prior to home purchase
• Other: Have signed sales purchase contract, dated prior to funding reservation request
• Pre-Qualification: Must get a mortgage with Alternatives in order to receive matching funds
• Closing Requirements: Must sign a 5-year subordinate mortgage for the total amount of the assistance received

We work with you to determine which route to home ownership is best for your situation. One size does not fit all, and we make sure you are well informed as you move along the road to a new home.

Please note that it is not until the household has an offer accepted on a home that the reservation requests for funding will be submitted to the funders. Only after the reservation request is confirmed by the funders is the household officially enrolled in the program.

Funds are available on a first-come, first-served basis. Meeting with Alternatives’ staff or mortgage department does not guarantee availability of assistance. Once the funders have confirmed the reservation request, the household will then have a total of 120 days to close on the home.

Ready to buy a new home or refinance your existing mortgage? Start by filling out our short questionnaire to help us find the best financing option tailored to your needs. Whether you’re upgrading, downsizing, or simply seeking better terms on your mortgage, we’re here to assist.

We’ve designed our home loans to work for everyone – even folks with poor credit or who thought homeownership was out of reach. Our mortgages are more accessible to more people than ever before.

The FAIR Mortgage (Finance Addressing Inequality & Racism) is available to those who make 80% or less of the area median income (AMI) or are first-time, first generation homebuyers making up to 120% of the AMI for the counties we serve.*

This mortgage was designed to break down the barriers to home ownership that many low and moderate income homebuyers and the BIPOC community face.

This product is for people who are low and moderate income, looking to purchase their first home or refinance within our service area.

Details

• • No minimum credit score

• • Borrower’s income must be under 80% AMI (area median income) or less than 120% AMI if they are a first generation homebuyer (parents never owned a home)

• • Up to 100% loan-to-value with no PMI (private mortgage insurance)

• • No downpayment required though there will be closing costs (grant funds are available to help cover some of these costs)

• • More flexible with self employment income (our business development team can help with this)
  • Competitive Rates

• • Terms range from 15-40 years

• • Emergency savings set up automatically at $25 per month

• • Max $400K loan amount
  • For primary residences

*Tompkins, Tioga, Cortland, Cayuga, Seneca, Schuyler, Steuben, Chemung, Monroe, Orleans, Genesee, Livingston, Ontario, Wayne, Yates, Onondaga and Broome Counties

Fill out our questionnaire to see if you qualify!

This mortgage product is for purchases and refinances. It allows the option for closing costs to be rolled into the loan. This loan product is not income restricted and may be suitable for borrowers who may not have a lot saved for a down payment and closings costs, but are over income for the FAIR mortgage.

Details

• With 5% down, the borrower can avoid Private Mortgage Insurance
• There is an option to roll in closing costs for an additional amount added on to interest rate
• Term is for 10-30 years, split into 5 year portions. Each 5 years, the rate may adjust
• Each adjustment is up to 2% increase with a lifetime increase of 6% over the starting rate
• The rate will never go below what it started at (floor)
• Max $400k loan amount
• For primary residences

A home equity loan is when you borrow money using the value of your house as a guarantee. Let’s say your house is worth $100,000, and you’ve paid off $20,000 of your mortgage. That means you have $20,000 of equity in your home. With a home equity loan, you can borrow some of that $20,000 if you need it for things like home repairs, school fees, or other big expenses.

Details

• • Competitive fixed rates using the equity from your primary residence

• • Minimum $10,000, borrow up to $150,000

• • 10 or 15-year term

• • Borrow up to 90% of the value of your home, minus any outstanding liens

• • For a $25,000 loan for a term of 10 years with a 7.00% APR, the monthly payment will be $290.27.
  • No closing costs

• • Need more info? Contact us at homeloans@alternatives.org.

If you have ongoing needs that are better served with revolving credit — but do not want to resort to a credit card — a home equity line of credit (HELOC) may be the affordable answer.

Details

• • Competitive interest rates for a wide range of ongoing expenses:

    • • Home improvements
    • • Medical expenses
    • • Renovation projects
    • • And more

• • Direct, any time access to funds

• • Revolving credit — when you repay, your limit is replenished for future borrowing

• • Affordable payments

• • Only pay interest on the part that’s used

• • The interest paid may be tax deductible*

• • No closing costs
  • A $25,000 HELOC with a 8.50% APR, the monthly payment will be $246.19 for the first year if all the funds are withdrawn.

• • For primary residences
  • Minimum $10,000 and borrow up to $200,000 if borrowing 80% or less LTV and borrow up to $100,000 if borrowing 80-90% LTV

*See your tax professional for advice