VHFA Options

VHFA Options

So yesterday I talked a little bit about HUD options, and FHA insured mortgages.  Today I would like to go into a bit more detail about the Vermont Housing Finance Agency (VHFA) which is the state run version of the FHA program.  There are several reasons to look into the VHFA, and it may be worth asking your lender / bank to check on VHFA options.  Here's why:

  • VHFA Loans are typically low interest rates
  • VHFA Loans carry a 30 year, fixed-rate
    • The rate you have today is the rate you will have when you make your last payment.
  • VHFA Loans have down payment and closing cost assistance
  • VHFA Loans have Mortgage Credit Certificates which give you an annual tax benefit.  This tax benefit is currently not available through other means in Vermont
  • VHFA Loans can save you up to $625 on the Property Transfer Tax that is due to the state for your new home purchase
  • There are options for 100% financing, but most of Chittenden County is not eligible for 100% financing
  • VHFA Loans typically see lower monthly mortgage insurance payments

(source:  vhfa.org)

There are several mortgage programs with different compliance needs.  As I stated yesterday, First Time Home Buyers can see a huge incentive using a VHFA Loan.

There is a wonderful PDF available from the VHFA that explains the entire process in brief, so if you have a couple minutes, it would be worth looking at.  Find it here.

Vermont Modular Homes has through the years talked with many banks, mortgage originators, and finance officers.  I'm positive if we don't have an answer, we can get one for you.  I really hope this information was helpful, and please feel free to reach out if you have any questions.

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