Parma Grant Program

*** 01/05/2012. The initial feedback for the 2012 installment of the Parma 1st Time Home Buyer's Grant is that it will come out around the end of March or early April. Feel free to check in with me sooner for updates. ***

>> Updated 05/01/2011-- The Program only took a couple of weeks to fill up and close. Stay tuned for the 2012 version of the Program. It may start as early as 01/02/2012! <<

>> UPDATED 03/28/2011--Parma will start taking "live" pre approval applications effective 8:30am on Friday 04/01/2011. Parma only gets a small amount of funds each year, so the money goes fast (sometimes only 2-weeks). This year, they will only be able to fund around 15 home sales. If you haven't already gotten your PAL (Pre Approval Loan) from your lender as of, you may miss out. Call me IMMEDIATELY if you're interested in pursuing this program. They will be following the same rules as last year, which are noted below. Call with any questions or to start a PAL. <<

The Parma Down payment Assistance Program (DAP) is one of the most popular programs, but also runs out of money very quickly. The city of Parma will contribute 10% of the sales price, up to $10,000, to assist qualified buyers purchase a home in Parma. Some of the criteria to qualify is:

* Must meet certain family income limits. This figure changes yearly and is based on family size, so you need to contact me for details and to determine if you meet the income guidelines.

* Income for all occupants must be disclosed and applied to the income limits.

* Must be owner occupied.

* Must get a Pre Approval Loan (PAL) for a pre-determined Mortgage amount, which changes periodically.

* There is NO minimum cash investment from the buyer required on this program.

* Must get a PAL from your lender first, then be pre approved by Parma. You must be ready to turn in your complete Parma application on 04/01/2011.

* You cannot write an offer to purchase a home until you receive your pre approval from Parma.

* The home must pass a mandatory Housing Quality Standards Inspection by Parma. If there is chipping/pealing paint ANYWHERE, it must be scraped and painted BEFORE the inspection is done or the home will not pass and it will be eliminated from consideration for the program.

* Parma takes a second Mortgage against the home. It is forgiven 1/60th per month, as long as you are living in the home as your primary residence.

* Each year the maximum number of loans is adjusted based on the budget given to the city. As an example, in 2010, Parma had a limit of around 15 transactions. In 2011, it appears that it will be no more than 15 again this year.

* Each year, the start date is adjusted. In 2009, the earliest an application could be submitted to the city was March 2nd; in 2010, applications were accepted January 2nd. In 2011, it will be April 1st.

There are other requirements, but these are the primary ones.

Call Jim Cook, at (216) 401-1717, for additional details or to start your PAL today.