NSP FAQ
Q

Does the 1% purchase price discount apply to down payment assistance?

Date Published: October 2012

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A

No. The purchase discount is only required for foreclosed upon homes acquired in part or in whole with NSP funds by the grantee from the REO holder or bank. Subsequent resale to NSP homebuyers are not affected by this requirement.    

The only situation that the one percent discount would affect the homeowner is when the grantee is providing assistance a NSP eligible homebuyer to acquire a foreclosed property directly from REO holder or bank and has not had any NSP funds used to acquire or rehabilitate the property, sometimes referred to a buyer driven program. In this case the 1% discount for foreclosed properties would apply.

 


Tags: NSP Program Requirements - Purchase Discount

FAQ ID:

1022