ROCKFORD, Ill. (WTVO) — The Illinois Housing Developmental Authority (IHDA) reinstated a grant called, "Opening Doors." This is how it became possible for one Rockford resident to buy a new home.
Having that grant there just kind gave me some reassurance that you know I wouldn’t be at a total loss with this increase in interest rates," said Mickey Zeng a new Rockford homeowner.
The "Opening Doors" grant is for anyone looking to buy a home in Illinois. It helps combat the increasing interest rates which are around 7%. That’s the highest in 20 years. This ncludes housing inventory dropping at a large rate. 23% lower than last year and 63% from three years ago.
"Getting that grant I mean with the interest rates the way it is, pretty helpful, pretty vital in being able to afford the mortgage. It just helps out when you have to pay that much more interest rate," Zeng said.
The grant was taken away in back in January, however over the recent weeks it was brought back.
"I think they saw a need for this with interest rates increasing so rapidly to be able to come up with something that’s a below market interest rate has been phenomenal and you don’t have to be a first time home buyer to get the grants. its available to anybody who meets the guidelines. So there’s an income guideline credit score guideline," said Frank Valentine VP of Residential Lending at GreenState Mortgage.
This grant is allowing for opportunities in the housing market, someone like Zeng wouldn’t have been able to explore without.
"The interest rate still has been as much as 1% below the standard rate, so its a just a phenomenal program you can get in with 6,000 dollars to use towards down payment and closing costs, and have a below market interest rate so it been great," Valentine said.
The rental market is also being impacted by the housing market. Rent has gone up leading to more people looking to buy a new home. As for Zeng he is glad to have moved out on his own and out of his parents house.
"Definitely excited to be out on my own and be able to do this despite the market and the way that it’s kind of moving towards," Zeng said.
Feeds,Rockford,Region: Rockford,Media Feeds All,City: Rockford
via MyStateline.com https://ift.tt/aFBsMCY
October 28, 2022 at 10:31PM