Hud Officer Next Door Program In Denver, Colorado
Posted by Damon L. Chavez on Thursday, July 5th, 2007 at 4:04pm.
How does the “Officer Next Door” program work in Denver, Colorado? You may have heard a number of different names associated with this program: Good Neighbor Next Door, Teacher Next Door or Officer Next door. The program was established for a number of different occupations: law enforcement officers, pre-Kindergarten through 12th grade teachers and firefighters/emergency medical technicians. The goal of the program is to help reduce crime and promote learning within communities in Denver, Colorado and other areas in the country. HUD offers a large incentive to police officers by discounting single-family properties by 50%. Qualified individuals are required to live in the property for three-years. A check and balance system to verify occupancy has been created through an annual certification mailed to participating police officers in Denver, Colorado around the anniversary of the purchase. Although the property is discounted by 50%, HUD requires that you sign a second mortgage and note for the discount amount. No interest or payments are required on this “silent second” provided that you fulfill the three-year occupancy requirement. Here are some common questions that I have received? Can I own another home in Denver, Colorado and purchase an Officer Next Door home? You cannot own any other home at the time you close on your Officer Next Door home. You must agree to live in the HUD home as your only residence for three years after you move into it. What if the home needs repair? If the home you want to purchase needs repairs, you may use FHA’s 203(k) mortgage program. This program allows you to finance both the purchase of the home and the cost of needed repairs. How can I find Officer Next Door homes in Denver, Colorado? These homes have been earmarked through HUD and are listed and sold exclusively over the Internet. Bids are awarded once each week. You may submit your bid by utilizing the services of a real estate broker. The winning bid is posted each week on the HUD web site where you made the bid. What about financing? You must qualify for financing through a local lender. Credit requirements still apply. To make a HUD home even more affordable, you may apply for a FHA-insured mortgage with a low down payment and finance all the closing costs. Other financing options and incentives may be available depending on the Denver, Colorado community. Talk to a loan advisor to see your options. To get additional information on the program, you can contact a Colorado House Finders team member or your local HUD Ownership Center