American Dream Downpayment Act:

[Tabitha]

I recieved a email giving this information does anyone know if this is a hoax or if it is true?

A Grant/Gift of up to $22,500 is available to help Tabitha purchase a new home.


American Dream Downpayment Act:
$200 million per year in down payment assistance
is available to at least 40,000 families.


"One of the biggest hurdles to homeownership is getting money for a down payment. This administration has recognized that, and so today I'm honored to be here to sign a law that will help many low-income buyers to overcome that hurdle, and to achieve an important part of the American Dream."
- President Bush -


This law authorizes $200 million per year in down payment assistance to at least 40,000 families. Downpayment assistance is not a loan. This money is a grant. Grants never have to be paid back!


Tabitha , are you looking to purchase
a home but lack the necessary
money for a down payment?


A Grant/Gift of up to $22,500 is available
to help the family purchase
a home

Tabitha , a Down Payment Assistance Grant or Gift from a non profit organization can immediately solve the Brown family's dilemma of little or no money for a down payment to buy a home. Down Payment Assistance can provide you the money necessary to become a homeowner.

If you do not respond soon, your Housing Grant Acceptance Package will be awarded to and delivered to someone else.

The Housing Assistance Network can arrange to have your package delivered within 7 business days by FedEx (or by Priority Mail to P.O. Boxes or outside continental USA). Everything you need to claim your Down Payment Assistance Grant / Gift is included in the package. See below for more detailed information about this program.

Please make corrections if necessary.

See Down Payment Assistance Grant acceptance instructions below. To receive your Housing Grant Acceptance Package, print out this e-mail and mail the first page along with cash, check or money order for $10.00 to cover printing postage and handling. You will receive your package within 3 to 5 weeks by US Mail. To have your package delivered by within 7 business days by FedEx (or by Priority Mail to P.O. Boxes or outside continental USA), send $20.00 to cover the additional expense. Your package will be on its way to you within 7 business days.

Mail payments by First Class Mail to:


Housing Assistance Network
Down Payment Assistance Dept.
PO Box 60954
Washington DC 20039-0954

Make payments payable to: Express Delivery Center

[Pendragon]

The act is real, but you can save yourself $10 by going to the website..

http://www.hud.gov/offices/cpd/affordab ... /index.cfm

[rmurray]

1/2 scam....They will pay your downpayment ONLY after they get a constribution of an eqyual amount plus a few hundred from thew dealer....Of course his money comes from you..He will raise the price an equal amount....Usually only acceptable on FHA finance...DEaler adds the money..they pay your home down..you finance 100 %plus of selling price...There are few real gifts in this life..Good Luck..

[Dan Freeman]

I would call it 99% scam.

It sure looks like the home buyer save and gets nothing - except a higher monthly payment - if the amount of the down is added back into the price of the home. Just another smoke and mirrors game that takes advantage of peoples dreams

The big winners are the "grant charity" that gets all its money and them some back from the seller, and seller who gets to sell a home to prospects who fail to meet the universal loan underwriting standards that require investing in the purchase in the form of the down payment.

Lenders require a down so that borrowers have something to loose if they fail to make payments. Long term statistics of loan histories will show that when no down payment is made by the buyer that there is a significantly greater chance that they will default on the loan and have their home repossessed. By participating in a program like this you are letting yourself be placed in that higher risk of failure group.

There is a good reason why virtually every scheme to eliminate the down and let the buyer finance 100% of purchase has been banned by lenders or outlawed by government. In my humble opinion it is just a matter of time before stats are gathered that will show a high rate of repossession and this type program is banned.

[rmurray]

I am afraid that it was FHA that championed the Downpayment gift programs..Remeber the buildere can also pay the closing costs...FHA is changing rules now....Going to sa true $0 down program similar to VA..Seems the most popular deals now will sell you a home...land ..improvements closing costs...loans plu $100K.. All with less than $500 out of pocket...less than needed when renting a cheap apartment..From what I read HUD has decided it is better to lose sometimes than py rent subsidies...

[David Oxhandler]

This one has a funny smell.... From what I have been reading it sounds like this program consists of registered charities swapping down pmt funds... ultimately for a profit ? Did I miss anything ?

[rmurray]

You have not missed anything..Hard to imagine this is legal...Some of the foundations do VERY well...Sionce they are "non-profit"companies some "directors get paid VERY well....