Answers to 10 of the most common questions about financing a home with a VHFA mortgage loan.
Vermont Housing Finance Agency (VHFA) is a not-for-profit organization that has been assisting Vermonters since 1974. VHFA mortgage programs are available through VHFA Participating Lenders throughout the state to meet the needs of low-to-moderate-income Vermonters.
To apply, you must contact a VHFA Participating Lender. Only a VHFA Participating Lender can pre-qualify you and accept your loan application. VHFA does not accept applications directly from potential borrowers. Learn more at How Do I Start?
Not all Participating Lenders offer all VHFA programs. However, the VHFA programs offered by each Participating Lender have the same terms and requirements.
No, but you must buy a home that is in Vermont and occupy it as your primary residence.
Not necessarily. VHFA has loan programs available for first-time homebuyers and previous homeowners. If you are a current homeowner, you will be required to sell your current residence prior to receiving VHFA financing to purchase a new home.
Not always. VHFA offers mortgage programs that may allow up to 100% financing.
Yes. For eligible borrowers, VHFA offers the ASSIST Program. The ASSIST Program is a 0% second mortgage that provides up to $5,000 for closing costs and down payment. An ASSIST loan can only be combined with any VHFA first mortgage program.
VHFA programs are limited to the purchase of a primary residence. Property types include new or existing single-family homes, eligible condominiums and existing two-unit homes. Some restrictions apply based on the loan program. Your Participating Lender will determine the eligibility of the property. Manufactured homes and properties 15 acres or more are not eligible.