What can and can’t I use the assistance for?
The assistance may be used for the down payment required by FHA, Conventional, USDA and VA loans. The assistance may also be used for customary closing costs, pre-paids or principal reduction of the home loan. The assistance may not be used to pay the difference between the sales price and appraised value, any borrower’s debt, any portion of the realtor compensation or result in cash back to the homeowner(s).