No Cash at Closing with Kline
2020 Congress Condominiums has partnered with University Federal Credit Union to offer a unique opportunity for first time home buyers who qualify for the Federal Tax Credit. Up to $8,000 can be received from the IRS once you have purchased a home. UFCU will loan borrowers the amount of their tax credit refund to use for down payment and closing costs.
Homes must be closed by November 30, 2009 to qualify for the stimulus funds.
How does it work?
Buyer will apply for the First Time Buyer Tax Credit Financing Program through University Federal Credit Union. At closing, the buyer will first apply their Tax Credit Loan proceeds of $8,000 (or the refund amount specified by IRS that is due to homebuyer) toward their down payment, closing costs and pre-paid escrow reserve items. The seller will pay the remainder of the buyer’s closing costs and prepaid escrow reserve items so that the buyer will pay no cash at closing. Buyer will receive a refund of their deposited Earnest Money at closing.
Examples - All Closing Costs and Prepaid Reserves are estimates:
The GALLERY Floor Plan – 425 sq. ft.
Sales Price $105,900
Down Payment (3.5% FHA) $ 3,706
Closing Costs $ 3,656
Prepaid Reserves $ 1,834
Your Tax Credit $ 7,196
Seller Contribution $ 2,000
Your Cash at Closing $ -0-
Your Monthly Payment $ 945
The CONGRESS Floor Plan – 660 sq. ft.
Sales Price $159,900
Down Payment (3.5% FHA) $ 5,596
Closing Costs $ 4,374
Prepaid Reserves $ 2,234
Your Tax Credit $ 8,000
Seller Contribution $ 4,204
Your Cash at Closing $ -0-
Your Monthly Payment $ 1,397
The TERRACE Floor Plan – 731 sq. ft.
Sales Price $169,900
Down Payment (3.5% FHA) $ 5,946
Closing Costs $ 4,528
Prepaid Reserves $ 2,309
Your Tax Credit $ 8,000
Seller Contribution $ 4,783
Your Cash at Closing $ -0-
Your Monthly Payment $ 1,486
The CAPITOL Floor Plan – 943 sq. ft.
Sales Price $199,900
Down Payment (3.5% FHA) $ 6,996
Closing Costs $ 4,983
Prepaid Reserves $ 2,531
Your Tax Credit $ 8,000
Seller Contribution $ 6,510
Your Cash at Closing $ -0-
Your Monthly Payment $ 1,752
University Federal Credit Union Contact:
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Loan Officer
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Members Home Advisor™
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UFCU
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512-997-4608 Office
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512-789-8778 Cell
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512-977-7858 Fax
Typical FHA Financing of a 30 year loan using your First Time Home Buyer’s Income Tax Credit to pay the down payment and a portion of the closing costs: No Cash at Closing, $100,000 sales price, 3.5% down payment, 360 monthly payments of $1028 (including estimated taxes, homeowner’s content insurance, mortgage insurance and Homeowners Association Dues) at 5.434 Annual Percentage Rate.