For Knoxville first time home buyers who lack a down payment, the THDA Great Choice Plus Second Mortgage is a great option to get into a home with absolutely no money down.
This program is available to first time home buyers in Knoxville through the Tennessee Housing Development Agency. The THDA Great Choice Plus Second Mortgage provides first time home buyers with a 15 year, 0% interest, deferred second mortgage to provide a buyer with funds for a down payment. After 10 years, the second mortgage disappears 20% at a time and disappears altogether at 15 years. If the buyer moves out prior to 15 years, they will be required to pay the balance of the second mortgage off at closing.
Program Details —
- Single family residence only
- 15 year mortgage with 0% interest, deferred, second mortgage
- Loan disappears 20% at a time after 10 years
- Gift funds allowed from family member
- 620 minimum credit scores
- Offers down payment assistance of up to 4% of purchase price
- No geographic restrictions
- Income limits do apply
- Up to 6% seller paid concessions
There are income limits and limits on the purchase price for the program. To see the complete list of counties in Tennessee, check out THDA’s website here.
Are you thinking about buying your first Knoxville home for sale this year? Please let us know if there is any way Knoxville Home Team can assist you in your Knoxville home search. Rick can be reached at 865-696-9002 or via email at [email protected]. Kati can be reached at 865-696-1888 or via email at [email protected]. Also, be sure to check out our Knoxville Home Search Page.