Vermont's House Committee on Ways and Means learned this morning about opportunities to transform a temporary statewide down payment assistance program enacted last year into a self-funding program that can help first-time home buyers for years to come. VHFA's Executive Director, Sarah Carpenter, met with the committee this morning to explain how a legacy program could be created with the addition of four years of state housing credit funding.
Since it's initial enactment six months ago, 72 of VHFA's first-time home buyers have used the program to help cover the often insurmountable cost of a down payment. The average buyer using the program is 31 years old with an annual income of $63,600.
The temporary program is funded with $125,000 in Vermont State Housing Credits annually for fiscal years 2016 through 2018. By extending this through fiscal year 2022, the program would become self-sustaining. Home buyers who receive down payment assistance through the program repay their loans if they move or refinance, which creates funds to provide to subsequent home buyers.