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Do I Qualify?
Attending a free Proud Ground information session is the first step toward buying a home with Proud Ground. We’ll cover all the stuff below during the session and answer all your questions. Click here to view the info session schedule.
Buying your home can take anywhere from a month to a year or longer, depending on many factors. Don’t hesitate to call us, no matter where you are in the process--we are excited to work with you!
To qualify to buy a home through Proud Ground, there are a few things to know.
First-time homebuyer: You should not have owned a home previously by yourself within the past three years.
Income: Your total household income (everyone in your home regardless of if they will be on the mortgage) should be at or below 80% of the area median income adjusted for household size. The median income is the midpoint amount where half of Portland-area households earn more and half of households earn less.
|
People living in your household at the time you buy: |
Yearly gross household income (before taxes, etc.) cannot be more than: |
Monthly gross household income (before taxes, etc.) cannot be more than: |
1 |
$38,850 |
$3237 |
2 |
$44,400 |
$3,700 |
3 |
$49,950 |
$4,162 |
4 |
$55,500 |
$4,625 |
5 |
$59,950 |
$4,998 |
6 |
$64,400 |
$5,366 |
Minimum household income: As a general rule, a household should have an annual gross income of at least $24,000 (or, $2,000 a month before taxes) -- or significant personal funds (e.g., $20,000+) to use toward a down payment.
Credit: You should have a good credit rating, with no recent bankruptcies. We can help you find out your rating and ways to improve it.
Debt: Your total monthly debt payments (excluding your mortgage) should not exceed 10% of your gross monthly income (before taxes) when you purchase your house. Debt includes your minimum credit card payments as well as any long-term obligations (a repayment period of more than 6 months) such as car payments, child support and student loans. Proud Ground staff can help you calculate this percentage during your initial meeting. Generally, monthly debt of more than $200-$300 in addition to housing costs may make qualification more difficult.
Employment: You should have proof of steady employment or income for the past year.
Savings: At closing, we suggest that you have $2,000-$3,000 in the bank, so that you have a cushion for needed future repairs. It can take time to build your savings. There are matched savings programs (IDA's) available to help you save--ask your lender or call us to find out.
Willingness to own a home through our program: Proud Ground homeownership is similar to market rate homeownership in many ways but different in very important ways. We will work with you to ensure your understanding of the unique aspects and goals of our program.
more questions?
You’ll have many of your questions answered at our information sessions. But you can click here for our answers to the most common questions about the qualifications.
