The city of Phoenix has launched a new program using federal money that is aimed at trying to reduce the number of Phoenix foreclosure houses on the market. The new program will allow buyers to qualify for up to $15,000 in down payment assistance.

To qualify for the assistance the following criteria must be met:

• House must be located in the city of Phoenix
• Phoenix home must be a foreclosure property
• The owner must live in the home as a primary residence
• The family cannot earn more than 120% of the area median income
• Buyers must be able creditworthy as determined by FHA
• Property must have a sales price below 15% of appraised value
• Property must be clear of the city’s top eight neighborhood code violations
• Home must be able to pass HUD home inspection

The home buyers must also attend a homeownership counseling through one of the four HUD approved counseling agencies.  The cost for this program is $50.

For more information you can

• call the City of Phoenix Housing Department hotline- (602) 262-6602,
• visit the City of Phoenix Neighborhood Housing Services web site www.phoenix.gov/NSD/nspa