In order to address a growing need for affordable housing, the Community Development Department of the City of Independence, in cooperation with area lending institutions provides the First Time Home Buyer's Program. This program helps moderate income families, who are qualified first time home buyers, buy their own home. Through this program the City will provide loan/grant funds to approved borrowers for:

Funds made available October 1, 2009 are already reserved.  The next release of funds will be FY 2010. 

• Down Payment Assistance - The City will pay up to 5% of the purchase price of a home towards down payment assistance (not to exceed $5,000), or
• Closing Costs Assistance - The City will pay reasonable closing costs on the purchase of the home (not to exceed $5,000), or
• Mortgage Buy-DownMortgage Buy-Down - The City will pay toward Mortgage Buy-Down, (not to exceed $5,000), or
• Combination of the Above - Total not to exceed $5,000.

1 person 2 persons 3 persons 4 persons 5 persons 6 persons

$39,400 $45,050 $50,650 $56,300 $60,800 $65,300

All applications are handled through lenders.

• Make sure your lender & realtor are aware of your desire to use the First Time Home Buyers Program.
• You must not have owned a home in the past three (3) years.
• You must qualify for a loan from an approved lending institution that has an agreement with the City. (Please see Lender's List)
• Total family income of all persons 18 or older cannot exceed program maximum. (see box in previous column).
• The property must be located within the corporate limits of the City of Independence.
• The property must pass a City of Independence Housing Inspection.
• You must agree to sign a Deed of Trust and a Promissory Note. The Loan/Grant is forgiven after five years if you have remained the owner of the home and have not converted the home to a rental unit.
• You must sign an agreement with the City stating that you will use the home as your primary place of residence for five years, or repay the City if you move before the five year period is completed.
• You must attend and successfully complete an approved First Time Homebuyer class.

A First Time Home Buyer is a person or family who has not owned a house during the previous three year period except for a displaced homemaker or single parent.

Home Ownership - Possession of a residential unit in any one of the following manners:

• Make sure your lender & realtor are aware of your desire to use the First Time Home Buyers Program.
• Fee simple interest, or
• Participation in a condominium ownership arrangement, or
• A "99-year" leasehold interest.

A Single Parent is:

• Is unmarried or legally separated from a spouse, and
• Has one or more minor children for whom the individual has custody or joint custody, or
• Is pregnant.

A Displaced homemaker is:

• Is an adult, and
• Has not worked full-time, for a full year in the labor force for a number of years but has, during such years, worked primarily without remuneration to care for the home and family, or
• Is unemployed or underemployed and is experiencing difficulty in obtaining or upgrading employment

• A Buyer applies for loan with a participating lender and is pre-approved by the lender.
• When the Buyer finds a house an inspection on the home is performed. Funds are reserved for applicant.
• Once all necessary typed and correctly completed paperwork has been submitted, the application will be processed within the next ten (10) business days.
• When the application is approved, the loan/grant agreement is executed and funds are requested.
• Closing may then be scheduled, and payment will be made to the participating lender at closing.

For information on how to qualify your bank to become a participating lender, call Community Development at 816-325-7414.

Homebuyer education classes can be scheduled through one of the following organizations:

• Neighborhood Housing Services of Kansas City MO, Inc at 816.822.7703, ext. 225. Visit: www.nhsofkcmo.org

Other Information:

• Missouri Housing Development Commission website: www.mhdc.com
• Kansas City Regional Association of Realtors website: www.kchomeprograms.com

Advance Mortgage Allied Mortgage Ameri-National Mortgage Bank of America Bank of Blue Valley Bank of Kansas City Bank of the West Best Mortgage Chiles & Company Clarence A. Marshall Mortgage Columbian Bank Commerce Bank Countrywide Home Loans CTX Mortgage MetLife Home Loans North American Savings Bank First Choice Funding First Community Bank First Federal Bank First Mortgage Investment First Trust Financial Gold Bank Hamilton Mortgage Heartland Funding Corp. Hillcrest Bank Home Owner's Mortgage Kansas City Mortgage Inc Kastle Mortgage LeaderOne Financial Liberty Bank and Trust Mortgage Depot National Bank of KC National City Mortgage Peoples Bank Prism Mortgage Pulaski Bank RBC Mortgage United MO Mortgage United Mortgage Group Wells Fargo Mortgage TruHome Solutions

741-6655 913-469-8887 525-8111 979-4196 913-451-4213 246-7000x218 524-5080 468-5909 913 649-0020 472-0044 913 491-1061 234-8868 554-3700 or 360-1500 913-327-7550 251-6506 246-1000 373-3232 246-8555 913-492-5555 246-7000 816.363.3105 913-307-2432 220-2424 875-1580 913-324-6436 262-7717 746-0555 224-8400 913.747.4000 913-233-7023 554-0600 525-8111 373-1666 913-897-2000 455-2426 913-338-4300 455-2426 231-1400 285-5355 913-319-7900 913-905-5464

• Contact one of the Current Participating Mortgage Lenders. You must be approved as a qualified borrower by the lending institution.
• Find a house within th e corporate limits of Independence. The chosen house must be used as a principle residence. Request from the lending institution that they submit the necessary paperwork to th e City.
• Approximately two (2) weeks are required af ter the City receives the paperwork.
• The City approves the loan/grant funding to be used for the down payment and/or closing cost assistance.
• The C ity gives the funding directly to your financial institution when you close on your new home!

For more information about the First Time Home Buyer's Program, please contact the Community Development Department at 816-325-7414 or one of the other agencies listed in this brochure. Additional questions, contact the program administrator at: hwebb@indepmo.org.