Hawthorne Down Payment Assistance Loan
The Hawthorne Neighborhood Association has designated City of Minneapolis NRP dollars for purchasing and improving homes in the neighborhood.
The guidelines below are subject to change at any time without notice. Loan funds are subject to availability and may only be used for down payment or closing cost requirements related to the purchase of the subject property. Email or call for complete details.
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About the Loan
- 0% APR.
- No monthly payments.
- Loan amounts up to $10,000.
- 1-4 unit owner-occupied residential structures located in the Hawthorne Neighborhood.
- Townhomes, condominiums, and properties held in a trust are eligible.
- Loan approval is subject to credit and program guidelines.
- To ensure funding we need a signed and executed purchase agreement and the application must be submitted at least four weeks prior to closing.
- No income limits.
- Fixed interest rates.
- 100% of the loan is forgiven if the borrower owns and occupies the property for 10 years.
- Closing costs apply.
- Borrowers may have a maximum of two NRP loans out from any combination of the programs at any one time.
- Funds are held in a non-interest bearing escrow account at CEE from loan closing until the work is completed and all final documentation is received.
- Funds may be used for down payment or closing costs.
- Prior to closing the homebuyer(s) MUST attend a Home Stretch workshop or other valid homebuyers course offered through an approved counseling agency by the US Department of Housing and Urban Development (HUD).
The current loan terms and conditions stated, including interest rates, do not constitute a commitment to lend or an offer to enter into an agreement, and that such an offer may only be made pursuant to Minnesota Statutes, Section 47.206(3) and (4).