On March 12, 2009, the state of Utah passed a law allotting a $6,000 home purchase grant for homebuyers purchasing a new home in Utah. Since the programs start date on March 16, 555 homebuyers have been approved to receive the $6,000 grant, these 555 grants have a price tag of $3,333,000; after all 1,600 grants have been awarded, the program will have given $9.6 million in grants to new home buyers. The Utah Housing Corp. is responsible for administering the plan, dubbed the Home Run Program, and so far, the plan’s success has lived up to its name.
What is the $6,000 Home Purchase Grant Program?
Name: The Home Run Program
The program is a home buyer stimulus plan meant to stimulate the sales of new homes in Utah. Home buyers who purchase a new single-family residence in Utah can receive a $6,000 grant, which does not have to paid back. The Home Run Program is funded by the Housing Relief Restricted Special Revenue Fund and will award grant monies to the first 1,600 people that purchase a new single-family house and use the house as their primary residence. There is no home value cap, meaning you can receive a grant on a $100,000 home and a $10 million home.
Frequently Asked Questions about the Home Run Program
What home purchases qualify for the grant?
Newly constructed single-family detached homes, condominiums, planned unit developments, twin homes, townhomes and manufactured homes that are permanently attached to a foundation. All homes must have a Certificate of Occupancy or a Final Inspection from an applicable municipality.
What are the income limits for the grant program?
Single person – $75,000
Married couple – $150,000
If two single buyers purchase and take title on a home, they are both subject to the $75,000 income limit.
How do I apply for a $6,000 Home Run Grant?
Homebuyers do not work directly with the Utah Housing Corporation (unless it’s a cash purchase). Buyers apply for the grant through an approved lender. You can find a list of approved lenders here.
How do I get the Home Run Funds?
The funds are allocated on a first-come, first-served basis. As a home buyer, you must:
- Enter into a written contract for the purchase of a qualified newly constructed home.
- Contact a lender to obtain final approval and underwriting for financing
- Request that your lender submit the required documentation to the Utah Housing Corporation
- The Utah Housing Corporation will reserve the grant for 30-days
What type of loan can I get to qualify for the program?
As a homebuyer, you must receive funding from an approved lender; the loan must be a 30-year (or less) fixed rate conventional, FHA, VA, Rural Housing or Utah Housing Corporation’s FirstHome or FirstHome Plus loan.
If I’m not a first-time homebuyer, do I still qualify for the program?
Yes. All applicants that buy a qualified home, use an approved lender and meet the income limits will qualify for a grant.
Can I use the $6,000 grant along with the $8,000 federal tax credit for home buyers?
Yes you can qualify for up to $14,000 in government and state sponsored incentives. If you meet the requirements for both programs, you can use both programs together. The $8,000 homebuyer tax credit is only available to first-time homebuyers.
How many grants are available?
1600 – first-come, first-served basis; as of today (4/28/09), there are 1,045 grants available.
Is the grant taxable?
The grant may or may not be taxable. The Utah Housing Corporation has requested a ruling from the Internal Revenue Service (IRS).
For more information about the Home Run Program with a $6,000 grant for Utah residents purchasing a newly constructed house, contact an approved lender.
If you want to see how many grants have been reserved, visit the Utah Housing Corporation’s website.
Resources:
Utah Housing Corporations Website
See Also:
$8,000 Federal Tax Credit for Home buyers
$10,000 Tax Credit for California Home Buyers
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I guess this program is more aimed toward helping the home builders rather than to save the overall housing market.
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Yeah, I guess this doesn’t help me… bummer. But thanks for the great info.
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