Live Newark Home Closing Cost Program

Live Newark Home Closing Cost Program is a forgivable loan for homebuyers in Newark, New Jersey. Newark HOME/CDBG-funded $10,000 closing cost forgivable second for first-time homebuyers. 80% AMI cap. Min FICO 660. 5-year affordability period. Up to $10,000 in closing cost assistance for first-time homebuyers purchasing in the City of Newark. 0% interest deferred-payment forgivable second mortgage. 5-year HOME/CDBG affordability period. 80% AMI cap (Essex County / New York-Newark HMFA). Min FICO 660. Newark resident or city employee preference. Pairs with FHA/VA/USDA/conventional first mortgages. Funding comes from Federal HOME, Federal CDBG, and Local Government.

Live Newark Home Closing Cost Program is forgiven after 5 years, so a homebuyer who stays that long does not repay it. Repayment is triggered by 5-year HOME/CDBG affordability period and lien forgiven at end of term. Prorated balance due on early sale, transfer, cash-out refi, or non-owner-occupancy. The assistance is recorded in 2 position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Live Newark Home Closing Cost Program is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: HUD 24 CFR 92.2 displaced-homemaker / single-parent exceptions. On credit, the program states: Minimum FICO 660. A homebuyer education course is required, through HUD-approved housing counseling agencies (Brand New Day, La Casa de Don Pedro, NJ Citizen Action). Residency requirement: Property must be in City of Newark. Citizenship or immigration status: U.S. citizen or eligible non-citizen per HOME rules. First-time homebuyer. 80% AMI cap. Property in City of Newark. Owner-occupied primary residence. Min FICO 660. $1,000 minimum buyer contribution. Newark resident or city employee preference. HUD-certified homebuyer counseling. HQS inspection. Lead-based paint clearance.

Live Newark Home Closing Cost Program limits household income to 80% of the area median income, which varies by county and household size. Household income at or below 80% AMI Essex County / New York-Newark HMFA. Approximate 2025: $66,300 (1-person) to $124,950 (8-person). The limit applies to total household income, not only the borrower’s. Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

Live Newark Home Closing Cost Program caps the purchase price as follows: Per HOME 95% AMPP for Essex County (verify current limit with Newark EHCD). Eligible property types include Single-family detached, Townhome, Condominium, and 2-4 unit owner-occupied. New construction is eligible. Manufactured homes are not eligible.

Live Newark Home Closing Cost Program serves homebuyers purchasing in Newark, New Jersey.

Applications for Live Newark Home Closing Cost Program go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through Application to City of Newark Department of Economic & Housing Development. First-come, first-served subject to HOME/CDBG funding cycle. Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.