Worried about saving a down payment...Have your heard of an IDA account?

I highly recommend that real estate agents and mortgage professionals attend their local association meetings. Just found out about a gem of a concept, and now feel foolish that I didn't know more about this program. It's been sitting there right in front of my eyes, but like most I've become lazy in regards to "seller assisted Down Payment assistance", and hadn't realized what kind of programs were available in my community. This next one is fantastic if our looking at purchasing a house in another 12 to 36 months. The problem is that it won't help you buy a house today, because there are some minimal savings requirements that do not allow access to the full power of the program until you've been in it for 12 months.

The program I'm referring to is called, UIDAN, or Utah Individual Development Account Network.

"The Utah Individual Development Account Network (UIDAN) Program is an investment strategy and multi-faceted financial education program designed to help provide low to moderate income individuals and families with the opportunity, incentive, and institutional support necessary for them to save for and acquire productive assets that promise a higher income, new wealth and self-sufficiency" source - UIDAN website.

This program was developed so that big corporations could reinvest within the communities that they serve. The program helps these low to moderate income individuals manage their finances and do what most Americans do not understand. SAVE MONEY!!!

What's great about this program, is that the future homeowner for each dollar saved, will be matched by three times the amount saved. So $1 dollar saved, equals $4 dollars that can be used for their future down payment! Their is a maximum cap allowed on the funds that you can save for the down payment, but there is NO requirement to pay back these funds after closing on your home. Most city and private grant's require have a minimum requirement for living in the home or you have to pay back the grant. You can open one of these IDA's with a minimum balance of $15.00, and you can save up to $1500.00 maximum in an IDA account, which would result in $6000.00 being available for your future down payment!

There are a few requirements though that you have to meet. Here are the minimum requirements listed below.

• Must have a SSN or Federal Tax ID number
• Must be 18 years of age or older
• Less then 10,000 in household assets, cars are excluded
• Wages from full-time, part-time or be self employed.
• Live in Utah

You also need to meet basic income standards, they do allow you to max 200% of federally mandated poverty levels. But here is an easier way to understand the requirement.

• 1 Household member - $20,800 or less
• 2 Household members - $28,000 or less
• 3 Household members - $35,200 or less
• 4 Household members - $42,400 or less
• 5 Household members - $49,000 or less
• 6 Household members - $56,800 or less
• 7 Household members - $64,000 or less
• 8 Household members - $71,200 or less
• each additional member add $6960 for each member.

There are some other requirements as well that you have to agree to attend or follow....

• Make monthly savings of at least $15.00 a month and no more than $62.50 a month
• Minimum of 12 months in program, maximum of 36 months in program.
• Attend personal finance and money management workshop series, 8 hours education.
• Complete asset training for selected asset goal, prior to purchase of asset.
• Support one another through ongoing peer support meetings.
• Regular contact with case manager throughout program.
• Address any credit issues that could keep you from meeting asset goal.
• Agree to follow program rules and responsibilities.

I'm including a link to the UIDAN website, and you can contact me if you have any questions regarding the program.

801-599-4291