Warning...SNAP grant ahead!

Borrowers Beware! You WILL have to pay off all Snap grants according to the terms outlined in the deed. For my last clients, that meant that if they sold within 4 years they owed the entire 10K, PLUS back interest. 5 years, the full 10K with no back taxes. and then each additional year...8,6,4,2,0. Blah! What young family will be able to afford a home big enough to stay in for 10 years? Life happens. Kids come.

I want to state that the grant IS a really helpful. However, keep in mind that it will most likely cost you. These clients of mine went from a family of 2, to a family of 4 in 540 sq ft. The home that was a good fit was now WAY too small for two crazy boys. To sell, they had to beg, borrow over $12,000 to close. I ended up giving my commission to help make up the difference, but they still had a horrible weekend trying to make ends meet. There were alot of tears.

So, in summary:

If you are a buyer who is considering using the SNAP grant, use it with the knowledge that 10 yrs is 10 yrs. Make sure the home you choose is large enough to accommodate your needs for that period of time.