Real Stories

Couple takes advantage of HMFA pre-fund program

Upon discovering that their family of two was going to become a family of three, Tiffany and PJ began to look for a more spacious place to live. After considering upgrading their rental to a two-bedroom apartment, PJ realized that buying a home was more within reach than they originally thought.

“I knew my credit was good. I checked house prices online and saw some that I liked, and figured we should give it a whirl,” said PJ.

PJ and Tiffany examined their budget, taking into account that they would receive the $8,000 first-time homebuyer tax credit. An added bonus, their REALTOR^® Richard and broker Frank, notified them that the NJ Housing and Mortgage Finance Agency (HMFA) offered a prefund loan, which would give them $5,000 at closing if they utilized HMFA funding. PJ and Tiffany took advantage of this opportunity and the prefund came in handy because they did not have to wait until filing their taxes to receive part of the credit.

“Having that money in the bank right when we close would allow us to spend money on a house right away,” said PJ. “We knew that we’d be able to afford new furniture and other minor fixes.”

With Richard, the couple decided to look at homes further west from PJ’s workplace in Bergen County and their rental in Nutley. They wanted to live in an open neighborhood with lots of space and no congestion.

“I knew moving to Warren County would give us a big home with fresh air, a quiet neighborhood, and still be only one hour away from work,” said PJ.

“Richard lives in Warren County gave us advice about the towns, information about schools in the area, and tips about what homes needed more work than others,” said PJ. “With his help, we decided on the house in Pohatcong.”

They liked the home because of its large lot (it sits on a half-acre), it had two garages, three bedrooms, was near good schools, and was well-maintained. Despite the fact that it was built in 1958, the house only had one set of owners who raised their children in the home and took good care of it.

After putting in the offer, Richard guided PJ through the mortgage and closing process. They closed by the end of December.

“Richard told me what to expect, explained the terminology in the contract, and helped with the paperwork for the mortgage and prefund,” PJ said.