Teachers around the country make sacrifices every year to help educate the next generation. To thank you for all of their sacrifices, many different programs and grants are available to help educators qualify for a mortgage and get into the home of their dreams. Many agencies, both on the national and local level, offer teacher home-buying programs where teachers can qualify for low down-payment mortgages, lower interest rates, and even grants to help with closing costs.
Here we take a look at some of the top teacher home-buying programs available in 2023 and what they offer educators looking to purchase a new home.
As an educator looking to buy a new home, it is in your best interest to explore these programs before you make an offer to make sure you are getting the best possible mortgage and saving the most in both closing costs and in the long term.
1. Hero Home Programs
Hero Home Programs for Educators is a team of specialists working to help our community heroes get into their dream homes with as little stress as possible. While not a direct program for teachers, our specialists help you navigate the home-buying process while also connecting you with all the available programs. This includes national and local community programs, including low-rate mortgages, rebates, grants, closing credits, and direct vendor discounts.
Eligibility
The Hero Home Program eligibility requirements vary by state, but in most cases, assistance is available to full-time teachers, school administrators, and support staff working in public schools, charter schools, and community and state colleges. Some programs may be available for school educators teaching at private schools and homeschooling parents.
Benefits and incentives
Hero Home Loan Programs for teachers offer many benefits, including low-down-payment mortgages, reduced interest rates, and reduced closing costs. In addition, many programs are available that provide payment assistance for down payment and closing costs, making it easier for educators to secure the home of their dreams. Hero Home Programs takes it one step further by finding what programs you qualify for and walking you through the home-buying process from start to finish.
2. Teacher Next Door
The Teacher Next Door Program is designed to help educators purchase any home on the market with specific assistance that can include grants to down payment assistance, no broker fees, and free home appraisals.
Eligibility
To qualify for the Teacher Next Door (TND) program, borrowers must work with an agent that works with the TND program. In addition, they must be pre-K through 12th-grade teachers at a public or private school and college and university professors. Some benefits of the program are also available to non-instructional school employees, such as school administrators.
Benefits and incentives
The Teacher Next Door Program offers a wide range of benefits and incentives for homebuyers that can include:
- Grants up to $8,000
- As much as $10,681 in down payment assistance
- Free home appraisals
- Fee waivers, including application, title, and broker fees
- Access to lower interest rates
- A Fresh Start credit repair program to assist borrowers with credit challenges
3. Fresh Start Program
The Fresh Start Program is a special program offered through the Teacher Next Door program. It is designed to help borrowers with credit challenges that may be preventing them from purchasing a home. The program helps borrowers identify specific credit challenges and work to resolve these issues and boost their credit scores.
Eligibility
The Fresh Start Program is available for all teachers and educational professionals that meet the eligibility requirements for the Teacher Next Door Program. Consultations are free of charge and are the first step in getting you on the path to home ownership.
Benefits and incentives
The primary benefit of the Fresh Start Program is credit repair and guidance in order to help borrowers qualify for a home mortgage by repairing and addressing credit challenges.
4. Good Neighbor Next Door
The Good Neighbor Next Door home financing program is funded through the U.S. Department of Housing and Urban Development (HUD). The program helps civil servants, including teachers, buy a home in designated revitalization areas in the communities where they work. When buying one of these homes, borrowers can receive as much as 50 percent off the home listing price.
Eligibility
In order to take advantage of the Good Neighbor Next Door program, borrowers must meet certain eligibility criteria. These requirements include:
- Must be a full-time pre-K through 12th-grade teacher providing education to students in a revitalization area.
- The home you purchase must be located in a revitalization area
- Must commit to living in the home as a primary residence for at least three years
Benefits and incentives
Taking advantage of the Good Neighbor Next Door program allows teachers to save up to 50 percent of their home price when purchasing a home in a revitalization area. When choosing a home in these revitalization areas that you serve as a teacher, HUD places a silent second mortgage on the home for the discounted portion of the home price. This silent mortgage requires no payment on your part and is forgiven after you meet the three-year residence obligation.
5. Homes for Heroes
The Homes for Heroes program began as a way to honor first responders after 9/11, but soon after opened the program up to additional community heroes, including teachers. The program is a network of real estate, mortgage, and business professionals that work together to offer home loan discounts to qualifying buyers.
Eligibility
The Homes for Heroes Program is open to all first responders, healthcare professionals, military personnel, and teachers. In order to receive benefits, you must work with a participating mortgage professional.
Benefits and incentives
Through the availability of loan discounts, the Home for Heroes program can help teachers save thousands depending on the purchase price of the home they are buying.
6. Educator Mortgage Program
The Educator Mortgage Program is a discount program designed to help teachers and other educational support staff, such as administrators and counselors.
Eligibility
The Educator Mortgage Program is available to anyone working within the education industry, including teachers, coaches, librarians, custodial staff, counselors, and more. The program offers fee discounts, closing cost discounts, a faster loan process, and even a donation to your school’s programs.
Benefits and incentives
This program offers a wide range of benefits for teachers looking to purchase a home. These benefits include:
- Discounted closing costs: Teachers receive up to $800 in reduced closing costs
- Discounted real estate agent fees: Homes for Heroes works closely with a large real estate community, and when working with these agents, you can receive up to $800 in real estate agent fee discounts
- Faster loan processing: The Educator Mortgage Program works to help teachers get into their homes quickly, helping to speed up the closing process.
- Donations to school programs: With school programs being underfunded nationwide, the Educator Mortgage Program makes a donation of up to $200 to a school program of your choice.
7. United Federation of Teachers Mortgage Offers
If you are a member of the United Federation of Teachers, there are a collection of private lenders that offer reduced mortgage rates to their members.
Eligibility
In order to take advantage of these benefits, you must be a member of the United Federation of Teachers.
Benefits and incentives
- No application fees
- Free mortgage pre-approvals
- Down-payment assistance programs
- Expedited loan processing
- Reduced interest rates and PMI
8. Local Programs
Local organizations and local teacher’s unions often offer a wide range of loan programs and special discounts. In many cases, these other programs we have mentioned can also steer you to available local programs.
Eligibility
Eligibility for local programs will vary based on the individual programs.
Benefits and incentives
Benefits will vary based on the available local programs but can include reduced fees, grants, down-payment assistance, and more.
Finding the best program for your new home
You do not have to navigate the home-buying process alone as a teacher. There is a wide range of different programs available to save you both time and money, getting you into your new home quicker and, in many cases, for half the cost. In addition, some of these programs can also be combined, increasing your overall benefits.
To learn more about the potential benefits available to you, contact Hero Home Programs today.
