Section 8 Homeownership Program Fact Sheet

DCA’s Section 8 Homeownership Program is a federally-funded program that enables qualified first-time homebuyers to receive monthly assistance for homeownership expenses in lieu of monthly rental assistance.

 

Who can participate?

The program is available to DCA Housing Choice Voucher participants meeting the following criteria:

  • Applicant is in good standing with DCA’s Housing Choice Voucher Program
  • Applicant is a first-time homebuyer (No one in the household has owned a home for at least three years)
  • Applicant has been continuously employed on a full-time basis for at least one year before applying to the program
  • Applicant has an annual earned income of at least $20,800. This amount does not apply to elderly and disabled head of households
  • Applicant must be willing to attend homeownership counseling assigned by DCA (The family must attend and satisfactorily complete DCA's housing counseling program)

 

Steps to becoming a homeowner:

In order to become a homeowner, you must:

  • Contact the Homeownership hotline at 609-292-9025 and inquire about applying for assistance
  • Submit an application
  • Once deemed eligible, DCA will refer you to a housing counselor who will work with you to set up a personal plan of action

Once deemed mortgage ready:

  • Attend a briefing at the local Field Office, obtain a homeownership voucher and required program materials, and commence housing search
  • Work with the NJ Housing and Mortgage Finance Agency to become pre-qualified for a mortgage
  • Locate a “potential” home – submit the sales contract and sales addendum to DCA for review and approval
  • Schedule a private professional home inspection – submit report to DCA for review
  • DCA conducts a Housing Quality Standards Inspection
  • Based on the inspections and sales contract, DCA will approve or disapprove the unit
  • DCA will reexamine your household income and composition on an annual basis and make appropriate adjustments to the amount of the monthly housing assistance payment

 

Please be advised that homeownership assistance can only be paid for a maximum period of 15 years. Federal regulations state that this limit on assistance does not apply to elderly or disabled head of households.

 

Participants not eligible for the homeownership program will be encouraged to participate in the Family Self-Sufficiency Program and begin a plan of action to reach eligible status for homeownership.