City of Kettering Kettering and Day Air Credit Union launch programs to help homeowners

Kettering, Ohio – The City of Kettering and Day Air Credit Union announced two new programs to provide affordable and sustainable homeownership and home improvement for Kettering residents. The First-Time Homebuyer Assistance Program and the Home Improvement Assistance Program will provide low-interest, forgivable loans to help offset down payment and renovation costs for current and future Kettering residents.

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First-Time Homebuyer Assistance Program

The First-Time Homebuyer Assistance Program is designed for the purpose of promoting the general welfare of Kettering residents by providing affordable and sustainable homeownership options for Kettering residents. This program will help renters and low to moderate income households reduce the financial burden of getting their first home by providing up to 10% down payment and cover closing costs up to $20,000 when paired with a Day Air Mortgage product. Day Air has agreed to provide special financing and terms for the remainder of the program.

“Day Air is proud to make a difference in the communities we serve,” said Bill Burke, President and CEO. “Working with the City of Kettering to help make the financial dreams of our members and our community more achievable is core to who we are.”

To be eligible for the program residents must be first-time homebuyers purchasing a home in the City of Kettering. The program defines first-time homebuyers as “an individual who has had no ownership in a principal residence during the 3-year period ending on the date of purchase of the property.”

Households also must meet the income requirements of not making more than 120% of the Area Median Income (AMI). According to Day Air, those meeting the following income guidelines will meet the income eligibility guidelines:

• $63,600 per year for a household of 1
• $72,720 per year for a household of 2
• $81,840 per year for a household of 3
• $90,840 per year for a household of 4
• $98,160 per year for a household of 5
• $105,480 per year for a household of 6
• $112,680 per year for a household of 7
• $120,000 per year for a household of 8

Program participants must also complete a homebuyer education program that is approved by the City of Kettering. Day Air’s website says that they will offer the required training.

The program appears to have two major benefits for borrowers. First, the program’s website says that 20% of the down payment assistance will be forgiven for each year the borrower remains in the home. So, after 5 years 100% of the loan could be forgiven. The other major benefit is that Day Air says that the credit union will make special financing terms available to cover the balance of the purchase price. Day Air will even work with those who have “moderate credit scores”.

Residents can apply for the program at https://dayair.org/kettering-first-time-homebuyer-assistance-program/.

Home Improvement Assistance Program

The Home Improvement Assistance Program serves the purpose of promoting the general welfare of Kettering residents by providing affordable and sustainable home improvement options for Kettering residents. The program aims to help Kettering residents make home upgrades that enhance property value by providing a special low-rate home improvement loan from Day Air of which 40%, up to $20,000, will be forgivable. Program funds can be put toward a large list of exterior and interior home improvements as approved by the City of Kettering.

City Manager Mark Schwieterman said, “We’re passionate about providing resources for our community that enhance the lives of everyone who chooses to call Kettering home. We’re excited to partner with Day Air to provide affordable and sustainable opportunities for Kettering residents to enjoy homeownership.”

The Home Improvement Assistance Program has the same 120% AMI income requirements that Day Air and Kettering are using for the First-Time Homebuyer Assistance Program.

The program will consider closed-end loans for projects with costs ranging from $5,000 to $50,000. Borrowers must be a resident of Kettering and the City must approve the contractor.

The City will provide 40% of the project loan. For each year following the loan that the borrower remains in the home, the City will forgive 20% of their portion of the loan. So, after 5 years the entire portion of the loan covered by the City could be forgiven. Day Air will fund 60% of the loan for qualified borrowers.

Residents can apply for the Home Improvement Assistance Program at https://dayair.org/kettering-home-improvement-assistance-program/.

About Day Air Credit Union

Established in 1945, Day Air is the largest financial institution headquartered in Montgomery County and proudly serves businesses and residents of the Miami Valley in southwest Ohio. Day Air is a not-for-profit, full-service financial cooperative with over $600 million in assets and more than 47,000 members. Credit Union members have access to over 30,000 surcharge-free ATMs, and more than 5,900 shared branches nationwide. Membership is open to people living, working, worshiping, or attending school in the Miami Valley. Visit dayair.org for more information.