The HELPER Act 2023: No Money Down Home Loans Proposed

Answering the call to be a civil servant is a truly heroic decision. Not only do you decide to dedicate your lives to serving others, but in many professions, you put your life at risk so others can feel safe. However, these heroic professions rarely come with the salary that’s deserved of them. Because of this, many teachers, police officers, firefighters, and emergency medical services professionals may have a hard time buying a home. 

The HELPER Act stands for Homes for Every Local Protector, Educator, and Responder Act and is working to make the American dream of owning a home a reality for those serving in their communities. If enacted, this legislation will offer teachers, police officers, firefighters, and EMS professionals the following when buying a home:

• No down payment. The stress of coming up with 10-20% of the price of the potential home can be overwhelming to our everyday heroes who are sacrificing so much to give us peace of mind. By alleviating the pressure of a down payment, our educators and first responders will have a much easier time buying a home and will have more money available for mortgage payments and other necessities.
• No Private Mortgage Insurance. Most home loans require Private Mortgage Insurance (PMI). This is a type of mortgage insurance you may be required to pay if you have a conventional loan and make a down payment of less than 20% of the home’s purchase price. It’s arranged by the lender and is provided by private insurance companies to protect the lender in the case of default or foreclosure. Under the HELPER Act, PMI will not be a requirement, helping to save our heroes thousands.

Facts about the HELPER Act:

• Requires a 3.6% upfront Mortgage Insurance Payment (MIP), based on the overall amount of the loan, and will adhere to all Federal Housing Administration (FHA) loan limits.
• Any K-12 teacher, police officer, firefighter, or EMS worker who has been in the field for at least four years (continuously) will be eligible under the terms of the HELPER Act.
• A qualifying credit score is still required to secure a mortgage under the HELPER Act.
• Includes a five-year reauthorization plan, which will allow the government to go over the numbers of people helped by it and decide if the Act should be renewed or continued.

The HELPER Act was reintroduced on May 10th, 2023, by Senators Marco Rubio (R-FL), Jon Ossoff (D-GA), and Sherrod Brown (D-OH).

While there are other programs available, such as the Good Neighbor Next Door, the difference in the HELPER Act is clear. There will be no limit to the number of heroes who can be helped. The HELPER Act is not just for a certain number of homes in certain areas. Instead, it is available to every K-12 educator, police officer, firefighter, and EMS professional. This will not only bring peace of mind to civil servants and your families, but it will encourage economic advancement in real estate, and promote overall growth for our communities.

While the HELPER Act continues to move forward, the Heroes First  team continues to do our very best to support those who serve us. Making sure people are aware that Heroes First and the HELPER Act are missions, not programs. Heroes First hopes to give back to as many communities as possible by providing peace of mind through homeownership for heroes.

To learn more about Heroes First at Churchill Mortgage and the team behind the mission, feel free to reach out anytime. One of our dedicated loan officers would love to answer any questions you may have.

To further the impact of the HELPER ACT, we encourage you to write to your local and state representatives, asking them to put their support behind the mission and provide our everyday heroes with home loans that will help them continue to serve in their communities.