I heard that if we use the City program, we cannot take out a loan on the property. Is this true?
Yes. The City puts itself at greater risk if the homeowner is allowed to remove the equity from the home through a home equity loan. The City remains in what is known as a "second position" behind the mortgage. This means that should you default or sell the home, the mortgage gets paid first then the City receives it's funds with any remaining funds going to the homeowner.

Lenders have asked the City to take "third position" behind the home equity loan. This is prohibited and cannot be approved.

Many applicants have taken out home equity loans as they have gained equity and used a portion of the funds to repay the City, which would release the restrictions on the property. The City then reinvests the funds into our program allowing us the opportunity to assist another applicant.

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1. Is this where I come to buy a home if I have bad credit?
2. I applied for the First Time Home Buyer program and received a preliminary approval letter. Does this mean I qualify to buy a home?
3. I had a job that had me over the income limits but now I am on unemployment, do I qualify for your program?
4. What if my income changes after I've applied for the First Time Home Buyer program?
5. I work more than one job which puts me over the household income limit for the First Time Home Buyer program. What if I (or a member of my family) quits one of these jobs?
6. Why do you need income information on people over the age of 18 when the house I want to purchase will be in just my name?
7. Who should be getting you the information regarding my application to the First Time Home Buyer program?
8. I am a displaced homemaker and have owned a home in the last 3 years. Do I qualify for the First Time Home Buyer program?
9. I own a mobile home. Do I qualify for the First Time Home Buyer program?
10. Can I buy a "Manufactured Home"?
11. How do I buy a HUD Home?
12. Can I buy a home in Lockwood using City of Billings funds?
13. I applied for the First Time Home Buyer program last year. Do I need to apply for the program again?
14. Do I have to use a Real Estate Agent to buy a home?
15. Do I have to attend the City's Homebuyer Workshop? Can I wait until I find a home so that I don't waste my time if I can't find a home?
16. How long do I have to find a home? Once I'm approved don't you hold the funds for me?
17. I heard that if we use the City program, we cannot take out a loan on the property. Is this true?
18. The City program inspected my home, does this mean that it is safe and up to code? Do I need to have a home inspection?
19. City staff inspected my home and it was determined that repairs are needed. Who is responsible for these repairs?
20. Can you inspect the home before we make an offer to purchase it?
21. If I buy the home and discover a problem with the house, who is responsible for the repairs?