FAQ

Homebuyer Education FAQ: Learn How to be a Wise Homebuyer

What is Homebuyer Education all about?

Homebuyer Education is a service offered by Neighborhood Housing Services of Kansas City, Inc. (NHS). The program is designed to assist first-time buyers in purchasing their homes. Training sessions cover the basics of buying a home from pre-qualification for a loan to the actual loan closing. In addition, participants have a one-on-one session with a specialist and access to other financial planning information.

NHS offers educational seminars and loan referral services. Our program can help you find the loan that is right for you and get the most value for your dollar. NHS’ program can expose you to programs that can substantially lower the down payment and closing costs on your new home.

Who sponsors this program?

This program is offered by Neighborhood Housing Services of Kansas City, Inc. (NHS), a non-profit organization, and sponsored by some of the area's largest and most respected lending institutions (banks and mortgage companies). The five banks that originally supported the program remain active today in helping renters become home owners in the Greater Kansas City Metropolitan Area.

Kansas City families have access to grant funds sponsored by the State of Missouri, the City of Kansas City, Missouri, and the Unified Government of Wyandotte County and Kansas City, Kansas. These programs have assisted thousands of families over the years in buying their first homes.

Who can participate in NHS’ Homebuyer Education Program?

Program participants come from all walks of life. The program does not have an income limit. However, services are geared toward families who have low to moderate incomes, and are first-time homebuyers.

What does it cost to go through Homebuyer Education?

The total program cost is $30.00 per family. This cost includes the homebuyer education seminar, a credit report, credit scores, and subsequent mortgage planning sessions.

How do I register for an NHS Homebuyer Education training session?

Click here for a training schedule and sign up for an upcoming class by calling (816) 822-7703, ext. 225.

What if my family has credit challenges?

Many prospective buyers avoid this issue only to have the lender reject the loan. Mortgage lenders loan money with considerable risk, therefore they want to know that the buyer will repay the loan as agreed. They want to know how the homebuyer has paid creditors in the past. An NHS homebuyer education specialist will walk through the credit report with you and show you what lenders look for and how they address each issue.

This is powerful information and will place you ahead of other buyers as you apply for your mortgage. Mortgage delays can cause the seller to move on to other qualified buyers and frustrate the home search for the unprepared buyer.

What happens after completion of the homebuyer education program?

An NHS homebuyer education specialist will assist you with shopping for a mortgage loan product and realtor.

What does it cost to buy a home? How do I start budgeting?

First-time homebuyers often overlook this question and underestimate the value of savings and maintaining a low level of debt. Planning your spending is the cornerstone of success in the homebuying process.

The process is more expensive than most people think. Homebuyers are often surprised by the variety of costs associated with purchasing a home. Click here to view an example pre-purchase budget.

Many first-time buyers are broke after the loan closing and desperately await the next paycheck to handle normal responsibilities. This makes many families vulnerable to predatory lenders and other scam artists. NHS’ training curriculum places a strong emphasis on savings.

NHS’ Homebuyer Education Program will help make you an informed buyer and assist you with savings strategies.

Are there subsidies and grants to help with all of this?

NHS homebuyer education specialists will help you identify where to find government grants and subsidies relating to special first-time buyer programs.

Why is NHS involved in Homebuyer Education?

Homebuyer education helps improve the opportunities and incidence of home ownership in the Greater Kansas City Metropolitan Area, particularly in the urban core. NHS is committed to helping enhance the stability of neighborhoods by creating wealth through home ownership. The program also offers lenders the opportunity to contribute to community improvement by investing money in neighborhoods that were previously avoided.