City of Alexandria Announces Award of $7.1 Million in Virginia Housing Funding for First-Time Homebuyers
For Immediate Release: September 22, 2021
The City of Alexandria is pleased to announce the availability of Sponsoring Partnerships & Revitalizing Communities (SPARC) funds to provide eligible first-time homebuyers with permanent financing for their home purchase. SPARC is a special allocation to local governments to reduce first trust mortgage interest rates. The City was awarded an allocation of $7.1 million in funding through a competitive solicitation, administered by Virginia Housing.
Virginia Housing directly provides the funds to eligible first-time homebuyers through their Virginia Housing lender. SPARC funds reduce Virginia Housing mortgage loans with a 1% lower interest rate than Virginia Housing’s published first-time homebuyer rate. SPARC financing is not a grant or a loan and does not require repayment. However, SPARC allocations are only reserved for individual homebuyers after the buyer has a ratified sales contract.
To qualify for a City of Alexandria-sponsored SPARC allocation, the prospective homebuyer must meet the following criteria:
- Be a first-time homebuyer. A first-time homebuyer is defined as someone having no ownership interest in real property in the most recent three-year period. Exceptions may be granted based on circumstances regarding a termination of prior ownership.
- Live or work in the City of Alexandria for six months before requesting SPARC funding.
- Have an annual household income at or below 100% of Area Median Income (which ranges from $90,300 for a household of one to $129,000 for a household of four in 2021).
- Receive a first trust Virginia Housing mortgage from a City of Alexandria designated Participating Lender.
- The home to be purchased must be located within the corporate limits of the City of Alexandria.
Homebuyers do not have to participate in the City’s Flexible Homeownership Assistance Program to use SPARC funding; but they may be eligible.
Visit alexandriava.gov/Housing to learn how to obtain SPARC funding, or for more information about housing assistance programs and resources.
For inquiries from the news media only, contact Andrea Blackford, Senior Communications Officer, at firstname.lastname@example.org or 703.746.3959.
For reasonable disability accommodation, contact email@example.com or call 703.746.4990, Virginia Relay 711.
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This news release is available at alexandriava.gov/124286.