JC Live Where You Work: http://www.jerseycitynj.gov/resident.aspx?id=2330

Damn, i wish i knew about this a few years ago.

Morristown eyes incentive to buy homes in town
Those who work in municipality could get down-payment help

By Cindy Capitani ? Daily Record ? January 8, 2009

MORRISTOWN -- People shopping around for a house who happen to work in town might be eligible for a down payment they don't have to pay back, if they'll consider calling Morristown home.

Representatives from the state's Live Where You Work program met Wednesday with Mayor Donald Cresitello to announce the municipality is the newest member of the homeownership initiative.

Morristown is the first town in Morris County to be included in the program and joins Atlantic City, Rahway, Jersey City, Elizabeth, Woodbridge and Trenton, according to the Web site for the Housing and Mortgage Finance Agency, which oversees the WWYL program.

Cresitello said his office found out about the program last summer and thought it would be beneficial to people in town.

"It's a good program. I can think of some town employees who rent that would benefit from this," he said. "It helps bridge the (down payment) gap for some people."

The program offers first-time homebuyers down payment assistance consisting of up to 5 percent of the mortgage that doesn't have to be repaid as long as the buyer stays in the house at least seven years, said Jerry Keelen, WWYL's director of single-family homes. The system is set up to prevent house flipping. He said it's like a "soft" second mortgage, in that people don't have to pay it back.

In addition, low-rate first mortgages are arranged with HMFA-approved lenders.

Income limits are $84,400 for a one- to two-person household and $97,060 for a household of three or more. The maximum home price is $429,619 for new construction, and $429,619 for an existing one-family and $550,005 for an existing two-family house.

Towns in the program are in state-designated "smart growth" areas such as Morristown, or in urban target areas, which get additional buyer incentives, according to the Web site. Complete information can be found at www.state.nj.us/dca/hmfa/consu/buyers/close/live.html