Example of a Loan Program ...that helps some borrowers:

 The First Time Homebuyer, Tax exempt programs maximum acquisition cost limits are set by Department of Treasury and is based on 90% of the average acquisition costs of homes in Alaska.  Valdez is blended in with the Mat-Su and Kenai boroughs, as well as the rest of the State with the exception of the Municipality of Anchorage.  The average acquisition costs includes the sales price; all improvements, additions, or alterations the borrower plans to  make to the residence as part of the purchase transactions; typical closing costs that are paid by the buyer that are typically paid for by the seller, such as owners title, survey, real estate commission, and assessments; and any energy improvements that the borrower may want to do in order to take advantage of the energy rate reduction program.  

The maximum acquisition limit for an existing home is $128,325* and for an new home the limit is $159,370* in Valdez.  

These are the same limits as the rest of Alaska, except for the Municipality of Anchorage. (*effective 6-1-01 - same for March, 2003)

Or for a duplex that is at least 5 years or older:  

$190,725 is the maximum allowable purchase price in this program.

(Summarized by an AHFC instructor.)

"Buyers are excited about the prospect of help in buying their first house, until they realize, that in Valdez we are limited in the total price of a home based on being averaged in with other areas of the State where the cost of homes is lesser."

 "Great for them, not so good for us."

says Diann