The City of Pembroke's Community HOME Investment Program, known as CHIP, is creating new opportunities for eligible buyers to purchase a home in Pembroke. Four CHIP homes on Ledford Street will soon be offered for sale, with qualified buyers potentially receiving financial assistance toward their purchase.
The Community HOME Investment Program, or CHIP, is a federally funded housing program administered in Georgia through the Georgia Department of Community Affairs.
Through CHIP, communities such as the City of Pembroke can create affordable homeownership opportunities for eligible buyers. The Ledford Street homes were developed as part of this program, and qualified buyers may be eligible for assistance toward their purchase.
Eligible buyers may receive up to $40,000 in CHIP assistance. The actual assistance amount is determined through the program's underwriting process.
Household income is reviewed as part of CHIP underwriting. The program materials identify households below 80% of Area Median Income as part of the eligibility framework.
The home must be occupied as the buyer's principal residence throughout the applicable affordability period.
Mortgage approval and CHIP approval are separate processes. Both must be completed before closing.
Meet applicable household income requirements
Purchase the home as their primary residence
Obtain an acceptable first mortgage
Complete HUD-approved homebuyer education
Complete the CHIP application and underwriting process
Provide required household, income and financial documentation
Final CHIP eligibility and assistance amounts are determined through the program's underwriting process. A real estate agent or mortgage pre-approval cannot determine CHIP eligibility.
CHIP assistance is applied toward the home purchase and is structured through a deferred second mortgage rather than being paid directly to the buyer.
The CHIP closing documents state that there are no required regular monthly or annual payments. Instead, the assistance is subject to an affordability period. If the buyer continues to meet the program requirements throughout that period, the assistance may ultimately be satisfied without repayment.
Selling, transferring, leasing or no longer occupying the home as a principal residence during the affordability period may trigger repayment requirements.
Affordability periods are based on the amount of assistance received.
Under $25,000: 5 years
$25,000 to $50,000: 10 years
Over $50,000: 15 years
The DCA underwriting packet specifically states that a property may not close before CHIP underwriting is complete.
Representing a buyer interested in a Ledford Street CHIP home? A few things are important to know from the beginning.
Your client must complete both processes.
Agents can explain the published requirements, but final eligibility and assistance amounts are determined through CHIP underwriting.
The buyer must submit a complete CHIP application before the underwriting process can be finalized.
The buyer must use the property as their principal residence throughout the applicable affordability period.
Pembroke offers the charm of a close-knit Bryan County community while remaining connected to the greater Coastal Georgia region.
The Ledford Street CHIP homes create another opportunity for buyers to put down roots in a community known for its small-town atmosphere, local parks, community events and convenient location.
Whether you're a buyer interested in one of Pembroke's CHIP homes or an agent representing a potential purchaser, The Trisha Cook Team can help you explore the properties, understand the transaction process and connect with the appropriate CHIP resources.
CHIP Program Disclaimer: Information on this page is intended as a general overview of the Community HOME Investment Program and does not constitute a determination of buyer eligibility or guaranteed assistance. Program requirements, assistance amounts and underwriting guidelines may change. Final eligibility, assistance amounts and program terms are determined by the applicable CHIP administrator and Georgia Department of Community Affairs.
