Homes for teachers at 50% off

The Good Neighbor Next Door Program (formerly the Teacher Next Door Program) offers HUD-acquired, single family homes to teachers at 50% off the purchase price. Single-family detached homes, condominiums and townhouses are all included. The teacher must purchase a home in the same school district/jurisdiction in which he/she is employed and must reside in the home as their sole residence for at least 3 years. After the 3-year period, the teacher may sell the property and keep any profits.

Wells Fargo Home Mortgage is a participating lender in the Good Neighbor Next Door Program. NEA members can use the NEA Home Financing Program, through Wells Fargo Home Mortgage, to get a mortgage for a Good Neighbor Next Door property.

Who is eligible?

The federal government sets the eligibility rules. The Good Neighbor Next Door Program is open to any state-certified classroom teacher in grades K-12, who is employed full time by a public school, private school, or federal, state, county or city educational agency (ESP, student, administrator and retired members are not eligible, as defined by HUD).

Where are the homes located?

Good Neighbor Next Door homes are located in over 900 HUD-designated Revitalization Areas all over the country. Revitalization Areas are typically in low- and moderate-income neighborhoods, have many vacant properties, and are considered good candidates for economic development and improvement. Teachers may only purchase homes located in the boundry of their school system. Homes for sale in the program were previously insured through the Federal Housing Administration (FHA) and then foreclosed when owners failed to make mortgage payments.For a complete listing of Good Neighbor Next Door properties, visit HUD’s web site at http://www.hud.gov and search for "Good Neighbor Next Door."

Low down payments

The down payment is just $100 if the home is purchased with an FHA insured mortgage. If the home is not purchased with an FHA insured mortgage, the down payment will be determined by the type of mortgage product selected.

Not just for first-time home buyers

The teacher does not have to be a first-time home buyer. However, the teacher cannot own any other residential real estate.

Real estate brokers not required

Teachers may buy a home directly from HUD or may use a real estate broker to arrange the sale. If a broker is used, the teacher’s discount will be reduced by any broker/agent commission. (Example: The list price is $100,000 and the teacher requests closing costs of $2,000 and commission of $5,000. With the 50% discount = $50,000, at closing the teacher’s discount is reduced to $43,000 and the amount due at closing is $57,000.)

Complimentary $200 NEA Member Closing Cost Rebate

NEA members who buy a home through the Good Neighbor Next Door program and get their mortgage through the NEA Home Financing Program will receive a complimentary $200 NEA Member Closing Cost Rebate.

For more information call
1-800-NEA-4-YOU
(1-800-632-4968)

1. Borrowers are eligible for a closing cost discount after closing on any new purchase or refinance, secured by a first mortgage or deed of trust, closed through the NEA Home Financing Program, provided by Wells Fargo Home Mortgage (New Loan), on or after 12/01/2007, subject to qualification, approval and closing. Discount may not exceed your out-of-pocket costs. This discount is not available on home equity loans and lines of credit, FHA mortgage loans, assumption or modification loans, loans originated through brokers, joint ventures or other third parties, and cannot be combined with any other offer or discount. This discount must be mentioned at the time of application, and all eligibility requirements met no later than two days prior to your New Loan closing date. Only one discount permitted per New Loan. This discount is void where prohibited, subject to program availability.

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