Accepting County Grants, is it worth it?

[Cody Davis]

Hey friends,

This account is ran by a couple who are both interested in investing in rental properties (single and multi-family). We are not married or in a civil union, giving us the opportunity to invest separately at the same time with different bank loan options. Cody owns a duplex that we are currently house hacking and I (Angie) am looking to make my first deal. 

I have never been pre-approved for a loan before so I met with our favorite bank lender yesterday to get some numbers of what my budget would be through a bank. In the process, I was offered two grants- 5,000 with no contingencies and 10,000 for a single or multi-family home that I live in for 5 years. This would go towards a down payments and closing costs. The 5,000 grant is a no brainer, but what is it even worth considering the 10,000 grant if it means making that home a primary residence for 5years? If we decide to not accept these grants, we planned to put 5-10% down of our own money. 

My question is whether a grant would be worth accepting if I'd have to house hack a multi-family in that one location for 5 years? There is the option of paying off the grant depending on how many years there is have leftover. What would you do in this situation? 

Thanks in advance,

Angie 

IG: wayvee__