We hope you all have heard about the down payment program called Neighborhood Lift in Minneapolis and St. Paul and wanted to let you know that Waterstone is one of the few lenders  that is approved to offer this program.  The money was reserved quickly because of the way they have it structured.  For most of these programs, you have to have a purchase agreement before they allocate the money, but this time they let everyone reserve without a PA.  A lot of people that reserved the money do not have contracts and many have homes to sell.  If they don’t sell the home or get into a contract, their money will be released so other people can reserve it.  Neighborhood Lift is anticipating this and therefore will be reviewing applications on October 6th to be ready for when the funds come available.

Waterstone is here to help you with your clients that would like to utilize this program.  They can use it with any first mortgage that they qualify for (FHA, conventional or MN Housing).  Here are some details:

·         Up to $15,000 for down payment assistance for the purchase of a primary, owner-occupied residence in the City of Minneapolis or City of St Paul.
·          Program is administered through NeighborWorks America and its affiliates.

·         0% interest rate. Program is forgivable 20% each year for five years.

·          The prorated balance due is repayable if the property is sold, refinanced, foreclosed, not owner-occupied as the primary residence or transfers title within the first 5 years.

·         The only exception is the refinance of the first mortgage to a lower interest rate. No cash out is allowed.

·         Household income cannot exceed 120% of Area Median Income (AMI) adjusted for family size.

·         Not required to be a first-time homebuyer.

·          Current Homeownership: If you currently own a home, it must be sold prior to closing. The current home cannot be rented/leased

·          Single Family Detached, 2-4 units, Condos, and PUDs.

·         No Manufactured Housing.

·         Property must be owner-occupied primary residence.

·         Property must be in an area as defined in the City of Minneapolis or City of St Paul.

·         Homebuyer or Landlord Education is required and must be conducted by NeighborWorks America and its affiliates or a HUD-approved counseling agency prior to closing.

·         To receive the down payment assistance, you must be approved  for a first mortgage loan.

Please call or email if you have questions!

Thanks for installing the Bottom of every post plugin by Corey Salzano. Contact me if you need custom WordPress plugins or website design.


No Comments on Sep 18th 2012

Leave a Reply