North Carolina Housing Finance Agency Fund Overview

Transcription

1 North Carolina Housing Finance Agency Fund Overview

2 Since the implementation in 2010 Assisted 19,872 N.C. Homeowners Receive an average of 400 applications per month

3 Mortgage Payment Program (MPP) pays monthly mortgage and mortgage related expenses or reinstates a mortgage up to $36,000 Second Mortgage Refinance Program (SMRP) refinances and extinguishes an unaffordable second mortgage up to $30,000

4 Mortgage Payment Program (MPP)

5 The assistance comes in the form of a 10- year, 0% interest, deferred payment subordinate loan Loan is forgivable after 10 years Must reside in the property as primary residency

6 Job Search assistance- up to 18 months not to exceed $36,000 Job Retraining assistance- up to 36 months not to exceed $36,000 One-time Reinstatement assistance- up to $36,000 Long-Term Assistance for Veterans- automatic 36 months of assistance not to exceed $36,000

7 Property must be owner occupied as primary residency and in North Carolina Experienced an employment-related hardship or were honorably discharged from the military on or after January 1, 2008 Good mortgage payment history prior to the hardship event Demonstrate a need for assistance based on qualifying household income Total unpaid principal balances for all mortgage liens cannot exceed $300,000 Legal U.S. resident

8 Been convicted of a mortgage related felony in last 10 years Seller financed mortgage Current pending litigation on primary residence mortgage

9 Must be due to no fault of their own Must be employment related an event or condition that has caused a temporary reduction in income or loss of employment

10 Unemployment Underemployment Medical Death of a spouse/co-owner Divorce/Separation Furlough Military

11 Unemployment Job loss due to no fault of their own Part-time Employment Full-time Employment Self Employment

12 Underemployed- Reduction in hours or income due to no fault of their own for two consecutive months with present employer Part-time Employment Full-time Employment Self Employment

13 Medical Experience a reduction in hours or pay due to medical Applicant must be recovered from their medical hardship Part-time Employment Full-Time Employment Self Employment

14 Death of spouse/co-owner- The surviving applicant may be working fulltime, part time, or unemployed at the time of death. Plans to seek a employment, a new job or attend a retraining program due to loss of household income.

15 Divorce or Separation The surviving applicant may be working fulltime, part time, or unemployed at the time of death. Plans to seek a employment, a new job or attend a retraining program due to loss of household income.

16 Furlough- Must be a current or pending furlough Demonstrate a need for assistance Receive assistance until furlough has ended If recovered will provide One-time Reinstatement

17 Military Service Members- Honorably discharged, unemployed or employed part-time and seeking employment Utilizing a VA sponsored program, enrolled in school or a vocational rehabilitation program Automatic 36 months of assistance

18 Retired/Permanent Disability (Social Security)- Applicants who experienced a no fault job loss Have secured a permanent source of fixed income Seeking a part-time job or one-time reinstatement assistance

19 Underemployed with a 10% Reduction- reduction in hours or income due to experiencing a previous program eligible hardship that was due to no fault of their own Re-employed Full-Time at a reduced rated 10% reduction in gross income demonstrate a need for mortgage assistance

20 Second Mortgage Refinance Program (SMRP)

21 Extinguish principal balance of an unaffordable second mortgage up to $30,000 Effective July 1, 2015 will increase to $50,000

22 The funds will be in the form of a 0% interest, non-recourse, deferred-payment loan which will subordinate to current mortgages 30 year balloon loan The loan is not forgivable

23 SMRP provides assistance to recovered, employed homeowners Have an unaffordable second mortgage due to unemployment, underemployment or other program temporary hardships Extinguish second mortgage to make home affordable

24 Homeowner may receive both SMRP assistance, and MPP one-time reinstatement assistance if they are delinquent on their mortgage Housing expense to income ratio is higher than 36% after recovery from hardship If a second mortgage refinance will reduce the housing expense to income ratio to less than 36%

25 Funds are paid directly to the servicer (or tax collector, or insurance agency, or homeowner s association) on behalf of the homeowner. Homeowner does not have to be delinquent on mortgage, or in foreclosure to participate. A stay of foreclosure can be issued to stop a foreclosure for 120 days during the loan process if homeowner is 90 days or more delinquent.

26 Call Center: (Monday through Friday, 8:00 a.m. to 8:00 p.m.) Partner Housing Counselor Referral Borrower Direct Online Application

27 Call Center: NCHFA: