Homeownership Program Parameters

Transcription

1 Homeownership Program Parameters NOTE: This table summarizes the program parameters set by IFA. When determining eligibility, a lender must apply the most restrictive of the reuirements between IFA and the agency guidelines for the loan type (eg. FHA, VA, RD, Fannie Mae). FirstHome/FirstHome Plus* Homes for Iowans/Homes for Iowans Plus* Income Limits $67,500 Per Year $115,220 Per Year Purchase Price Limits $258,000 1 $316,000 Eligible Properties 1-unit for immediate occupancy as principal residence 1-unit for immediate occupancy as principal residence Permitted Transaction Type New purchase only, no refinances; 25 or 30 year terms New purchase only, no refinances; 25 or 30 year terms First-Time Homebuyer Reuirements 2 Reuired for all borrowers None Available Mortgage Products Government Insured Conventional Credit Overlays Lender Compensation Other Transaction Costs Minimum Credit Score Maximum DTI Co-Signers Origination Fee Closing Agent/Settlement Fee Servicing Release Premium FHA, VA, and RD HFA Preferred HFA Preferred Risk Sharing (No MI) 640 midpoint 45% Not permitted Up to 1% Up to $450 Based on size and type of loan as well as timing of delivery. See Exhibit A of the Mortgage Origination Agreement Only fees that are reasonable and customary as defined by IFA may be passed on to the borrower. See IFA Policies Regarding Settlement & Closing Costs for more details. FHA, VA, and RD HFA Preferred HFA Preferred Risk Sharing (No MI) 640 midpoint 45% Not permitted Qualified Mortgage/Ability to Repay Exempt Exempt Title Coverage Iowa Title Guaranty only Iowa Title Guaranty only Up to 1% Up to $450 Based on size and type of loan as well as timing of delivery. See Exhibit A of the Mortgage Origination Agreement Only fees that are reasonable and customary as defined by IFA may be passed on to the borrower. See IFA Policies Regarding Settlement & Closing Costs for more details. *Both first mortgage programs provide the option of up to $2,500 of grant funding to assist with downpayment and closing costs (the Plus programs). Funds are provided as a grant with no second lien and may be layered with the Military Homeownership Assistance Grant when borrowers are eligible for both programs. IowaFinanceAuthority.gov June A purchase price limit of $316,000 applies if the property to be purchased is located in a federally defined Targeted Area. More information regarding the location of Targeted Areas can be found on our website at IowaFinanceAuthority.gov. 2 First-Time Homebuyer is defined as not having an ownership interest in their primary residence in the past three years or meeting one of the following exceptions: 1) borrower is purchasing a home in a Targeted Area OR 2) borrower is a military veteran, discharged other than dishonorably, who has not previously financed a home using a tax exempt mortgage revenue bond program.

2 The State of Iowa welcomes home eligible military service members and veterans with a $5,000 grant that may be used toward down payment and closing costs to purchase a home located in Iowa. When combined with one of Iowa Finance Authority s other down payment assistance programs, eligible service members could receive a total of up to $7,500 in grant funds toward the purchase of a home in Iowa! This program is jointly administered by the Iowa Finance Authority and the Iowa Department of Veterans Affairs IowaFinanceAuthority.gov

3 PROGRAM ELIGIBILITY To ualify for the grant, veterans and service members must meet the following service criteria: Performed at least 90 days of active duty service between August 2, 1990, and April 6, 1991; or after September 11, Active duty need not be consecutive; it may be cumulative. (Inactive Duty Training, Annual Training and Active Duty for Training does not count toward active duty); OR is a federal status injured service person having served in active duty between August 2, 1990, and April 6, 1991, or after September 11, 2001; OR is a surviving spouse of a service person meeting the service criteria listed above. If no longer in military service, must have met the service criteria above and been discharged honorably. Typical forms needed to establish military service: A copy of a valid DD Form 214 (Member 2 Form or higher), four months of leave and earnings statements or other documentation that may be reuired, and government-issued photo ID. OTHER REQUIREMENTS Must receive prior written approval from IFA before closing on a ualified home located in the state of Iowa. Only available with permanent financing of a new purchase; may not be used to refinance a home purchased previously. May be used with an IFA first mortgage if home buyer ualifies; other mortgage products may also be used subject to IFA s approval. The home must be immediately occupied as the borrower s primary residence. Availability of funding for this program is subject to annual state appropriation and the limited funds are made available on a first-come, first-served basis. APPLICATION PROCESS Applications are available only through IFA Participating and Facilitating Lenders. A list of Participating Lenders can be found on the IFA web site at IowaFinanceAuthority.gov. Contact one of these lenders to begin the application process! IowaFinanceAuthority.gov

4 APPLICATION PROCESS 1. Home buyer contacts a Take Credit Participating Lender. A list of lenders is available at IowaFinanceAuthority.gov/Take Credit. 2. Lender collects all eligibility verifications, makes a reservation in IFA s online lender portal and submits the reuired eligibility documents to IFA for review. * 3. Once IFA has determined preliminary eligibility and prior to closing, the lender must obtain a Notice of Commitment from IFA. 4. Upon loan closing, the lender uploads final eligibility documents to IFA. IFA confirms eligibility and sends the MCC to the home buyer after closing. 5. Homeowner uses the MCC at tax time to claim the credit. * A borrower application fee of $300 must be paid at the time of reuest if the applicant is not using an IFA mortgage. No application fee is reuired with an IFA mortgage. QUICK FACTS Homeowner must have a tax liability to use the credit. For homeowners without a tax liability in a given year, the credit can be carried forward for up to three years. The MCC may be reissued upon refinance and may be transferable upon sale under certain conditions if reissued by IFA in accordance with program reuirements. Funding for the program is limited. The 2015 allocation is sufficient to issue MCCs for mortgages totaling $42 million. The MCCs will be provided on a first-come, first-served basis IowaFinanceAuthority.gov June Take Credit Mortgage Credit Certificate (MCC) Program

5 HOME BUYER ELIGIBILITY MAXIMUM PURCHASE PRICE Home buyers must: Meet federal income limits for Iowa, which vary by household size and county; AND Be purchasing a home in Iowa to be immediately occupied as a primary residence; AND $258,000 for properties not in Targeted Areas $316,000 for properties in Targeted Areas Income limits, Targeted Area details and an eligibility uick check are available at IowaFinanceAuthority.gov. Meet one of the following: 1. Be a first-time home buyer, defined as a person who has not owned or had ownership interest in a primary residence in the past three years; OR 2.Purchase a home in a Targeted Area; 3. Be a military veteran with a discharge other than dishonorable who has not previously used a Mortgage Revenue Bond Program. PROGRAM BENEFITS The 2015 Take Credit program awards a tax credit value of 50% of annual mortgage interest paid (up to a maximum of $2,000 per year) to be taken as a credit against federal income tax liability for the life of the loan, up to 30 years. * EXAMPLE OR A home buyer ualifies for a mortgage loan of $100,000 at a fixed interest rate of 4.0%. QUALIFIED FINANCING 30-year fixed rate, fully amortizing mortgage loan Use of Iowa Title Guaranty is reuired Closed in the name of a Take Credit Participating Lender Only new purchases approved by IFA prior to closing No cosigners May be used with an IFA Homes for Iowans mortgage May be combined with IFA s Plus grants, offering $2,500 in down payment assistance May be combined with $5,000 Military Homeownership Assistance grant Interest Paid in Year 1 = $3,968 X 50% Take Credit Year 1 Credit = $1,984 * The remaining amount of mortgage interest paid that is not taken as a tax credit is allowed to be taken as a deduction from taxable income on federal income tax returns if the home buyer itemizes.

6 IOWA FINANCE AUTHORITY Effective January 1, 2014 *For delivery within 30 days after closing. Loan Amount Government Conventional (FHA, VA, RD) % Amount % Amount Up to 49, ,000-69, ,000-89, , , , , , , , , ,000 and up *For delivery within days after closing. Loan Amount Government Conventional % Amount % Amount Up to 49, ,000-69, ,000-89, , , , , , , , , ,000 and up *For delivery within days after closing. Loan Amount Government Conventional % Amount % Amount Up to 49, ,000-69, ,000-89, , , , , , , , , ,000 and up *Delivery means all purchase conditions are cleared. Loans not cleared for purchase within 90 days of closing will be canceled. NOTE: IFA reserves the right to adjust servicing release premium rates semi-annually beginning on 7/1/14.

7 Eligibility Category Type/Source Homeownership Program Eligibility Reuired Verification Documentation Reuired Verification Documents Income Employment Including wages and salaries, overtime pay, commissions, fees, tips and bonuses and other compensation for personal services Business - Net income from the operation of a business or profession Asset Income - Interest, dividends and other net income of any kind from real or personal property. Pension Including Social Security, annuities, insurance policies, retirement funds, pensions, disability or death benefits and other similar types of periodic receipts, including lump-sum amount or prospective monthly amounts for the delayed start of a periodic amount Court Ordered Income Including Child Support and Alimony even if not received Payments in Lieu of Earnings - Including unemployment and disability compensation, worker s compensation and severance pay Public Assistance Including welfare benefits, Supplemental Security Income (SSI), and other payment received on behalf of any dependents Educational Grants & Scholarships Including any financial assistance, in excess of amounts received for tuition that an individual receives under the Higher Education Act of 1965, except that financial assistance is not considered annual income for persons over the age of 23 with dependent children. Verification of Employment Paystubs within 60 days of loan close W-2s Prior 2 years tax returns Year to Date Profit & Loss Tax Returns IRS Form 1098 Current award or benefit notification Divorce Decree Child Support Stipulation Current Award Notification or Payment History from Provider Current Award Notification Current Award Notification Record of Account Borrower Status (Applicable only to FIrstHome/Plus & Take Credit) First Time Homebuyer Prior 3 years tax returns Verification of Rent (only if address is different from most recent tax return) Exempt Veteran DD214 Targeted Area Purchase Purchase Agreement Property Eligibility Purchase Price Qualified Use of Funds No excess land, parcels, or personal property may be purchased with MHOA or Plus grant funds OR financed with tax exempt bond proceeds under the FirstHome Program or associated with an MCC. Purchase Agreement Appraisal

8 Single Family Income Eligibility Included and Excluded Income Pursuant to 24 CFR Category Sources of Income to Include Sources of Income to Exclude Description of Sources Full amount (before payroll deductions) of wages and salaries, overtime pay, commissions, fees, tips and bonuses and other compensation for personal services Net income from the operation of a business or profession Interest, dividends and other net income of any kind from real or personal property. Where total assets exceed $5,000, income to be counted is the greater of actual income derived or 2% of the value of such assets. (See included and excluded asset list below.) Full amount of periodic amounts received from Social Security, annuities, insurance policies, retirement funds, pensions, disability or death benefits and other similar types of periodic receipts, including lumpsum amount or prospective monthly amounts for the delayed start of a periodic amount Payments in lieu of earnings, such as unemployment and disability compensation, worker s compensation and severance pay (except for lump-sum additions to family assets, see Exclusions from Annual Income, below Welfare assistance) Periodic and determinable allowances, such as alimony and child support payments and regular contributions or gifts received from organizations or from persons not residing in the dwelling All regular pay, special pay and allowances of a member of the Armed Forces (except for special pay for exposure to hostile fire) Any financial assistance, in excess of amounts received for tuition, that an individual receives under the Higher Education Act of 1965, shall be considered income to that individual, except that financial assistance is not considered annual income for persons over the age of 23 with dependent children. Financial assistance does not include loan proceeds for the purpose of determining income. Income from the employment of children (including foster children) under the age of 18 Payment received for the care of foster children or foster adults (usually persons with disabilities, unrelated to the family, who are unable to live alone Lump-sum additions to family assets, such as inheritances, insurance payments (including payments under health and accident insurance and worker s compensation), capital gains and settlement for personal or property losses Amounts received by the family that are specifically for, or in reimbursement of, the cost of medical expenses for any family member The special pay to a family member serving in the Armed Forces who is exposed to hostile fire Amounts received by a person with a disability that are disregarded for a limited time for purposes of Supplemental Security Income eligibility and benefits because they are set aside for use under a Plan to Attain Self-Sufficiency (PASS) Amounts received by a participant in other publicly assisted programs which are specifically for or in reimbursement of out-of-pocket expenses incurred (special euipment, clothing, transportation, child care, etc.) and which are made solely to allow participation in a specific program Temporary, non-recurring or sporadic income (including gifts) Adoption assistance payments received on behalf of an adopted child Deferred periodic payments of supplemental security income and social security benefits that are received in a lump sum amount or in prospective monthly amounts

9 Single Family Income Eligibility Included and Excluded Assets Pursuant to 24 CFR Category Assets to Include Description of Sources Stocks, bonds, Treasury bills, certificates of deposit, money market accounts Individual retirement and Keogh accounts Retirement and pension funds Cash held in savings and checking accounts, safe deposit boxes, homes, etc. Cash value of whole life insurance policies available to the individual before death Euity in rental property and other capital investments Personal property held as an investment Lump sum receipts or one-time receipts Mortgage or deed of trust held by an applicant Assets disposed of for less than fair market value. Assets to Exclude Necessary personal property (clothing, furniture, cars, wedding ring, vehicles specially euipped for persons with disabilities) Interests in Indian trust land Term life insurance policies Euity in the cooperative unit in which the family lives Assets that are part of an active business Assets that are not effectively owned by the applicant or are held in an individual s name but: The assets and any income they earn accrue to the benefit of someone else who is not a member of the household, and that other person is responsible for income taxes incurred on income generated by the assets Assets that are not accessible to the applicant and provide no income to the applicant Assets disposed of for less than fair market value as a result of: Foreclosure Bankruptcy Divorce or separation agreement if the applicant or resident receives important consideration not necessarily in dollars IowaFinanceAuthority.gov April 2015

10 Conventional Mortgage Product Parameters NOTE: HFA Preferred and HFA Preferred Risk Sharing are products created by Fannie Mae for exclusive use by State Housing Finance Agencies. These products are subject to the My Community Mortgage (MCM) guidelines provided in the Fannie Mae Selling Guide with certain variances which are included on this table. HFA Preferred HFA Preferred Risk Sharing Income & Purchase Price Limits Refer to IFA Program Parameters Refer to IFA Program Parameters Eligible Properties 1-unit principal residence PUD & Approved Condos No Manufactured Housing or Co-ops 1-unit principal residence PUD & Approved Condos No Manufactured Housing or Co-ops LTV/CLTV Fannie Mae 97%/105% 97%/105% Freddie Mac 95% (Follow Freddie Mac Selling Guide - Home Possible) 95% (Follow Freddie Mac Selling Guide - Home Possible) Automated Underwriting Options Fannie Mae Freddie Mac Manual Underwriting Options Fannie Mae Run through DU as HFA Preferred DU recommendation of Approved Eligible Reuired Use Special Feature Code (SFC) 358 Run through LP as HomePossible Must receive Risk Class of Accept Permitted per FNMA Selling Guide and Eligibility Matrix Run through DU as HFA Preferred Risk Sharing DU recommendation of Approved Eligible Reuired Use Special Feature Code 820 Run through LP as HomePossible Must receive Risk Class of Accept Permitted per FNMA Selling Guide and Eligibility Matrix Mortgage Insurance Coverage Freddie Mac Not Permitted 18% for LTV > 95% and <= 97% 16% for LTV > 90% and <= 95% 12% for LTV > 85% and <= 90% 6% for LTV > 80% and <= 85% Not Permitted First-Time Homebuyer Reuirements Not reuired. Not reuired. Ability to Repay/Points & Fees Exempt from ATR; 5% cap on points and fees Exempt from ATR; 5% cap on points and fees None Adverse Market Delivery Charge Loan Level Price Adjustments (LLPAs) None None None None IowaFinanceAuthority.gov August 2015

11 IFA Policies Regarding Settlement & Closing Costs Regulatory Reuirements Lender Compensation Origination Fee Closing Agent/Settlement Fee Servicing Release Premium Other Transaction Costs Property Sale Loan Approval Insurance & Reserves Definitions When determining which fees may be charged to borrowers in its Single Family programs, IFA follows Section Title 26 of the Internal Revenue Code which states that for Mortgage Revenue Bond financing, lenders may charge usual and reasonable settlement or financing costs including titling and transfer costs, title insurance, survey fees, credit reference fees, legal fees, appraisal expenses and other costs of financing the residence. However, the type and amount of the fees may not be in excess of what the lender charges for financing that is not in connection with a Mortgage Revenue Bond Program. IFA is responsible for determining what fees will be considered usual and reasonable within its programs and reviewing lender fees as part of its Program Compliance Review to ensure that this reuirement is met. Lender compensation refers to fees lenders retain to cover their costs of originating the loan and delivering it into an IFA Program. Only the compensation listed below is allowed by IFA. No other fees (such as discount points, processing, underwriting, or commitment fees) may be charged by the lender. Up to 1% Up to $450 Based on size and type of loan as well as timing of delivery. See Exhibit A of the Mortgage Origination Agreement Other transaction costs include items charged by a third party as part of originating the loan. IFA considers the following types of fees to be usual and reasonable so long as they are not excessive in amount when compared to other similar transactions. Real Estate Broker/Agent fees Home Inspections, Radon Inspections, Termite Inspections Fees to obtain credit reports Appraisal fees Flood Certification DU/DO or LP Fees Charged by Fannie Mae or Freddie Mac to Access Underwriting Systems Homebuyer Education fees Secondary Market Fee Homeowners Insurance & Flood Insurance Guaranty Fees for Government Insured Mortgages (FHA, VA, RD) Private Mortgage Insurance Property Taxes Title & Recording Iowa Title Guaranty Abstracting Title Search Recordation Fees Title Attorney Fees Tax Service Fee $59 only if payable to IFA s Master Servicer Other Fees Contact your Loan Production Specialist for review. IowaFinanceAuthority.gov April 2015

12 Single Family Product Reservation & Rate Lock Policy Availability of Funds Reservation of Funds Reservation Period Expired Reservations Re-Lock Policy Re-Price Fees Mortgage Programs FirstHome & Homes for Iowans 1 Funding for IFA s mortgage programs is available on a continuous basis and is not limited. Reservation of funds is only permitted only upon execution of a bona fide purchase agreement for the subject property and borrower. Funds may be reserved by Participating Lenders at any time in the web-based lender portal, Lender Online. The reservation locks the product interest rate for 60 days. The loan must close before the expiration of the reservation period to receive the locked rate. Expired reservations will be canceled by IFA and are subject to the re-lock policy for the next 90 days. Reservations more than 90 days beyond the initial expiration date will be considered a new reservation. Expired reservations may be re-locked at IFA s sole discretion when the loan is within 10 days of closing. The rate that may be locked will be the higher of the initial rate or IFA s rate for the same product on the date of the re-lock reuest. A re-lock reuest may be made by completing the applicable portion of the Loan Reservation Change form and uploading it in Lender Online. The lender must also notify IFA of the reuest by . At its sole discretion, IFA may agree to purchase a loan that closed at a lower rate than was available through the desired IFA product at the time of the rate lock, provided the lender pays a re-price fee. The re-price fee is 1% of the loan amount for every.25% variance from IFA s rate as of the date all purchase conditions are cleared. Take Credit Mortgage Credit Certificates & Military Homeownership Assistance Program Funding for these programs is limited to annual state and federal allocations and is available for reservation on a first-come, first-serve basis. Reservation of funds is permitted only upon execution of a bona fide purchase agreement for the subject property and borrower. When funding is available, reservations may be made by Participating Lenders at any time in the web-based lender portal, Lender Online. The reservation locks the funds for 60 days. The loan must close before the expiration of the reservation period to receive the funds. Expired reservations will be canceled by IFA and are subject to the re-lock policy. Expired reservations may be re-locked at IFA s sole discretion when the loan is within 10 days of closing. The re-lock is contingent on availability of funds. A re-lock reuest may be made by completing the applicable portion of the Loan Reservation Change form and uploading it in Lender Online. The lender must also notify IFA of the reuest by . Not applicable. IowaFinanceAuthority.gov April This includes FirstHome Plus and Homes for Iowans Plus.

13 Iowa Finance Authority Homeownership Programs Pre-Closing Process Financing Pre-Approval Up to 60-days Prior to Closing At least 5 business days prior to closing At least 1 business day prior to closing August 2015 Closing IFA Participating Lender Home Buyer Apply to Participating Lender for financing preapproval Issue pre-approval of financing Enter into Purchase Agreement Provide all necessary eligibility documentation to lender Lock IFA loan in Lender Online 60-day Lock Lender Online Issue lock confirmation to Lender Transmits loan record to Servicer Upload complete Pre-Close Compliance Package to Lender Online (Use Pre-Close Transmittal) Lender Online Accept Pre-Close Package Review submission for completeness YES Correct Deficiencies/Complete Submission Obtain pre-close commitments for DPA or MCC, if applicable NO Notify lender of deficiencies Post conditions for purchase Review HUD-1, on reuest Issue DPA/MCC Commitment, if applicable Executes all closing documents Brings any reuired funds to closing Fund loan & any grants Ensure all conditions for purchase can be satisfied Close Loan IFA review of the HUD-1 Settlement Statement is recommended when attempting to use IFA grant funds. IFA review helps to ensure full reimbursement of grant funds provided by the lender at closing Master Servicer IHFA Lender Connection Store loan record

14 Iowa Finance Authority Homeownership Programs Post-Closing Process Within 10 business days of closing Within 30 business days of closing Within 90 days of closing August 2015 Within 12 months of closing Participating Lender Upload Complete Post-Close Package to IFA via Lender Online (Allow 5 business days for review) Correct deficiencies/complete submission to IFA (Allow 5 business days for review) Upload Complete Post-Close Package to Servicer (IHFA) via Lender Connection (Allow 5 business days for review) Send reuired documents to Servicer Correct deficiencies/ complete submission to Servicer (Allow 5 business days for review) Iowa Finance Authority Review Submission for Program Compliance No Yes Notify Lender of Deficiencies Issue Compliance Approval (Commit Loan) Master Servicer Review Submission for Secondary Market Eligibilty No Yes Notify Lender of Deficiencies Purchase Loan Review Additional Submissions for Secondary Market Eligibility Yes No Notify Lender of Deficiencies Purchase Loan from Lender Apply late delivery charge as deduction from SRP Certifies Pools GSE Issues and Mortgage Backed Securities Offers Guaranty to MBS Investors

15 Quick Reference Guide for Participating Lenders Iowa Finance Authority Quick References Reservations and Program Compliance Reviews Lender Support Master Servicer Quick References Servicer Lender Support Note Endorsements/Assignments Lender Online o 100 Series-FirstHome/FirstHome Plus o 160 Series-Homes for Iowans/Homes for Iowans Plus o 300 Series-Military Home Ownership Assistance o 801 Series-Take Credit Mortgage Credit Certificate Assigned Loan Production Specialist- Name: Phone Number: RESLOAN@HomeLoanServ.com or Idaho Housing and Finance Association (do not use & ) MERS # IHFA # FHA # IHFA # Hazard Loss Payee Clause Idaho Housing and Finance Association, ISAOA PO Box 7899 Boise, ID Reference/Loan Number: Mortgage Payee Clause Delivery of closed loan package Delivery of Final Recorded Trailing Docs, including Note Idaho Housing and Finance Association, ISAOA PO Box 7899 Boise, ID Reference/Loan Number: Lender Connection Web Portal Idaho Housing and Finance Association 565 W. Myrtle Boise, ID Borrower Customer Service Borrower Connection Web Portal Borrower Payment Address Idaho Housing and Finance Association PO Box 7541 Boise, ID

16 APPLICATION PROCESS IFA does not lend directly to home buyers; the homeownership programs are offered through a seamless process with lender partners throughout the state. Follow the simple steps below! PREPARE Visit our web site to view eligibility information, and check current interest rates. PREQUALIFY Visit IowaFinanceAuthority.gov/homebuyer to find a list of Participating Lenders near you. APPLY The IFA Participating Lender takes the loan application, collects verification of eligibility and funds the loan at closing. CLOSE After closing, the lender provides all the necessary documentation to the Iowa Finance Authority for delivery and purchase into the program. After you sign the reuired paperwork, you ll receive the keys to your new home! HOMEOWNERSHIP PROGRAMS Resources for Iowa Home Buyers CONTACT IowaFinanceAuthority.gov homebuyer.inuiry@iowa.gov June 2015 The Iowa Finance Authority (IFA) has provided homeownership resources to Iowans for nearly 40 years and has helped more than 45,000 Iowans purchase homes.

17 AVAILABLE RESOURCES We partner with a statewide network of Participating Lenders to offer affordable home mortgages to first-time and repeat home buyers; provide funds for down payment and closing costs; and issue home buyer tax credits. If you're in the market to buy a home, there's a good chance we have a program that can save you money! PROGRAM ELIGIBILITY Complete our checklist! Will this home be my primary residence? Is the home located in Iowa? Is the purchase price of the home $316,000 or less? Is my household s income (title holder and spouse) less than $115,220 annually? Affordable Mortgages FirstHome and Homes for Iowans mortgage programs provide: 25- or 30-year fixed rate mortgages Use of both government insured (FHA, VA and RD) and conventional mortgages Competitive interest rates and limited fees Convenience of working with your local lender NOW AVAILABLE Conventional mortgage with 3% down and NO mortgage insurance! If you answered YES to the uestions above, you may be eligible for an Iowa Finance Authority program. Iowa Finance Authority Homeownership Program Eligibility At-A-Glance Down Payment Assistance FirstHome Plus and Homes for Iowans Plus grant options of up to $2,500 Military Homeownership Assistance Program provides eligible service members and veterans with a $5,000 grant* Mortgage Credit Certificate* Can reduce a household s federal tax liability up to $2,000 every year for the life of the mortgage *Funding for the Military Homeownership Assistance Program and the Mortgage Credit Certificate is limited. BENEFITS Independent review of each loan to ensure no excessive fees or charges Exclusive conventional loan products that reduce costs to the home buyer Customer-focused loan servicing FirstHome and FirstHome Plus Homes for Iowans and Homes for Iowans Plus Household Income Limit $67,500 $115,220 Purchase Price Limit $258,000 $316,000 First-Time Home Buyer Reuirement NOTE: First-time home buyer is defined as not having an ownership interest in their primary residence in the past three years or meeting one of the following exceptions: 1) borrower is a military veteran, discharged other than dishonorably, who has not previously financed a home using a tax-exempt mortgage revenue bond program OR 2) borrower is purchasing a home in a Targeted Area. Yes Check for current rates at IowaFinanceAuthority.gov No