8.1. HRSR 01-03-2005 - Laserfiche WebLink

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MCPP mortgages must meet the requirements of standard mortgage insuring and guaranteeing entities, mortgage industry accepted underwriting standards, and state and federal law governing mortgages provided through the issuance of mortgage revenue bonds. Borrower household income limits may not exceed 80% of area median income tiered by household size. Currently, these household (HH) limits are as follows (Note: HUD typically revises these limits between January and April): 11-County Twin Cities Metropolitan Area (Anoka, Carver, Chisago, Dakota, Hennepin, Isanti, Ramsey, Scott, Sherburne, Washington and Wright) $275,625 $275,625 Dodge County $214,312 $214,312 Goodhue County $202,388 $202,388 Olmsted County $214,312 i $214,312 Wabasha County $214,312 $214,312 Balance of State $189,682 $189,682 • MCPP funds may only be used to finance properties located within the jurisdictional limits of the participating city or county. • MHFA offers participating MCPP cities access to MHFA's Homeownership Assistance Fund (HAF), an interest-free, deferred payment second mortgage loan. HAF provides targeted first-time homebuyers with downpayment/closing cost assistance of up to $3,000 and monthly payment assistance of up to $60 (cumulative amount $1,440). • Participating lenders originate home mortgage loans, which MHFA buys in accordance with the MHFA Mortgage Program Procedural Manual. • If a city commits additional resources or subsidies in conjunction with MCPP, a layer of guidelines may be added as required by the source of the subsidy. INDIVIDUAL CITIES ARE RESPONSIBLE FOR THE DEFINITION AND ENFORCEMENT OF THESE ADDED GUIDELINES. • The Minnesota Department of Finance charges a processing fee of $20 for each $100,000 allotment provided and a 1 % refundable deposit. For cities participating in MCPP, this is due with the executed MCPP contract returned by each city before the bonds are sold. DO NOT SEND A 11 /04 • The current statutory house price limits are: