FHLB-DM ASSISTANCE PROGRAM
10A08 GRANT APPLICATION
CHECKLIST OF REQUIREMENTS
For RURAL and URBAN areas in Greater Minnesota
**NEW CONSTRUCTION ONLY**
ADDRESS OF HOME
ABOUT THE FHLB GRANT: The Federal Home Loan Bank of Des Moines (FHLB-DM) offers an “Affordable Housing
Program” designed to assist in the development of affordable housing for low-income households. HFH-MN applies for
this funding and administers this program on behalf of all affiliates in the state. There is $495,000 available for 55 homes
under the 10A08 grant. Funding is available on a first-come, first-served basis.
All grant application materials are available online at: http://www.hfhmn.org/affiliatesPages/fhlbgrants.html
Please submit Exhibits A, B, and C to HFH-MN approximately two (2) weeks prior to your closing with the
homeowner to start the “pre-qualification” process. If you have any concerns or questions regarding eligibility, feel
free to contact Jenni Ebert to review the pre-qualification guidelines.
EXHIBIT A: CONSTRUCTION COST WORKSHEET AND ITEMIZED SPREADSHEET
Please use the Exhibit A Construction Cost Worksheet to categorize all costs of the home (cash and inkind).
The Guide to Cost Categories will assist you in completion this. Also provide a supporting spreadsheet
preferably from the affiliate’s accounting system with a detailed accounting for all cash expenditures, plus
in-kind materials, in-kind professional labor and land costs. The spreadsheet should include the names of all
professional contractors that provided labor and materials for the home, paid or in-kind. All professional
contractors (plumbing, heating, electric, etc.) must be licensed by the State of Minnesota.
Construction Cost Worksheet
Itemized cost spreadsheet (including in-kind material and in-kind professional labor)
If land was donated, please provide a copy of the warranty deed documenting the donation
EXHIBIT B: INCOME VERIFICATION The verification of family income is a very important element of
qualifying for funding. Homeowner income cannot exceed the Program Income Guidelines. The affiliate
must independently verify the family’s income. In order to assure compliance, the Calculation of Income
Worksheet and all sources of income verified in writing, must be submitted. ALL SOURCES OF INCOME,
EARNED AND UNEARNED, MUST BE VERIFIED FOR ALL HOUSEHOLD MEMBERS AGE 18+.
The Calculation of Income Worksheet Instructions will assist you in completion of the form. Please submit
DRAFT of Calculation of Income Worksheet (to be signed by partner family and affiliate at closing)
Homeowner and Property Data Worksheet
(Income Verification Continued)
Habitat for Humanity homebuyer application
Federal Tax return and W2s for year the family was selected by your affiliate (first 4 pages)
ONE of the following must accompany the tax return:
o Written employer verification of income letter (a sample is available) **PREFERRED**
o Two months of pay stubs with sufficient data to determine Year-To-Date income
Child support verification from 3rd party (i.e., the County)
SSI / disability payment 3rd party verification
If applicable, to document self-employment income, please provide two years of Tax Returns and
corresponding Schedule C’s.
Any other applicable cash income source must be verified.
EXHIBIT C: APPRAISAL
A copy of the market value property appraisal is required.
MATERIALS TO SUBMIT AFTER THE CLOSING
EXHIBIT D: FIRST AND SECOND MORTGAGES AND NOTES
Please include a copy of the signed and recorded first, second, and third (if applicable) mortgages and
mortgage notes. Do not send original notes.
****PLEASE NOTE, the total mortgages and deed restriction can not exceed the appraised market value.****
EXHIBIT E: RECORDED DEED RESTRICTION
Please include a COPY of the recorded Deed Restriction (please keep originals for your files). Be sure you
are using the most current version, which displays 10A08 Deed Restriction in the footer.
EXHIBIT F: PURCHASE AGREEMENT
Homeowner and affiliate have signed a Purchase Agreement. A standard form Purchase Agreement is
available for your use.
EXHIBIT G: HUD-1 CLOSING STATEMENT
Use of a HUD-1 Closing Statement is required. Homeowner and affiliate must sign a HUD-1detailing
sources and uses of funds to acquire the home. Please include the amount of the ALL mortgages and the
$9,000 FHLB Deed Restriction.
EXHIBIT H: PRIVACY NOTICE
Homeowner has signed the privacy notice. Please keep originals for your records.
EXHIBIT I: $675 PROCESSING FEE
A check in the amount equal to 7.5% of the total FHLB grant ($675) made payable to Habitat for Humanity
of Minnesota is attached to this Application as EXHIBIT I. The fee is designed to help cover the costs of
applying for and administering funding of this program.
Questions? Contact Jenni Ebert at 612-331-4439 ext 4 or Jenni@hfhmn.org.