Docstoc

Michigan Mortgage Bank Rates

Document Sample
Michigan Mortgage Bank Rates Powered By Docstoc
					                                  The Michigan
                                 Home Ownership
                                    Coalition

                    Removing Barriers to Homeownership
                for Individuals and Families with Disabilities

Background:
The Michigan Home Ownership Coalition (the Coalition) is an organization comprised of non-profit
agencies, mortgage lenders, and governmental agencies. The Coalition formed in 1993 to help
individuals and families with disabilities access homeownership throughout Michigan. The Coalition
identifies resolves issues that act as barriers keeping disabled persons and families from achieving
their goals of purchasing and retaining ownership of their own homes.
Defining the Need:
More than 1.7 million Michigan residents are disabled. Homeownership rates for people with
disabilities are reported to be roughly 70% lower than the homeownership rates for Michigan’s
population as a whole. The Coalition strives to reduce this disparity.
Addressing the Gap / Services:
Through its membership, the Coalition:
   Provides tools to access homeownership
   Provides links to support services
   Educates throughout the entire purchase process
   Partners with lenders to help borrowers secure mortgage loans
   Provides assistance with down payment, closing costs, modifications, repairs & maintenance
   Identifies sources of affordable housing.


For more information on how you can benefit from or contribute to the work of the
Coalition, please contact:
                                  Daryl Domke, Co-Chair
                          The Michigan Home Ownership Coalition
                              2100 Wyndham Hill Dr. NE #102
                                 Grand Rapids, MI 49505
                                     (616) 363-2140
                                                                                       Revised 7-07
Success, Today & Tomorrow:
Since 1995 the Coalition has assisted individuals and families attain homeownership.
Special Financing Options:
The Coalition has helped to develop mortgage financing options which provide:
 As little as $500 contribution from homebuyer
 Interest free down payment assistance loans
 Flexibility in meeting loan qualification requirements.
Coalition Partners:
INSTITUTIONAL:
Fannie Mae
Michigan State Housing Development Authority
US Department of Agriculture, Rural Development
Michigan Department of Community Health
Michigan State University Extension Offices

LENDERS:
National City Mortgage
Chemical Bank Mortgage

NON-PROFIT AGENCIES:
Community Housing Alternatives, Ypsilanti
Community Housing Network, Troy
Home Ownership Resources, Grand Rapids
JVS, Detroit
Lansing Affordable Homes, Inc., Lansing
Liberty Hill Housing Corporation, Wayne
Lighthouse Community Development, Pontiac
Metro Housing Partnership, Flint
Michigan State University Extension – Clare County Office, Harrison
Monroe County Opportunity Program, Monroe
New Hope Community Development NPHC, Detroit
Northeast Michigan Affordable Housing, Alpena
Northwest Michigan Human Services; Cadillac, Petoskey and Traverse City
POWER, Inc., Ypsilanti
Salem Housing CDC, Flint
Women’s Inspirational Network, Detroit

OTHERS:
public and private human service organizations
persons with disability
family members of persons with disabilities
advocacy organizations
real estate agents
other interested in facilitating home ownership opportunities

For more information on how you can benefit from or contribute to the work of the Coalition,
please contact:
                           The Michigan Home Ownership Coalition
                                            Daryl Domke, Co-Chair
                                               (616) 363-2140
                                                                                        Revised 7-07
Qualifying for Assistance:

The Coalition can provide services to any individual who resides in Michigan who is disabled or
anyone with a family member living in their household who is disabled. The amount of assistance
that can be provided is many times dependent upon meeting income requirements.

Mortgage Loan Information:
The Coalition maintains relationships with Fannie Mae, the Michigan State Housing Development
Authority (MSHDA), the US Department of Agriculture Rural Development and a number of private
mortgage lenders. Through these relationships, the Coalition is able to access a great variety of
loan programs that prove helpful to people of special needs.
Many Coalition clients secure a specially designed loan product from Fannie Mae called Home
Choice. The following information pertains to this specific mortgage loan program:
      How is HomeChoice different from other mortgage products?
      HomeChoice mortgages offer flexibility in the areas of down payment amount(s) and source(s), consideration
      of income versus monthly debt obligations, types of qualifying income, and more flexible credit requirements.

      Eligible Borrowers:
      Occupying borrowers must have an income that does not exceed 115% of area median income as defined by
      HUD. At least one borrower or occupying family member of a borrower must be disabled. Income limits are
      waived in FannieNeighors areas.

      Co-Borrowers:
         All co-borrowers must sign the mortgage note and meet the program requirements.
         Occupying co-borrower does not have to be a relative.
         Non-occupying co-borrowers do have to be a relative or legal guardian.

      Legal Guardian / Representative Payee:
         Legal guardian must be court appointed and in good standing and has a 24 month history of managing
          the financial affairs of the borrower and intends to continue.
         Representative payee appointed by Social Security Administration to administer SSI or SSDI on behalf of
          the borrower must be verified by the lender for a 24 month history and intends to continue.

      Down Payment:
         Borrower contributes as little as $500 of their own money.
         Balance of down payment may come from a gift, grant, or deferred payment loans.

      Cash Reserve:
         One month’s mortgage payment must be available in reserve after closing on purchase transactions.

      Types Of Properties Eligible:
      The home being financed must be a single-family detached home, including a modular home; approved
      condominium or be located in an approved planned unit development.

For more information on how you can benefit from or contribute to the mission of the Coalition,
please contact:
                         The Michigan Home Ownership Coalition
                                         Daryl Domke, Co-Chair
                                            (616) 363-2140
                                                                                                     Revised 7-07
Down Payment & Closing Cost Assistance:
The Coalition maintains relationships with the Michigan State Housing Development Authority
(MSHDA), county governments, state governments, and some private philanthropic resources.
Through these sources, the Coalition has been able to secure down payment loans, down payment
grants, closing cost assistance, and mortgage reserve commitments for numerous clients.
Many Coalition clients secure special down payment assistance loans through the Michigan State
Housing Development Authority (MSHDA). The following information pertains to the specific
assistance frequently made available to Coalition clients:
      First Time Home Buyer:
      Assistance is limited to buyer(s) who have not owned a home in the past three years. Buyer(s) may have
      owned a manufactured or modular home but not the land it sits on. Buyer(s) may NOT have had ownership
      interest in a co-operative home.

      Income Limit:
      Total household income (adjusted by family size) must be no more than 80% of area medium income (AMI)
      as determined by HUD.

      Maximum Cash Asset Limit:
      Buyer(s) may not have more than $5,000.00 in liquid assets in order to qualify for assistance.

      Occupancy Requirement:
      The home being purchased and financed must be each borrower’s primary residence.

      Eligible Properties:
      The property must be a new or existing single-family home. The house must be vacant at time that purchase
      contract is executed or must be occupied by the borrower purchasing the subject property. Manufacture or
      Modular houses may be acceptable as long as MSHDA approved. The home must be a new and completed
      prior to closing.

      Sale Price Limits:
      The sales price limits are available on-line at:
      http://www.michigan.gov/documents/mshda_sf_income_and_sales_price_limits_100946_7.pdf

      Determining Amount of Down Payment Assistance:
      The down payment assistance is provided in the form of a second mortgage for a maximum amount of 8% of
      sale price and $3,000 for closing cost and prepaids. In no case will the financial assistance exceed $12,000.
      Other costs allowable are first year of homeowner insurance, home buyer’s education class and taxes if
      escrow.

      Repayment:
      Assistance is made in the form of a deferred payment loan at an interest rate of zero percent. Repayment is
      due and payable at time that ownership is transferred in the property, &/or refinance of property.

      Minimum Cash Investment:
      Buyer(s) must have a minimum cash investment of $500.00 from their own resources.

For more information on how you can benefit from or contribute to the work of the Coalition,
please contact:

                    The Michigan Home Ownership Coalition
                                          Daryl Domke, Co-Chair
                                             (616) 363-2140
                                                                                                       Revised 7-07

				
DOCUMENT INFO
Description: Michigan Mortgage Bank Rates document sample