State HOME Deferred 2nd Mortgage

MT Board
of Housing NWGF/NWMT Set-Aside

Temporary Assistance for Needy Families (TANF)

Statewide Low and Moderate Income

Participating Bond Pool Program

Product
Type

Deferred 2nd Mortgage for down payment & closing costs.
It has an Appreciation Share Requirement

Amortizing 1st & 2nd Mortgage
2nd Mortgage is for down payment and closing costs

Amortizing 2nd mortgage for families at or below 200% poverty level

Amortizing 2nd mortgage for down payment and closing cost

Amortizing 2nd mortgage for down payment and closing cost

Term

< 80% AMI Max 30 year mortgage
> 80% AMI Max 15 year mortgage

< 80% AMI Max 30 year mortgage
> 80% AMI Max 15 year mortgage

Income Limits

At or below 80% county median

At or below 80% county median

At or below 200% of State poverty level

At or below 125% of county median
Native American Borrowers Max 150%

At or below 125% of county median
Native American Borrowers Max 150%

Loan Amount

Min $1,000
Max $10,000

Max $5,000

Min $3,000
Max $20,000

Min $1,500
Max $5,000

Min $1,500
Max $5,000

Interest Rate

0%

Current rate set by MBOH

2.50%

<50% AMI-1.00%
51%-65% AMI-3.00%
66%-80% AMI-5.25%
over 81% AMI-6.25%
Subject to change quarterly– please check our website www.nwmt.org or call for rates

<50% AMI-1.00%
51%-65% AMI-3.00%
66%-80% AMI-3.75%
81%-115% AMI-4.75%
over 115% AMI-5.75%
Subject to change quarterly– please check our website www.nwmt.org or call for rates

Fees

$350 Loan Packaging fee
Title report, recording and closing fee

$350 Loan Packaging fee, pre-paid interest,
recording and closing fee

$350 Loan Packaging fee
pre-paid interest
Title report, recording and closing fee

$350 Loan Packaging fee
Pre-paid interest
Title report, recording and closing fee

$350 Loan Packaging fee
Pre-paid interest
Title report, recording and closing fee

Ratios

29/41
unless there are valid compensating factors
Housing ratio must be at least 29% to comply with federal regulations

29/41
unless there are valid compensating factors

29/41
unless there are valid compensating factors

29/41
unless there are valid compensating factors

29/41
unless there are valid compensating factors

First Mortgage

FHA, VA, RD or CONV
**See notes below

MBOH-FHA/VA/RD

MBOH-FHA or RD

FHA/VA/RD/CONV

FHA/VA/RD/CONV

Qualifications

1st time Homebuyer, single w/dependent children, or disabled person in household
Available for those in "need"

1st time Homebuyer, single w/dependent children, or disabled person in household

Family must have at least 1 child under 18 living at home
1st time Homebuyer, single w/dependent children, or disabled person in household

Lenders who can participate in this program are:
First Interstate Bank,
Mountain West Bank, Stockman Bank, US Bank & Wells Fargo

Area Restrictions

46 counties in MT
Not available if county has HOME funds available

State of Montana

State of Montana

State of Montana

State of Montana

Asset Limitations

Liquid=$5,000 Total=$70,000

Liquid=$5,000
Total=$70,000

Liquid=$5,000 Total=$70,000

Liquid = $5,000
Total = $70,000

Liquid = $5,000
Total = $70,000

Occupancy

Owner Occupied Becomes due if sell, move out, on death, or if 1st mortgage is refinanced

Owner Occupied Becomes due if sell, move out, on death, or if 1st mortgage is refinanced

Owner Occupied Becomes due if sell, move out, on death, or if 1st mortgage is refinanced

Owner Occupied Becomes due if sell, move out, on death, or if 1st mortgage is refinanced

Owner Occupied Becomes due if sell, move out, on death, or if 1st mortgage is refinanced

Payments

N/A until 1st mortgage is paid then payments are equal to P&I on original 1st mortgage

To Servicing Lender

ACH to NWGF/NWMT

ACH to NWGF/NWMT

ACH to NWGF/NWMT

Other

Property cannot have been rented in last 90 days
No paint problems can be identified on appraisal if built prior to 1978
**Appraisal must have FHA VC sheets (even if not an FHA appraisal)


Borrowers Investment –
min $500
Max LTV 105%

1st Mortgage Lender funds both Mortgages and prepares the closing documents for both Mortgages









Borrowers
Investment – min $500
Max LTV 105%

Borrowers
Investment – min
$500
Max LTV 105%

NWGF must be in 2nd lien position, unless there are valid compensating factors












Borrowers Investment – min $500

Max LTV 105%

NWGF must be in 2nd lien position, unless there are valid compensating factors












Borrowers Investment – min $500

Max LTV 105%