The Department of Housing and Community Development is pleased to announce the launch of a new initiative designed to make home ownership more accessible to potential buyers who may be hampered by significant student loan debt. The MMP "You've Earned It!" program is open to potential home-buyers with more than $25,000 in student loan debt who are buying a home in one of Maryland’s Sustainable Communities through the Maryland Mortgage Program. Borrowers receive a 2.75% interest rate on the Maryland Mortgage Program’s fixed rate, 30-year mortgage and $10,000 in down payment assistance in the form of a zero percent deferred loan. The program is open to eligible MMP home-buyers purchasing an “eligible property” located in a Sustainable Community in the state of Maryland. To ascertain whether a specific property is located in a Sustainable Community, please call me to check if property is eligible. There are specific requirements for borrowers with existing student loan debt: * Minimum remaining balance of student loan debt: $25,000. The student loan has to be in the name of the borrower for the borrower’s education. * The student loan may be in repayment or deferred status. * A monthly statement or verification from the student loan lender/servicer verifying the amount of the indebtedness must be in the loan file. * All other customary loan underwriting standards and requirements related to student debt apply and they will be used to qualify the home-buyers. Eligible borrowers must qualify for an MMP loan, i.e. credit score, total debt-to-income (DTI) ratio, loan-to-value (LTV) ratio, income and purchase price limitations, asset limitations etc. And all borrowers must complete approved home-buyer education and have their loan originated by a lender on the approved lender list athttp://mmp.maryland.gov/Pages/Find-A-Lender.aspx.
No comments:
Post a Comment