2006.03.20 EDA Packet - Laserfiche WebLink

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DETERMINATION OF ELIGIBILITY To be eligible to participate in the FirstHOME Program, the following requirements must be met: 1. Maximum Income Annual household income cannot exceed the maximum income limitation as determined by Washington County. This limit is based upon 80% of the Minneapolis/St. Paul Metropolitan Statistical Area median income by household size as determined periodically by HUD. A breakout of these figures is attached as Exhibit F in the lender package. Income is to be arrived at using the IRS 1040 Adjusted Gross income for EACH adult living in the household, even if that adult is not listed on the mortgage. The format for calculating household income using this method is enclosed as Exhibit B and must be forwarded at the time that a reservation of funds is requested. Income should be verified by third parties where earnings are irregular ar or uncertain. In the event that Washington County funds are used in conjunction with Minnesota Housing Finance Agency funding, requirements of both programs must be met. 2. Acquisition Price The purchase price shall be no more than the Section 203(b) maximum HOME Program purchase price limit as determined by HUD for the Minneapolis/St. Paul Metropolitan Statistical Area (see Exhibit B) or as established by the Minnesota Housing Finance Agency if that agency's ECHO down payment assistance program is also being used to assist with the purchase of residential property. The current maximum acquisition price for properties purchased with Washington County FirstHOME Program assistance is identified in the Fact Sheet. 3. First Time Buyer The borrower(s) cannot have owned a principal place of residence within the past three years except that displaced homemakers and/or single parents who may have owned a home with a former spouse may also be eligible. Buyer(s) must demonstrate that they have a minimum of three years of continuous employment history. 4. Homebuyer Training To qualify for participation in the FirstHOME Program, at least one household member must have successfully completed an approved homebuyer education program. Education must be completed prior to closing the loan. Training provided through MHFA sponsored Home Stretch or through the Homeownership Center is acceptable. A list of approved training opportunities is available on the web at www.hocmn.org. Evidence of successful completion of homebuyer training must be provided prior to issuance of the check for FirstHOME down payment assistance. 32