The Mississippi Home
Corporation, through proceeds from the sale of Mortgage Revenue Bonds,
is able to reduce home ownership costs. The interest on the bonds is exempt from federal
taxes which allows MHC to offer borrowers a competitive mortgage loan
rate and a cash advance to assist with allowable closing costs and down
payment. The program is available statewide and must be originated through
a MHC participating lender.
Features of the Bond Program
- 30 year fixed
rate (Rate to be determined with each issue.)
- FHA insured,
VA, Rural Development and Fannie Mae and Fraddie Mac Conventional Loans.
- Cash advance
for origination fee, closing costs and down payment.
Who is eligible:
- First-time homebuyers
or persons who have not owned a principal interest in a residence
in the past 3 years. Certain areas of the state, called “Target
Areas” are exempt from the “first time homebuyer”
who meet the credit requirements established by FHA, VA, Rural Development,
Fannie Mae and Freddie Mac Convertional Products.
Individuals/families who are within the income guidelines for the
county in which they purchase a home.
- Property must
- Property must
be principal residence.
- Single family
- Fee simple townhomes.
that are FHA, VA or conventional approved.
affixed manufactured homes that meet FHA, VA, RD, Fannie Mae or Freddie Mac requirements.
- Cost of the
home must be within the maximum permissible acquisition cost for the
county in which the property is located.
- Borrower must
have available a $200 non-refundable reservation fee to participate
in the program.
cash advance is applied to the borrower’s portion of allowable closing
costs as follows:
Title Fees (includes Title Policy)
Appraisal (if not a POC item)*
Credit Report (if not a POC item)*
If funds remain from cash advance, it is to be applied as principal
*POC - Paid Outside of Closing