Board of Housing ~

Homeownership Program

TERMS AND CONDITIONS
HABITAT FOR HUMANITY
FIRST-TIME HOMEBUYERS PROGRAM

November 17, 1997
(Revised: June 7, 2007)

  1. Each Mortgage Loan shall be either insured by FHA under Section 203(b) of the National Housing Act, guaranteed by Rural Development(RD) under Title V of the Housing Act of 1949 or guaranteed by the VA under Section 810, Chapter 37 of Title 38, U.S. Code. If foregoing is not possible, a conventional loan.
  2. The fixed rate of interest on the Mortgage Loans shall be 0.375% per annum.
  3. The term of the Mortgage Loans shall be for a maximum of 30 years and such Mortgage Loans shall provide for complete amortization by maturity by equal monthly payments of principal.
  4. The Servicer is to contact the local Habitat for Humanity (Habitat) affiliate in case of delinquency. Habitat retains the first right of refusal on foreclosures.
  5. The acquisition cost of a Residence being financed by a Mortgage Loan shall include cost of completing the residence and unpaid SID assessments and must not exceed the FHA.
  6. The mortgagor shall not have owned a principal residence at any time during the three-year period preceding the date of execution of the Mortgage Loan.
  7. The Residence to be financed shall be occupied as the mortgagor's principal residence, and no more than 15% of the total area of the residence may be used in a trade or business.
  8. Refinancing of existing Mortgage Loans are not eligible for purchase by the Board. Refinancing of construction period loans or other interim financing which have a term of 24 months or less are not considered refinancing of existing Mortgage Loans.
  9. Recapture tax provisions will not apply.
  10. Mortgage Lenders may reserve funds in this program on a loan-by-loan, first-come, first-served basis. An eligible Mortgage Lender desiring to reserve funds must submit (1) the Mortgage Loan Reservation/Confirmation Report (BOH Form 99); (2) a copy of an executed FHA/RD/VA Loan Application or other complete loan application used by the Mortgage Lender; (3) a copy of an executed Buy/Sell Agreement; (4) verification of Annual Family Income; (5) Disclosure of Reservation Fee Refund Policy signed by mortgagor(s); (6) signed Recapture Notice to Mortgagor; and (7) RD.
  11. A letter from Habitat declaring eligibility of applicant.
  12. The Board will purchase Mortgage Loans at one hundred percent (100%) of the face amount of the Mortgage Loan. The Mortgage Lender may not charge any fees.
  13. Permanent mortgage funds are to be used in conjunction with Habitat funds and equity.
  14. Mortgage Loans shall be tendered for sale to the Board within 45 days following execution of the note by the mortgagor. Series code is 60. The monthly remittances and payoffs can be wired or ACHed to:

Remittance Instructions
For
Wells Fargo Corporate Trust
Wells Fargo Bank West, N.A.

Wires:

Wells Fargo Bank West, N.A.
ABA # 102000076
For Deposit to CK ACCT #196897979
Credit: Montana Board of Housing
Servicer (3 digit #) ________

ACH:

Wells Fargo Bank West, N.A.
ABA #102000076
CK ACCT #196897979
CR ACCT: MT BD OF HSG
Servicer (3 digit #) __________

EXHIBIT A
Federally Imposed Maximum Income Limits By Area:
 As Adopted April 4, 2007

Area
Small Household**
Large Household***
Billings/Yellowstone $54,900 $63,135
Census Tract 3* 65,880 76,860
Blaine* 60,840 70,980
Carbon 54,900 63,135
City of Great Falls* 60,840 70,980
Choteau - Census Tract 9401* 60,840 70,980
Daniels - Census Tract 9402* 60,840 70,980
Deer Lodge* 60,840 70,980
Flathead* 60,840 70,980
Gallatin 58,400 67,160
Hill* 60,840 70,980
Jefferson 60,000 69,000
Lewis & Clark 58,400 67,160
Mineral* 60,840 70,980
Missoula* 65,400 76,300
Rosebud 51,700 59,455
Sanders* 60,840 70,980
Sheridan - Census Tract 9402* 60,840 70,980
Silver Bow* 60,840 70,980
Stillwater 56,300 64,745
Sweet Grass 52,600 60,490
All other Counties and Areas 50,700 58,305
* Targeted Areas