martin o'malley anthony g. brown raymond a. skinner...
TRANSCRIPT
![Page 1: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/1.jpg)
1
Counselor Connection 2013
Pier 5 Hotel
Baltimore, MD
May 14,2013
Martin O'Malley
GOVERNOR
Anthony G. Brown
LT. GOVERNOR
Raymond A. Skinner
SECRETARY
Clarence J. Snuggs
DEPUTY SECRETARY
![Page 2: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/2.jpg)
2
Maryland Mortgage Program (MMP)
Presented by Barbara E. Schmitt
Community Development Administration
Martin O'Malley
GOVERNOR
Anthony G. Brown
LT. GOVERNOR
Raymond A. Skinner
SECRETARY
Clarence J. Snuggs
DEPUTY SECRETARY
![Page 3: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/3.jpg)
3
Program Overview
• 30-year mortgage
• Fixed interest rate - entire term of loan
• FHA, VA, Conventional, or RHS loan types
![Page 4: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/4.jpg)
4
Eligible Borrowers
• May be single or married. If married, both spouses are not
required to apply. If separated, a Separation Affidavit must
be completed. Co-signers are NOT permitted
• Must intend to occupy the property as a principal residence
within 60 days of closing
• Cannot own any other real property at the time of closing
![Page 5: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/5.jpg)
5
Eligible Borrowers (continued)
• Must have a valid social security number and be
eligible to work in the United States
• Citizenship of the United States is not required to
obtain a CDA loan
![Page 6: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/6.jpg)
6
Eligible Borrowers (continued)
Must be a First Time Homebuyer
• Federal Definition: Borrowers who have not had a
“present ownership” interest in their principal residence
in the last three years
UNLESS
• Borrower is purchasing in a TARGETED AREA
![Page 7: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/7.jpg)
7
Eligibility Guidelines (continued)
• Veterans purchasing in a non-targeted area are exempt from the first-time homebuyer rule and may have owned a home in the past three (3) years
• A veteran may use this exemption only one time (does NOT have to be a VA loan)
• A copy of the DD-214 must be presented to the Lender
First Time Homebuyers - Veterans
![Page 8: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/8.jpg)
8
Income & Purchase Price Limits
• Total projected annual household income may not exceed applicable income limit
• Projected income for all household members (including overtime, part-time, commissions, etc.) is utilized to determine income
Income Limits
![Page 9: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/9.jpg)
9
Income & Purchase Price Limits (continued)
• Purchase price and income limits vary from county
to county
• See chart on website for income and purchase
price limits by location
http://www.mmprogram.org/incomes.aspx
![Page 10: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/10.jpg)
10
Eligibility Calculator on website under “Tools”
www.mmprogram.org/tools.aspx
The eligibility calculator will assist you in obtaining an estimate of the monthly loan
payment
Income & Purchase Price Limits (Continued)
![Page 11: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/11.jpg)
11
Assets
• An asset test is required for borrowers whose
assets equal or exceed 20% of the purchase price
• A “gift of equity” (difference between the appraised
value and the purchase price) in a non-arms
length transaction is considered an asset
Asset Restrictions
Attachment F-
Asset Test
Worksheet
![Page 12: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/12.jpg)
12
Assets (continued)
• Retirement funds that are not being used to
purchase the home and any secondary financing
are NOT included in the calculation
• Relocation benefits under the Uniform Relocation
Act in connection with condemnation proceedings
are not included in the calculation
Asset Restrictions
![Page 13: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/13.jpg)
13
Credit Scores
• Government Loans - 640 Middle Credit Score
• Conventional Loans - 680 Middle Credit Score
• 45% DTI – all loan types, no exceptions
![Page 14: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/14.jpg)
14
Homebuyer Education Requirement
Homebuyer Education
• Required for all borrowers
• A counseling certificate is required from the homebuyer education class
provider. Certificate must be less than 12 months old at closing
• There are specific requirements for Baltimore City, Anne Arundel,
Baltimore and Harford Counties.
NOTE! Baltimore City and Baltimore County require that the full
homebuyer education be completed and a certificate issued PRIOR
TO the contract being signed!
• Refer to http://www.mmprogram.org/counseling.aspx for additional
information on counseling requirements
![Page 15: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/15.jpg)
15
Maximum Loan Amount
• Maximum loan amount may only be exceeded by the FHA UFMIP. VA and RHS loans must be at or below $417,000, including the financed guarantee or funding fee
• Loan amount may not exceed the lesser of $417,000 or the insurer/guarantor’s maximum mortgage amount
![Page 16: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/16.jpg)
16
Eligible Property Types
• Detached
• Attached
• Semi-detached
• Townhouses
• Modular
• Condominium
Per directive 2012-14, manufactured homes
are not currently an eligible property type
![Page 17: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/17.jpg)
17
Eligible Property Types (continued)
• Urban/Suburban: The lot size may not
exceed the greater of one acre or the
jurisdictional minimum
• Rural: The lot size may not exceed the
greater of 3 acres or the jurisdictional minimum
Maximum Lot Size
![Page 18: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/18.jpg)
18
Eligible Property Types (continued)
• A home inspection must be completed (not
required for new construction or substantial
rehabilitation)
• NOTE! CDA does not review the inspection.
Borrowers must sign a Home Inspection
Certification showing that they have reviewed the
home inspection
Housing Standards
![Page 19: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/19.jpg)
19
Targeted Areas
• Targeted areas are designated by the Federal
Government based on the U.S. Census
• Targeted areas are those in which 70% or more of
the families have an income which is 80% or less
of the statewide median family income
Targeted Areas
![Page 20: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/20.jpg)
20
Targeted Areas (continued)
• Targeted Area list: www.mmprogram.org/documents/target_areas.htm
• Census Tract #: http://www.ffiec.gov/geocode/default.aspx
• Targeted & PFA Verification: http://www.dhcd.maryland.gov/website/DHCDmapper.aspx
Areas shaded green represent Targeted Areas.
The following jurisdictions are designated targeted areas:
Allegany Co. Baltimore City Caroline Co. Garrett Co.
Dorchester Co. Kent Co. Somerset Co.
8 other counties have pockets that are Targeted Areas
![Page 21: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/21.jpg)
21
Priority Funding Areas (PFA)
• If new construction, the property must be located
in a Priority Funding Area (PFA)
• PFA’s are older communities or locally-
designated growth area where State and local
governments already have a significant financial
investment in the existing infrastructure
Priority Funding Areas
![Page 22: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/22.jpg)
22
Mapper Process
Go to: http://www.dhcd.maryland.gov/website/DHCDmapper.aspx
• Accept the conditions. On the far right, to the right of the blue circle with
the house, there is a small double right arrow. Click this to change
from Multifamily (there is no heading for Single Family)
• In the “Find Address” box, enter: Street Address, City, Zip Code
(separated by commas). Press GO
• Results will show on the left. If it is a PFA or Targeted Area, that
information will be shown. Print page for submission in the package
• For a new construction property that is too new to show on the mapper,
email [email protected] (can take two weeks)
PFA’s and Targeted Areas
![Page 23: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/23.jpg)
23
PFA’s and Targeted Areas (continued)
![Page 24: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/24.jpg)
24
Flip Policy
• Properties acquired within six months of prior sale will be subject to additional valuation and appraisal requirements
• CDA will allow the HUD 90-day waiver for all property sellers, including private sale transactions, but prohibit FHA financing for properties owned less than 90 days IF the sales price is increased by more than 20% over the seller’s acquisition cost
• The 90 days is calculated from the seller’s acquisition date to the purchase contract date of the new transaction
Flip Policy
![Page 25: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/25.jpg)
25
Recapture Tax Reimbursement
This 9-page
form is signed at closing
by the borrower(s)
Borrower(s) sign & date last page
Form version changes yearly
![Page 26: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/26.jpg)
26
Contract Ratification
• Contracts must be fully ratified prior to reservation
CDA reserves the right to cancel any reservation or
refuse to purchase a loan from the Lender if the
loan does not have a fully ratified contract, signed
by all parties, prior to reservation date
This includes third party (Lender) approval
for short sale transactions
![Page 27: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/27.jpg)
27
Down Payment & Settlement
Expense Loan Program (DSELP)
Martin O'Malley
GOVERNOR
Anthony G. Brown
LT. GOVERNOR
Raymond A. Skinner
SECRETARY
Clarence J. Snuggs
DEPUTY SECRETARY
![Page 28: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/28.jpg)
28
DSELP
• Available only with a CDA loan
• $5,000 toward downpayment or closing costs in the form of a 0% deferred loan
• Repayable in full upon sale or transfer of the property, or when the first mortgage is paid off or refinanced
Downpayment & Settlement
Expense Loan Program (DSELP)
![Page 29: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/29.jpg)
29
Partner Match Programs
Martin O'Malley
GOVERNOR
Anthony G. Brown
LT. GOVERNOR
Raymond A. Skinner
SECRETARY
Clarence J. Snuggs
DEPUTY SECRETARY
![Page 30: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/30.jpg)
30
Partner Match Programs
• Partners can be employers,
builder/developers, community agencies
and local governments
• A list of participating partners is posted on
the MMP website
Who are the Partners?
![Page 31: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/31.jpg)
31
Partner Match Programs (continued)
• Borrower must qualify for an MMP loan and be
eligible to receive funds from the partner.
Borrower provides the partner’s signed verification
form to their CDA lender
• Participating partners provide downpayment
and/or closing cost assistance to borrowers at
settlement. CDA will match funds up to $2,500 in
the form of a 0% deferred loan
How does it work?
![Page 32: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/32.jpg)
32
Partner Match Programs (continued)
• The partner match from CDA is repayable
when the home is sold or transferred, or
when the first mortgage is paid off or
refinanced
• The terms of the partner contribution vary
from partner to partner. It can be a grant or
a loan
Terms
![Page 33: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/33.jpg)
33
Partner Match Programs (continued)
• House Keys 4 Employees (HK4E) with
Smart Keys 4 Employees (SK4E) component
• Builder/Developer Incentive Program (BDIP)
• Community Partners Incentive Program (CPIP)
www.mmprogram.org/downpayment.aspx
• Employees relocating to Maryland as a result of BRAC may
receive additional match funds in the amount of $2500;
Refer to Directive 2010-22 for details
![Page 34: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/34.jpg)
34
Partner Match Programs (continued)
SMART KEYS 4 EMPLOYEES (SK4E)
A “Smart Growth” enhancement to the House Keys 4
Employees (HK4E) Program that allows borrowers to
receive an additional $1,000 of match funds if:
• Property is located in a Priority Funding Area
AND
• Property is within 10 miles of borrower’s place of
employment or within the boundaries of the local jurisdiction
![Page 35: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/35.jpg)
35
Combining Assistance Funds
Partner Match Program funds
can be combined with DSELP funds for
additional assistance, as well as with
funds from jurisdictions such as
Baltimore City or Hagerstown
![Page 36: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/36.jpg)
36
Combining Assistance Funds (continued)
Example 1: Partner Contribution $3,000
DSELP $5,000
Partner contribution $3,000
HK4E, BDIP or CPIP maximum match $2,500
TOTAL ASSISTANCE $10,500
![Page 37: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/37.jpg)
37
Combining Assistance Funds (continued)
• Combined total match funds from CDA MMP
(HK4E, BDIP, CPIP) may not exceed $2,500
• Unless qualifying for Smart Keys 4 Employees and
thereby receiving an additional $1,000
• Partner contribution must be present at
settlement—this is the borrower’s
responsibility
![Page 38: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/38.jpg)
38
HK4E – State of Maryland Employees
• A State of Maryland employee can receive $1,250 from
the State of MD (employer) and a $1,250 HK4E Program
Match for a total contribution of $2,500
• State of MD employees provide a copy of the borrower’s
paystub in lieu of a signed Verification of Partnership
Contribution form
• Employees of the University of MD system are not considered State of MD
employees for the purposes of this program
Combining Assistance Funds (continued)
![Page 39: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/39.jpg)
39
Additional resources are offered by partners in Baltimore City,
which is a fully targeted area
•Baltimore City Housing Authority has Live Near Your
Work and Vacants-to-Value initiatives, which can offer
significant downpayment assistance. Baltimore City now
offers State employees a partner match of $2,500!
http://www.baltimorehousing.org
•Healthy Neighborhoods, Inc. (HNI) offers low interest
loans, rehabilitation loans, and downpayment assistance.
www.healthyneighborhoods.org
Partner Resources
Combining Assistance Funds (continued)
![Page 40: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/40.jpg)
40
Combining Assistance Funds (continued)
Example 2: State of Maryland Employee
DSELP $ 5,000
HK4E: State of MD Employer contribution $ 1,250
HK4E: State of MD Match contribution $ 1,250
SK4E: CDA match for employee who lives
and works in a PFA and within a jurisdiction $ 1,000
Baltimore City Live Near Your Work
contribution (grant) $ 2,500
TOTAL ASSISTANCE $11,000
![Page 41: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/41.jpg)
41
CDA
MMP Products
Martin O'Malley
GOVERNOR
Anthony G. Brown
LT. GOVERNOR
Raymond A. Skinner
SECRETARY
Clarence J. Snuggs
DEPUTY SECRETARY
![Page 42: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/42.jpg)
42
CDA MMP Products
• Homefront: The Veterans and
Military Family Mortgage Program
• Save-A-Home
• Conventional Mortgages
• Refinance Loans Now Available!
![Page 43: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/43.jpg)
43
CDA MMP Products (continued)
• One-half of a percent discount (.50%) lower than the
prevailing MMP rate
• $10,000 assistance from the Downpayment and
Settlement Expense Loan Program (DSELP)
• Don’t Forget: Qualified veterans can receive a
waiver for the first-time homebuyer requirement.
MD Homefront: The Veterans and Military Family Mortgage Program
Directive 2012-20
![Page 44: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/44.jpg)
44
SAVE-A-HOME PROGRAM
•Short sale properties and
non-DHCD-owned foreclosures
•Interest rate is the same as the prevailing
MMP interest rate, but DSELP is increased to
$6,500
•Documentation of property status must be provided
to CDA Lender to qualify
CDA MMP Products (continued)
![Page 45: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/45.jpg)
45
CDA MMP Products (continued)
Conventional Mortgage Loans
• With Private Mortgage Insurance:
• Loans must be underwritten to current Fannie Mae HFA
Preferred underwriting guidelines
• Insurer must be on CDA’s Participating Private
Mortgage Insurance Companies List
• Uninsured:
• For purchases where the loan-to-value (LTV) ratio is
80% or less.
• Maximum combined LTV is 105%.
![Page 46: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/46.jpg)
46
CDA MMP Products (continued)
• 18% for LTVs > 95% and <=97%
• 16% for LTVs > 90% and <=95%
• 12% for LTVs > 85% and <=90%
• 6% for LTVs > 80% and <=85%
Reduced Mortgage Insurance Premiums
For Conventional Loans Coverage required by HFA Preferred
![Page 47: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/47.jpg)
47
CDA MMP Products (continued)
• Borrower can get a more affordable monthly
payment by paying the mortgage insurance
premium up front OR the monthly payment can be
terminated when a 78% LTV is reached
• LTV cannot exceed 97% under Fannie Mae’s HFA
Preferred Program, even if the mortgage insurance
company has a higher LTV
Conventional MIP
![Page 48: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/48.jpg)
Conventional vs. FHA
![Page 49: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/49.jpg)
Community Development Administration
Conventional Refinance Program
Martin O'Malley
GOVERNOR
Anthony G. Brown
LT. GOVERNOR
Raymond A. Skinner
SECRETARY
Clarence J. Snuggs
DEPUTY SECRETARY
![Page 50: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/50.jpg)
97% LTV Conventional Refinance Loan Program
Refinance Loans!
97% LTV Conventional Refinance Loan Program
30-year, fixed rate, fully amortizing, limited cash out
Higher LTV limit ~ Lower MI premiums
(No DSELP available)
![Page 51: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/51.jpg)
51
97% LTV Conventional Refinance (continued)
• Minimum credit score 680
• Zero points
• Limited cash out
• Max LTV 97%, even if the mortgage insurer will accept a higher LTV
![Page 52: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/52.jpg)
52
RESOURCES
Maryland Mortgage Program
![Page 53: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/53.jpg)
53
http://www.mmprogram.org/lenders.aspx
Lenders
• MMP loans can only be obtained from
approved CDA lenders
• Currently there are 48 CDA lenders Not all CDA lenders offer the full range of
products—we are working on posting that to our
website soon!
Resources
![Page 54: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/54.jpg)
54
Interest Rates
• Interest rates are calculated daily
• In a fluctuating market, rates may change
more than once daily
• Interest rates are posted online and a
notice is emailed rates change
(You can request to be on this email list—
email [email protected])
![Page 55: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/55.jpg)
55
Check current interest rates:
www.mmprogram.org/rates.aspx
Interest Rates (continued)
![Page 56: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/56.jpg)
56
Interest Rate Sheet – updated every weekday or more often
PROGRAM Maryland Mortgage
Program (regular MMP) Save-A-Home Loan Program
DHCD-owned Foreclosure Program
POINTS 0 POINTS 0 POINTS 0 POINTS
GOVERNMENT INTEREST RATE 3.750% 3.750% 1.000%*
APR (FHA) 4.628% 4.628% 1.638%
CONVENTIONAL** INTEREST RATE 4.125% 4.125% 4.125%
APR*** 4.621% 4.621% 4.621%
Maximum DSELP Loan Amount
$5,000 $6,500 $5,000 (plus any applicable Partner Match Program funds)
PROGRAM MARYLAND HOMEFRONT: The Veterans and Military Family Mortgage Program
SUB-PROGRAM Maryland Mortgage Program Save-A-Home Loan Program DHCD-owned Foreclosure Program
POINTS 0 POINTS 0 POINTS 0 POINTS
GOVERNMENT INTEREST
RATE 3.250% 3.250% 1.000%*
APR (VA) 3.419% 3.419% 1.149%
APR (FHA) 4.082% 4.082% 1.638%
CONVENTIONAL** INTEREST RATE 4.125% 4.125% 4.125%
APR*** 4.621% 4.621% 4.621%
Maximum
DSELP Loan Amount $10,000 (plus any applicable Partner Match Program funds)
PROGRAM MBS 97% LTV Conventional Refinance Program
INTEREST RATE 4.125% APR*** 4.621%
Maximum DSELP Loan
Amount NOT AVAILABLE
![Page 57: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/57.jpg)
57
Points of Contact
If you have questions, you can call or email:
• Vicki Jones 410-514-7519
• Ed Anthony 410-514-7528
They will take your question and make sure
that you receive a timely response
![Page 58: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/58.jpg)
58
Website
www.mmprogram.org Website contains information on programs,
rates, initiatives, counseling, downpayment
assistance, approved lenders, directives, and
more.
Please consider attending future training classes to stay
informed of CDA’s latest changes and updates!
![Page 59: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/59.jpg)
59
Resources – website: www.mmprogram.org
![Page 60: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/60.jpg)
60
![Page 61: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/61.jpg)
61
MMP Kits
Seven Quick
Steps to
Getting
Started
![Page 62: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/62.jpg)
62
HOPE Hotline
1-877-462-7555
The HOPE Hotline is available 24 hours
daily for consumers who have questions
regarding mortgage delinquency,
foreclosure and assistance available from
the State of Maryland
![Page 63: Martin O'Malley Anthony G. Brown Raymond A. Skinner ...mdhcn.aspecialgathering.com/pdf/C1_Barbara_Schmitt.pdf · •A counseling certificate is required from the homebuyer education](https://reader035.vdocuments.us/reader035/viewer/2022063013/5fcc94c3ab7ba814032b1109/html5/thumbnails/63.jpg)
63
Questions?
Martin O'Malley
GOVERNOR
Anthony G. Brown
LT. GOVERNOR
Raymond A. Skinner
SECRETARY
Clarence J. Snuggs
DEPUTY SECRETARY