HFA Preferred Start Up Conventional
Start up loans are for first time home buyers and buyers that have not owned a home for three or more years.
- 30 Year Fixed First Mortgage
- 640 Minimum Credit Score for Conventional First Mortgages
- Purchase price and income limits apply(See Below)
- 1-2 unit properties permitted
- Manufactured homes allowed (not permitted on FHLMC product)
- Government Programs available
- FHA, VA, USDA
- Conventional Programs available
- FNMA HFA Preferred
- Above 80% AMI – requires standard Mortgage Insurance coverage
- At or below 80% AMI – reduced Mortgage Insurance coverage
- HFA Preferred Risk Sharing (AMI must be 80% or above)
- FHLMC HFA Advantage
- First-time homebuyer requirement
- Household income considered(Borrowers plus spouses that will live in the home)
- Minimum borrower contribution is the lesser of $1,000 or 1% of the purchase price if using a MN Housing DPA
- MN Housing follows Fannie Mae, Freddie Mac and FHA for reserve requirements, interested party contributions and maximum LTV/CLTV
- Co-signors are permitted
- Start Up = Deferred Payment Loan and Deferred Payment Loan Plus
- 0% interest rate, loan term = 1st mortgage term
- Loan amounts up to $11,000 in $100 increments (Deferred)
- Loan amounts up to $13,000 in $100 increments (Deferred Payment Plus)
- Homebuyer education is required for at least one borrower
- Loan is never forgiven
- Asset limit applies
- Start Up/Step Up = Monthly Payment loan
- Interest rate equals 1st mortgage rate
- Loan amounts up to $17,000 in $100 increments
- 10-year term
MHFA Income Limits and Purchase Price Limits
If your income is below the following you can get upto 8,000 or 10,000 with no payments or interest until final repayment
Deferred Payment Loan and Deferred Payment Loan Plus
You have to be a 1st time home buyer or have not owned a home for 3 or more years to use deferred payment option.
Household Size | 11-County Twin Cities Metro Area* | Dodge and Olmsted Counties | All Other Counties |
---|---|---|---|
1- 2 Person | $72,000 | $72,000 | $64,000 |
3 Person | $81,000 | $81,000 | $72,000 |
4 Person | $90,000 | $90,000 | $80,000 |
5 Person | $97,000 | $97,000 | $86,000 |
6 Person | $104,000 | $104,000 | $92,000 |
7+ Person | $112,000 | $107,800 | $99,000 |
If you income is greater than the above limits, you can get upto 15,000 in down payment assistance as a 10 year repayable 2nd mortgage if you income is at or below the following:
Step Up With or Without Monthly Payment Loan
If you need over 8,000 dollars or have owned a home in the last 3 years, you must use a montly payment loan.
11-County Twin Cities Metro Area* | Dodge and Olmsted Counties | All Other Counties |
---|---|---|
$149,500 | $149,500 | $132,500 |
Current Purchase Price Limits
You can not buy a home that is even 1 dollar higher than the following price limits:
- 11-County Metro: $330,100
- Balance of State: $283,300
Example Programs by Credit Score
(click program name for details)
580-850
620-850
640-850
650-850
660-850
680-850