ReStore
Habitat International
Step 1. Calculate Borrower's Income - make sure your borrower meets all income eligibility requirements.
Partners - MFA staff will calculate the income twice:
- at application (when borrower applied to Habitat); income must be at or below 50% (60% for Taos)
- within 30 days of closing; income must be at or below 80%
FHLB - affiliate must calculate income within 12 months of closing; income must be at or below 50%
HOME - affiliate must calculate income within 6 months of closing; income must be at or below 80%
LTTF - affiliate must calculate income; income must be at or below 50%. The program regulations do not specify how current income calculation must be, therefore you may use any income documentation from any point in time.
Income Calculator. Click on the tabs on the bottom lefthand corner for one or two borrowers.
Step 2. Print out the checklists for all of the programs
Project Information
Partners Checklist
FHLB Checklist
HOME Checklist
Step 3. If you are selling a loan to partners, submit packet 1 as soon as possible. This packet contains the borrower's income information at the time of application to Habitat. This income information should have already been collected. At this point, the sales price does not need to be finalized - please provide the estimated Sales Price on the Reservation Request.
Step 4. At least 30 days prior to closing, submit Partners Packet 2, FHLB, and HOME requests to Program Administrator
Note: Partners Packet 2 - MFA must approve packet 1 before you can submit packet 2
Step 5. Prepare for the Closing
Preparing the loan documents - each program has its own loan documents that must be signed at closing.
Partners - see file checklist, under packet #3
FHLB - Deed Restriction and Security Agreement
HOME - Mortgage and Note
LTTF - Mortgage and Note
Preparing the HUD-1 Statement - Sample HUD-1
Step 5. Immediately after Closing
Get a copy of the signed HUD-1
Step 6. Within 60 days of Closing
Obtain original recorded loan documents from title company.