13. Reservation Cancellation/Ineligibility: A borrower whose mortgage loan reservation is cancelled is ineligible to participate in this program during the period beginning with cancellation of the reservation and ending one hundred twenty (120) days after cancellation of a reservation unless (1) this prohibition is waived for a specific borrower or (2) the cancellation is due to the failure of the residence to qualify.
11. Participating Lenders:A list of approved participating lenders can be obtained from the Jefferson Parish Finance Authority office or our website. Only approved banks or mortgage companies can reserve funds for and close a Southern Mortgage Assistance Program loan.
6. Down Payment Assistance (DPA): The borrower will select either a 3.00% DPA grant or a 4.00% DPA grant to be used for down payment and closing costs. The DPA is calculated as a percentage of the loan amount. The loan rate for a 4.00% DPA will be higher than the loan rate for 3.00% DPA. This DPA is a grant and is not repaid.
8. Income Restrictions: The borrower's annual income effective March 6, 2015 cannot exceed $ 69,000 which is 115% of HUD median income for Jefferson Parish.
9. Acquisition Costs: The acquisition cost of the residence cannot exceed the amount permitted by FHA, VA or RD as applicable, $271,050 for FHA, $417,000 for VA and no limit for RD.
10. Eligible Residences: The residence must be a single family home, which includes a condominium unit or townhouse and can be either a new or existing residence. The residence must be principally and permanently occupied as the borrower(s) principal residence within not to exceed (60) days following the closing of the mortgage loan. Duplex, multi-unit, recreational, seasonal, vacation, or investment homes are not permitted.
3. Program Availability: Mortgage loans will be available beginning September 12, 2013 until the program is terminated by the Jefferson Parish Finance Authority.
4. Eligible Loans: FHA, VA or RD, 30-year fixed rate mortgage and eligible for conversion to GNMA securities. A minimum credit score of 640 or higher is required. Lender will determine loan eligibility, subject to Master Servicer approval. Refinancing of loans is not allowed. Interim construction loan financing is not provided.
5. Eligible Loan Area: The residence purchased under the Southern Mortgage Assistance Program must be located within the Parish of Jefferson
2. Mortgage Loan Rates: The loan rate will change periodically to stay competitive with the market rate. Borrowers should contact a participating lender for the current mortgage rate.
7. Eligible Borrowers: Subject to requirements stated herein, the borrower is elegible to purchase a residence under the Southern Mortgage Assistance Program anywhere in Jefferson Parish even if the Borrower(s) has or has had an ownership interest in a residence during the preceeding three years.
14. Certain buyers may also be eligible for assistance through the Jefferson Parish Community Development Department. Call 736-6262 for further information.
12. Program Costs:Lender may collect from the borrower its usual and customary costs, but the lender may not charge the borrower any origination and/or discount fees.
1. Program: Competitive 30-year fixed rate mortgage with a down payment assistance (DPA) grant equal to either 3.00% or 4.00% of the loan amount to qualifiying home buyers.
SOUTHERN MORTGAGE ASSISTANCE PROGRAM