Structure of Assistance. The Program is envisioned as a revolving fund. The Program will make a five-year, non-recourse, zero-percent forgivable, non- amortizing loan in which a second lien is recorded on the property. Twenty percent of the loan will be forgiven for each year the loan is outstanding. If the property is sold or refinanced prior to the loan termination date, the Program will recover funds should sufficient equity be available from the transaction. The Program will recycle recovered funds in order to provide additional program assistance until December 31, 2017, at which time any recovered funds will be returned to Treasury.
Structure of Assistance. The assistance will be administered as a one-time direct payment to the servicer. The assistance will be structured as a 0% interest forgivable loan with no monthly payment evidenced by a promissory note with a sixty (60) month term. The loan will be secured by a junior lien on the property. If the borrower complies with the terms of the loan, the loan will be considered satisfied at the end of the sixty (60) month period following funding and the lien released. Borrowers will not always receive the maximum assistance amount of $35,000. If the borrower defaults under the terms of the loan prior to the maturity date of the note evidencing the assistance loan, the loan will be due and payable to NAHAC. If the borrower sells the property or obtains a refinancing where the borrower is eligible to receive cash out of the transaction before the maturity date of the note, all proceeds after payment of borrower’s closing costs (with the commission to real estate brokers, if applicable, by the borrower limited to 6 percent) and the payment to the holders of the senior deeds of trust, will be due and payable to NAHAC to satisfy payment of all or a portion of the loan funds. All funds returned to NAHAC will be used to assist additional homeowners in accordance with the Agreement.
Structure of Assistance. The assistance will not be structured as a loan since there will always be at least a 40/60 match from the lender.
Structure of Assistance. All assistance is structured as a forgivable, non-recourse, non-amortizing loan, secured by a junior lien on the property. The loan is forgiven at a rate of 20% per year in years 6 through 10 of the loan term. This loan will only be repayable if the borrower sells the property before the forgiveness period expires and there is sufficient equity to pay the loan. All funds returned to the UBP may be recycled until December 31, 2017; thereafter they will be returned to Treasury.
Structure of Assistance. CalHFA MAC will structure the assistance as a non-recourse, non- interest bearing subordinate loan in favor of the Eligible Entity (CalHFA MAC) secured by a junior lien recorded against the property in the amount of the assistance. At the conclusion of (2) two years, the subordinate loan will be released. Loan funds will only be repaid to Eligible Entity (CalHFA MAC) in the event of a sale or a refinance that includes cash out and there are equity proceeds available prior to forgiveness. Recovered funds will be recycled in order to provide additional program assistance until December 31, 2017, at which time any recovered funds will be returned to Treasury. After December 31, 2017, any remaining or returned funds will be returned to Treasury.
Structure of Assistance. Funding from the Program will be structured as a five-year non- recourse, zero-percent forgivable, non-amortizing loan in which a second lien is recorded on the property. Twenty percent of the loan will be forgiven for each year it is outstanding. If property is sold or refinanced prior to the loan termination date, funds will be recovered should sufficient equity be available from the transaction. Recovered funds will be recycled in order to provide additional program assistance until December 31, 2017, at which time any recovered funds will be returned to Treasury.
Structure of Assistance. All loans will be recorded as non-recourse junior liens against the property and will be non-amortizing. Loans will be forgiven at a rate of 20% per year such that in year six the loan will be forgiven and the lien removed. The loan will only be repayable if the program participant sells or refinances the property prior to expiration of the lien period, and then only to the extent there is sufficient equity to pay that portion of the loan that has not been forgiven. Loan funds repaid by program participants will be recycled until December 31, 2017. After December 31, 2017, any remaining returned or recaptured funds will be returned to Treasury.
Structure of Assistance. CalHFA MAC will structure the assistance as a non-recourse, non- interest bearing subordinate loan in favor of the Eligible Entity (CalHFA MAC) secured by a junior lien recorded against the property in the amount of the assistance. At the conclusion of (2) two years, the subordinate loan will be released. Loan funds will only be repaid to Eligible Entity (CalHFA MAC) in the event of a sale or a refinance that includes cash out and there are equity proceeds available prior to forgiveness. Recovered funds will be recycled in order to provide additional program assistance in accordance with the Agreement.
Structure of Assistance. All assistance shall be provided to the homeowner in the form of a 0% interest rate, deferred-payment, non-recourse loan secured by a mortgage that will be recorded and will take a junior lien position on the home. This NJHK mortgage loan shall require no monthly payments from the homeowner. Within the first five years of the closing date of the NJHK mortgage loan, the full amount of the NJHK mortgage loan shall be due and payable upon the sale or upon the transfer or upon the refinance of the property (except for a lower rate/term refinance) or if the applicant ceases to occupy the property as his/her primary residence in the event there are sufficient equity proceeds available from such transaction. After the fifth year, the NJHK mortgage loan amount shall be forgiven 20% per year, to be forgiven in full at the end of the tenth year. All borrowers will be required to sign and acknowledge the program guidelines and any and all other program requirements, including employment status reporting. Any funds repaid to the NJHK by NJHK recipients in accordance with established program guidelines will be recaptured and may be used to assist additional homeowners up to December 31, 2017. After this date, all remaining and recaptured funds will be returned to the U.S. Treasury.
Structure of Assistance. The Second Mortgage Assistance Component will provide up-front, forgivable, loans to eligible borrowers. Promissory notes on the forgivable loans will be for a term of five (5) years in favor of the Eligible Entity and placed on the property as a junior lien. A forgiveness clause will extinguish the loan amount at the end of five (5) years, provided the consumer has satisfied all terms of the loan. The terms of the loan are zero-interest, zero-payment for the duration of the loan. The assistance loan will be considered satisfied upon expiration of five-year term and the Arizona Department of Housing (“ADOH”) will release the second lien connected with the note. These loans will be utilized to reduce a portion of the principal on the existing second mortgage and the remaining balance will be extinguished by the lender/servicer, if the assistance is less than the outstanding principal balance due. All or part of the loan funds will be repaid to ADOH in the event that the home increases in equity and a sale or a refinance yields excess equity proceeds (net of transaction expenses) to the borrower sufficient to repay all or a portion of the loan funds. • Second Mortgage Assistance provided as a part of a HARP or other approved refinance will be provided in a one-time installment evidenced by a promissory note with a five-year term. If coupled with Principal Reduction Assistance component on a first mortgage the amount of the promissory note will be for the combined total of all assistance under both components. • Any proceeds that are returned to the program will be reutilized to assist additional homeowners. All remaining funds including those that were recycled into the SAVEOURHOMEAZ program will be returned to Treasury on or before December 31, 2017.
