DownPayment Assistance Program
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Purpose
To increase homeownership in targeted area
of
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Borrower Profile
Borrowers must be homebuyers able to obtain FHA or
conventional purchase-money first mortgage with a LNHS lender partner:
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Chase Bank Fifth Third Huntington Bank Lafayette Bank & Trust Lafayette Savings Bank
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PEFCU Salin Bank Sand Ridge Bank Regions Bank Lafayette Community Bank
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Eligible Properties
Owner-occupied, 1 to 4 family dwellings, located in the following
- Historic
- Centennial
- Ellsworth
(SNIC)
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Loan Terms
Fixed rate second mortgage loan. Loan term to be determined based on borrower’s affordability. Maximum $5,000 per borrower.
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Use of Funds
Can be used for down payment, closing costs and prepaid expenses as allowed by
buyer’s first mortgage lender’s loan program.
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Loan Approval
Lender must approve buyers first mortgage loan. Lender must provide LNHS with copies of Mortgage application, credit report and qualification worksheet. Underwriting must include second mortgage loan and meet lender’s criteria for housing, debt ratios and combined LTV.
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Fees
Fees will be charged in connection with the loan and can be financed. All fees must be paid prior to or at the time of closing and can be paid from loan proceeds.
Application Fee - $50.00
Document Preparation - $50.00
HomeBuyer Education Fee - $100.00
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Loan Servicing
Loans will be serviced by LNHS.
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Other Requirements
Buyer must complete a LNHS HomeAdvance
Program. No cash out to buyer at closing.
Office Hours
Monday through Friday 8:30am to 5:30pm – Open Late on Wednesdays!
Appointments are not necessary but are encouraged
We do business in accordance with the Federal Fair Housing Law.
