Housing Authority Adopts Federal Guidelines for Homeownership Program - 1/23/2001
In an effort to make homeownership more available to the citizens of South Carolina, the South Carolina State Housing Finance and Development Authority's Board of Commissioners voted to adopt the Federal Guidelines structure for income and price limits of homes purchased through the agency's homeownership program. These changes will allow more first time homebuyers to qualify for the Authority's homeownership program.
This structure will increase the maximum allowable income limit and home sale price for loans financed by the Authority. The maximum household income ranges from $45,000 to $74,760.00 and the maximum acquisition price for a new construction or existing home ranges from $101,840.00 to $155,607.00. Income qualifications and home purchase price limitations vary by county and household size.
(Click Here to view Maximum Household Income and Maximum Acquisition Price by County and Household size.)
"The Board reviews the guidelines for our Mortgage Revenue Bond program annually to keep our programs more accessible for low to moderate income families," said Board chairman Dan Rawls. "In order to provide up-to-date affordable housing opportunities, it is imperative that we stay current with the changing financial environment." Rawls went on to explain that this latest action also brings the Authority's mortgage loan program in line with those of other Housing Finance Agencies in the Southeastern states.
The Mortgage Revenue Bond Program has $56.7 million in available funds at an interest rate of 7.25 percent. Loan terms may be for 15, 20, 25 or 30 years. "Although we're raising purchase limits, the amount a person can afford to pay for a home is still determined by overall income and debt structure," Rawls explained.
"During 2000 the State Housing Authority made approximately 1,688 home loans for a total of $115,433,928.00," said executive director Dave Leopard. "We're proud of that record, but we feel that restructuring our income and acquisition limits will allow us to reach even more people who qualify for our homeownership program."
The Agency's Mortgage Assistance Program is also available with this loan program. The Authority will make a Mortgage Assistance loan at 4% interest for five (5) years to buyers who can make monthly payments, but don't have sufficient funds for the out-of-pocket expenses associated with down payments and closing costs. Loans are available to qualified borrowers for up to $1,000.00 of the required closing costs at closing. Loan repayment will not begin until the third (3) year and no interest accrues until repayment begins.
To obtain a list of participating lenders and income and purchase price limits for South Carolina counties, call (803) 734-2069, or visit the Authority's website at www.sha.state.sc.us. Individuals and families with qualifying incomes may contact any one of the participating lenders statewide. Hearing and/or speech-impaired persons may use the Authority's TTY line (803) 734-2369.
The South Carolina State Housing Finance and Development Authority is a self-sufficient agency of state government and receives no state appropriation.