MULTI-COUNTY FIRST TIME BUYER PROGRAM FOR BREVARD, …

MULTI-COUNTY FIRST TIME BUYER PROGRAM

FOR BREVARD, CLAY, DUVAL AND HILLSBOROUGH COUNTIES

PUBLISHED ON 5-22-12

REVISED 08/31/18 REVISIONS

TABLE ON PAGE 3

HFA of Hillsborough County Multi- County First-Time Buyer Program Page ! 2WHO TO CONTACT 7 THE PRODUCTS 8

First Mortgage Loan 8

HFA Second Mortgage Loan - Down Payment and Closing Cost Assistance 8

Mortgage Credit Certificate 9

MORTGAGE CREDIT CERTIFICATES 10

What is a Mortgage Credit Certificate? 10 What is the lender involvement? 11

MCC Homebuyer Benefit 11

What does the Homeowner have to do to claim the benefit with the IRS? 12

MCC Special Rules 12

FIRST MORTGAGE PROGRAM REQUIREMENTS 13 Eligible Borrowers 13

Veterans Exception 13

Targeted Areas 13

First Mortgage Eligible Areas 13

Homebuyer Education 14

Minimum Credit Score 14

Minimum Borrower Contribution - Clay County only 14

HOUSEHOLD INCOME CALCULATION 15 HOUSEHOLD INCOME LIMITS 15

HOUSEHOLD INCOME LIMITS 16 AFFORDABLE INCOME SUBSIDY GRANT 16 HOUSEHOLD INCOME LIMITS 16 AFFORDABLE INCOME SUBSIDY GRANT 16

ACQUISITION LIMITS (Sales Price Limits) 16

Property Requirements 17

FINANCING FACTS 18 LENDER TRAINING REQUIREMENTS 20 SUMMARY OF THE COMPLIANCE ORIGINATION PROCESS 21 PROGRAM TIMELINE 27

Loan Processing, Delivery and Purchase Timetable 27

Extension Request 27

Term of MCC Program 27

PROGRAM FEES 28 LENDER COMPENSATION 29 COMPLIANCE INCOME CALCULATION 30 PROGRAM FORMS 34 DOCUMENTS REQUIRED FOR THE COMPLIANCE FILE (Rev 9/26/15) 34 US BANK WEBSITE 35

HFA of Hillsborough County Multi- County First-Time Buyer Program Page ! 3

REVISIONS TABLE

Date REVISIONS TABLE

8-20-12 The HFA requires those using the Home Sweet Home Hillsborough first mortgage to also use a Mortgage Credit Certificate page 4, page 6, page 15

10-17-12 Removed specific first mortgage rate information page 5, added US Bank web site information pages 25 & 26

11-1-12 Added 45% DTI Ratio requirement

2-8-13 Pg. 5 HFA second mortgage amount revised; Pg. 17 Extension Request Fee revised; Pg. 29 US Bank DPA Funding Verification Form;

2-22-13 Pg 15, How to Reserve HFA DPA and MCC funds added; Pg 18 - 19, Process Guidelines for requesting DPA Funds; Pg 22, How to Reserve a Loan updated

4-25-13 Pg 5, added verbiage to HFA second mortgage eligibility criteria

6-4-13 Entire guide reformatted to include program information for Brevard County, Clay County and Duval County

7-1-13 Pages 16, 19, 27, 29 2013-14 Award Letter requirements Pages 5 and 22 MCC language clarified, on page 22 note separate fees for first mortgage and MCC

8-5-13 Pages 5 and 6, increased amount of DPA; Page 22, Lender Compensation increased and paid at loan purchase.

8-12-13 Page 12, income limits revised for Hillsborough County

9-1-13 Page 22, US Bank Transfer Fee revised for loans reserved on or after 9-1-13

9-5-13 Page 22, lender compensation composition revised

12-02-13 Page 22, added $75 second mortgage application fee and reformatted program fees page.

1-6-14 Page 10, Revised Targeted Areas based on 2010 Census; Page 18, New emails for Wire Requests

1-31-14 Page 7, Removed reference to City of Tampa and Hillsborough County second mortgage set-aside. Funds no longer available.

3-13-14 Page 9, Removed link to HUD site for maps; Page 14, changed instruction in the DISCLOSE area; Page 18, moved the Clay County DPA Funding Request information from Page 15 to Page 18; Page 27, verbiage regarding Recapture Tax brochure revised; Page 27, revised Pre-Closing, Closing and Post Closing forms verbiage

3-17-14 Page 12, income & purchase price limits revised for Brevard, Clay and Duval counties

4-30-14 Page 5, DPA in Duval County revised to $7,500

6-9-14 Page 5, DPA in Clay County will be revised to $5,000 effective July 1st.; Page 21, U.S. Bank Funding Fee Increased for new reservations on and after 6-9-14

6-18-14 Page 5, DPA in Clay County will be revised to $7,500 effective July 1st.


7-13-14 Page 11, Income and Purchase Price Limit Changes

9-2-14 Page 15, Added new recording requirements for Second Note; Page 27, NEW Second Note recording requirements and NEW Second Mortgage Compliance File for loans originated in Hillsborough County ONLY;

10-15-14 Page 6, revised Clay County DPA amount to $10,000; Page 13, cash back policy revised for loans originated in Clay County;

11-24-14 Page 16, Clarified second mortgage compliance file submission; Page 16, Close and Verify instructions clarified; Page 18, Mark Hendrickson’s email address revised for Hillsborough and Duval county DPA Fund Requests;

12-19-14 Page 12, revised income limits in Hillsborough County ONLY for 6, 7, and 8 family household sizes.

1-8-15 Page 16, added recordation requirements for loans originated in Brevard and Duval counties.

1-23-15 Page 6, revised HFA of Jacksonville DPA amount to $10,000

1-27-15 Page 12, revised income limits for Hillsborough County

3-23-15 Page 12, revised income limits for Hillsborough County

06-17-15 Page 6, Hillsborough DPA amount changed to $15,000

06-17-15 Page 12 & & 13, revised income and purchase price limits. Brevard County TBD

06-19-15 Page 12 & 13, revised income and purchase price limits for Brevard County.

07-01-15 Page 14 & 21, Documentary stamps and intangible taxes no longer exempt

9-5-15 Page 13, Revised homebuyer education requirement

9-8-15 Pages 6 & 7, Added contact directory

9-12-15 Page 8, DPA amount in Hillsborough County reduced to $10,000

9-26-15 Page 5, Reformatted Contact Directory

9-26-15 Pages 13 & 14, Reformatted Financing Facts

9-26-15 Pages 15 - 18, Reformatted Origination Process

9-26-15 Page 20, Reformatted eHP and US Bank Fees

9-26-15 Page 25, Reformatted Documents for Compliance File

10-2-15 Page 17, Added a second HUD-1 is required for all second mortgage programs.

10-2-15 Page 13, Added second mortgage disclosure requirements

10-15-15 Page 20, Revised eHP fee information & revised US Bank fee

10-15-15 Page 25, Added disclaimer regarding not reproducing program forms

12-1-15 Page 12,Minimum FICO revised; Page 13, Manufactured homes no longer eligible; Page 15, Revised manual underwriting; Page 22, Revised Compliance Income Calculation



12-30-15 Page 6, Revised Second Mortgage loan FICO information; Page 11, Revised minimum FICO; Page 14, Revised Manual underwriting

02-19-16 Page 12, Revised Acquisition Limit in Hillsborough County Page 19, Reservation to Underwriter Certification revised to 15 days

05-11-16 Page 12, Revised income and purchase price limits effective with loan applications dated 06/14/16 and after

07-01-16 Page 7, revised DPA for Hillsborough County Page 12, revised minimum Credit score language

07-20-16 Page 14, Included all counties to Cash Back policy

07-27-16 Page 15, Added US Bank bulletin number to Manual Underwriting

08-22-16 Page 21, Clarified eHousingPlus Fee

08-23-16 Page 7, Changed DPA assistance in Jacksonville to $15,000

12-07-16 Pages 7, 11, 13, 14, 15, added Freddie Mac HFA Advantage Loan information

05-19-17 Page 6, Revised Who To Contact directory Page 11, Added Agency & US Bank overlay to Eligible Borrower Page 12, Added Freddie Mac loan product to Minimum Credit Score Page 12, Added US Bank overlay to DTI requirement Page 13, Added US Bank Condo Expansion to Property Requirements Pages 20 & 29, Revised US Bank Web Site link Page 23, Revised US Bank Tax Service Fee

08-04-17 Page 12, Revised Homebuyer Education to include another online provider Page 13, Revised income limits for all counties except Clay County Page 13, Revised sales price limit for Brevard County only Page 14, Revised Property Requirements for Fannie Mae and Freddie Mac for Condos.

09-05-17 Page 13, Revised purchase price limit in Hillsborough County

01-01-18 PAGE 7, Decreased the DPA amount for loans originated in Jacksonville (Duval County) to $7500. Decreased the DPA amount of loans originated in Hillsborough County to $10,000. Added no MCC’s in Brevard County until further notice.

01-24-18 Page 7 - Added a notation about Duval County Page 8 - Added Freddie Mac AIS Grant information Page 8 - Added notation that Brevard County HFA MCC program Page 9 - Added notation that MCC’s are required in Duval County and Hillsborough County Page 13 - Revised conventional loan DTI ratio Page 14 - Added Freddie Mac AIS Grant Income Limits Page 15 - Added Acquisition Cost definition Page 19 - Moved and Updated Lender Training information Page 20 - Added Reservation of Second Mortgage Information Page 20 - Moved and Updated Reservation of MCC Page 20 -Added Reservation of Freddie Mac AIS Grant information Page 21 - Added Step-by-Step Instructions for Freddie Mac AIS Grant Page 22 - Moved and Updated Underwrite & Certify information Page 23 - Added closing information for Freddie Mac AIS Grant Page 27 - Added eHP Fee when using the Freddie Mac AIS Grant

REVISIONS CONTINUED ON NEXT PAGE



04-19-18 Page 8, Clay County dpa amount changed to $7,500 effective 04/20/18 Page 9 & 21, AIS Grant amount changed effective 04/23/18 Page 9 & 24, Removed incorrect information from AIS Grant regarding no reimbursement of overage of EMD Page 15, Revised Hillsborough County Income Limits effective 05/21/18 Page 17, Revised Property requirements to clarify condos with Freddie Mac loans Page 29, Revised US Bank tax service fee

05-22-18 Page 8, Revised Hillsborough down payment amount effective 07/01/18

07/23/18 Page 16, Revised AIS Grant income limits effective 07/29/18 Pages 18 & 19, Revised Documentary Stamp and Intangible Tax effective 07/01/18 Pages 36-55, Revised Documentary Stamp and Intangible Tax effective 07/01/18

08/31/18 Page 8, Revised DPA amount for Jacksonville HFA (Duval County), updated Brevard, Clay and Hillsborough DPA to be current.



WHO TO CONTACT (Rev 05/19/17)

Question Direct Questions to:

Contact Information

General Program Compliance Questions

eHousingPlus (eHP)

813-415-3549 [email protected]

Assistance with eHP Lender Portal

eHousingPlus (eHP)

(954) 217-0817 [email protected]

Assistance with User Credentials for eHP Lender Portal

Ashlynn Mosher (954) 217-0817 ext 261 [email protected]

Update an Underwriter Certified Loan

eHousingPlus (eHP) Anyone at eHP Compliance Office [email protected] 954-217-0817

Program Training eHousingPlus (eHP) Click on this link to attend Program training.

Program Training Issues eHousingPlus (eHP) 813-415-3549 [email protected]

System Software Training for eHP Lender Portal

eHousingPlus (eHP) Click on this link for the once weekly Live Webinar: http://www.ehousingplus.com/ehp-system-trainings/

System Software Issues eHousingPlus (eHP) 813-415-3549 [email protected]

Program Rates eHousingPlus (eHP) Click on this link: to view the HFA of Hillsborough County Program rates. Then click on the RATES tab.

Credit Underwriting questions Participating Lenders need to refer to internal Underwriting Department or Manager

US Bank does not re-underwriter loans. For general questions, contact US Bank at [email protected] or 800-562-5165 Option 2 (for general questions) Please note: US Bank answers underwriting questions from the underwriter of a lender for whom US Bank provides underwriting services ONLY.

Questions regarding the shipping of closing loan files

eHousingPlus (eHP) for questions regarding the program compliance file

US Bank for questions regarding the first mortgage closed loan file

[email protected] 954-217-0817

[email protected] 800-562-5165 [email protected]

mailto:[email protected]




http://www.ehpuniversity.com/index.html?page_id=32


http://www.ehousingplus.com/ehp-system-trainings/


http://www.ehousingplus.com/available-programs/florida/hillsborough-housing-finance-authority/






THE PRODUCTS The HFA of Hillsborough County sponsors a multi-county single family mortgage program for first-time buyers. By inter-local agreement between the HFA’s of Hillsborough County, Clay County, Brevard County and (city of) Jacksonville*, are participating jurisdictions. By grouping several programs together, minimum pool amounts are met much faster. Once pools are settled, the dollar amount of loans in the pool are added back to the revolving fund of available allocation. The process reduces the turnaround time making funds available continuously. * The Jacksonville HFA eligible area is all of Duval County, FL.

First Mortgage LoanRates and assistance are subject to change at any time without notice. For current rate, please visit this web page and click on the RATES tab. The following mortgage products are offered in thisprogram: FHA, VA, USDA:RD (government loans) and the Freddie Mac HFA Advantage Conventional loan. The program offers first mortgage financing for qualifying households purchasing residences in Hillsborough County or the participating jurisdictions. Qualified borrowers will receive a 30-year, fixed rate, fully amortizing first mortgage loan with 360 level monthly payments. (Rev 12-07-16)

HFA Second Mortgage Loan - Down Payment and Closing Cost AssistanceThe second mortgage may ONLY be used with the HFA’s 30-year fixed rate first mortgage noted above. If a borrower qualifies for the HFA of Hillsborough First Mortgage, they will automatically qualify for this second mortgage. All second mortgage loans are 30 year, 0% deferred (or due upon sale, refinancing, transfer of title, or rental of the home if done within first 30 years). This loan is never forgiven. Lenders must use the program second mortgage and note showing the HFA as the mortgagee. With the HFA as the mortgagee, the funds may be used to fulfill FHA’s borrower minimum contribution. (Revised 06/17/15). The HFA will fund the second mortgage at closing via their escrow agent. Please see the area of the guide titled DPA Funds Request for detailed information. (Added 12/30/16)

Lenders are required to provide a HUD-1 at loan closing.

The HFA of Brevard County offers up to $10,000 in down payment assistance in the form of a 30-year deferred, 0% second mortgage. Effective with new loan reservations 10/01/18, the assistance amount will decrease to $7,500. (Rev 08/31/18)

The HFA of Hillsborough offers up to $7,500 in the form of a 30-year deferred, 0% second mortgage - effective 08/01/18. (Rev 08/31/18)

Questions regarding exceptions

eHousingPlus (eHP) for questions regarding exceptions on the program compliance file

US Bank for questions regarding exceptions on the first mortgage closed loan file

Debbie Kerr [email protected] 954-217-0817 X216

[email protected] 800-562-5165 [email protected]

Question Direct Questions to:

Contact Information






HFA of Hillsborough County Multi- County First-Time Buyer Program Page ! 9The Jacksonville HFA (all of Duval County) offers up to $5,000 in down payment and closing cost assistance in the form of a 30-year deferred, 0% second mortgage - effective 09/01/18. (Rev 08/31/18)

The HFA of Clay County offers up to $7,500 in down payment and closing cost assistance in the form of a 30-year deferred, 0% second mortgage. (08/31/18)

After reserving first mortgage funds, lenders choose Add Additional to reserve the DPA. Lenders will be prompted to choose the correct DPA by a popup on the screen.

Affordable Income Subsidy (AIS) Grant - Freddie Mac HFA Advantage Loan ONLY Borrowers using the Freddie Mac HFA Advantage Loan that meet specific income limits may be eligible for additional funds to help with down payment and closing costs. The income limits are determined by the county location of the home. Effective with new loan reservation 04/23/18 and after, borrowers at or below 80% of the Area Median Income Limits as published by Freddie Mac are eligible for an additional grant in the amount of $1,500 and Borrowers at or below 50% AMI will receive an additional grant of $2,500. The AIS Grant is reserved in the eHousingPlus Lender Portal using the ADDITIONAL LOAN tab after the first mortgage AND Second Mortgage are reserved. The AIS will be provided at closing by the Lender. The AIS funds must be used for down payment and closing cost assistance only. There is no repayment of the AIS Grant. Upon purchase of the loan, US Bank will reimburse the Lender for all qualified subsidies. The AIS must be reflected on Page 3, Section L of the CD as Affordable Income Subsidy. This AIS Grant must be reflected in DU or LP findings, along with the Second Mortgage provided by the Program. Any questions about the preparation of the CD should be directed to US Bank HFA Division. The AIS Grant will be available for new reservations beginning 01/24/18. (Rev 04/19/18)

Mortgage Credit CertificateThe HFA has collectivity authorized the issuance of Mortgage Credit Certificates (MCCs) -- a federal income tax credit. An MCC entitles the recipient to take an annual federal income tax credit. A tax credit represents a reduction of actual federal income taxes due. The holder of the MCC may use the credit each year the loan is outstanding as long as the property continues to be their principal residence. All qualified borrowers purchasing a home in Hillsborough County and Duval County receive an MCC as it is required when using the program first mortgage. Brevard County makes the MCC optional. It is necessary to reserve the first mortgage and then separately reserve an MCC in the separate MCC program. All qualified borrowers purchasing a home in Clay County may also receive an MCC (it is not mandatory). However, the MCC will require the borrower to work with a lender who is approved to participate in the Florida Housing Finance Corporation MCC program.


MORTGAGE CREDIT CERTIFICATES

BORROWERS PURCHASING IN DUVAL COUNTY AND HILLSBOROUGH COUNTY ARE REQUIRED TO RECEIVE A MORTGAGE CREDIT CERTIFICATE ISSUED FROM THE HFA OF HILLSBOROUGH COUNTY MCC PROGRAM OR THE JACKSONVILLE HFA MCC PROGRAM ONLY.

TAX DISCLAIMER This material is not intended or written to be used, and it cannot be used, by any taxpayer for the purpose of avoiding tax penalties that may be imposed on the taxpayer. This material may be used to support the promotion or marketing of the matter discussed herein. The taxpayer should seek advice from an independent tax advisor regarding the matter set forth herein based on the taxpayer’s particular circumstances.

What is a Mortgage Credit Certificate? A mortgage credit certificate (“MCC”) was designed to assist persons of low and moderate income to better afford their own home. The procedures for issuing MCCs were established as an alternative to the issuance of single family mortgage revenue bonds. As distinguished from a bond program, in a MCC program the mortgagor may take a tax credit in an amount equal to the annual amount of interest paid on the mortgage loan multiplied by the Mortgage Credit Certificate Rate. Currently, to maximize the benefit to the MCC applicants, the Mortgage Credit Certificate Rate for the Program is 50% but may not exceed $2,000 annually.

As an example, an Applicant with a $200,000, 30 year, fixed rate mortgage (monthly payment has equal monthly installments of principal and interest) and a 3.50% interest rate could realize the following federal income tax savings (numbers are rounded):

During the first year of the Program, the Applicant in the example would be eligible for a tax credit of up to $2,000 if not limited by tax liability. The Applicant would be able to file a revised W-4 withholding form taking into consideration the anticipated tax credit and have approximately $166 per month in additional disposable income in the first year. Applying that savings to the monthly payment, decreases the payment to $732.

In the example, 100% of the mortgage interest paid is $7,511 so 50% of the mortgage interest paid is $3,755. Because the credit rate is 50%, the amount that may be claimed as a credit is capped at

Example

Mortgage Amount $200,000

Interest Rate 3.5%

Monthly P & I $898

Total Interest Paid First 12 mos $7,511.00

Mortgage Credit Certificate Rate 50%

Maximum First Year Credit Amount $2,000

HFA of Hillsborough County Multi- County First-Time Buyer Program Page ! 11$2,000. According to IRS instructions on Form 8396, the amount of allowable mortgage interest deduction on Schedule A is determined by reducing by the amount on Line 3 of Form 8396 ($2,000). So the total mortgage interest paid in the first 12 months was $7,511, subtract $2,000 and the remaining $5,511 may continue to be used as a deduction.

The tax credit amount of $2,000 may be used as a tax credit after all other deductions and credits have been applied and to the extent there is tax liability. If not all of the $2,000 can be used because there is not enough tax liability, it may be carried forward for up to three years. However, it cannot be added to the allowable mortgage interest deduction.

Borrowers who receive an MCC and who continue to own and occupy the financed home will be eligible for a tax credit each year for the term of the loan.

The amount of the credit actually claimed on the MCC holder’s federal income tax return cannot exceed the amount of federal income taxes due after other credits and deductions have been taken into account. For example, if after taking into account other tax credits and deductions, a borrower only owes $1,100, he or she cannot use the MCC tax credits in an amount in excess of $1,100. In this example, the unused $900 MCC related tax credit can be carried forward up to three years to be applied against future income tax liability.

A purchaser of a new or existing single family home may apply for a MCC through any participating mortgage lender at the time he or she applies for a mortgage from the lender. A MCC cannot be issued to a homebuyer who is refinancing an existing mortgage or in connection with a mortgage from a relative. Also, an MCC cannot be used in connection with a bond program.

It’s important to note that all or a portion of the MCC related tax credit may be subject to recapture if the Residence is sold within the first full nine years of purchase. This tax credit recapture is further explained in the Notice of Potential Recapture Tax and in the Recapture Tax brochure provided to an applicant.

It is important that borrowers understand the MCC and consider getting more information from their tax professional or the IRS.

What is the lender involvement? Simply follow the guidelines for the first mortgage.

The Lender is responsible for filing a form with the IRS in each year in which they originate loans for which MCCs are issued, and for keeping certain records regarding the MCCs. For participating lenders, the annual form will be forwarded via email by the Program Administrator for execution and filing by the Lender.

MCC Homebuyer BenefitThe MCC can reduce the amount of federal income taxes; however, the tax benefit cannot exceed the amount of federal taxes owed for the year after other credits and deductions have been taken. But unused credit may be carried forward for up to three years.

Borrowers will have to adjust federal income tax withholding in order to receive the MCC benefit on a monthly basis. This adjustment is accomplished by the borrower speaking to their payroll department at their place of work. By reducing monthly withholding, they will have more disposable (after tax) income with which to make mortgage payments. The benefit of the MCC program continues for the

HFA of Hillsborough County Multi- County First-Time Buyer Program Page ! 12term of the mortgage as long as the holder of the MCC continues to own and occupy the home under the mortgage for which the MCC was issued.

What does the Homeowner have to do to claim the benefit with the IRS?Each year the homeowner files Form 8396 with their federal income tax return. The form is available on the IRS website.

MCC Special RulesMCC’S in this program qualify for re-issuance if the first mortgage loan is refinanced. Contact the Program Administrator for more information and current charges.

Process the first mortgage following these guidelines. After closing, simply follow the compliance file checklists. There are separate checklists for the first mortgage and for the MCC.

The MCC and Final Recapture Notice will be issued by the Program Administrator via mail sent to the borrower at the property address once the compliance file is approved.

Each January, the Program Administrator will provide the Lender with the required IRS reporting form for each year in which the Lender originates loans with MCC’s.


FIRST MORTGAGE PROGRAM REQUIREMENTS

Eligible Borrowers• Buyers and their spouses (occupant and non-occupant) must be first-time buyers but must be able

to permanently reside in the US. • Follow Agency (FHA, VA, USDA-RD, Freddie Mac) and U.S. Bank guidelines for non-citizens.

(Added 05/19/17)• Buyers must live in the property they purchase as their principal residence. • All applicants must be considered irrespective of age, race, color, religion, national origin, sex,

marital status, military status or physical handicap. • Buyers must occupy the property purchased within 60 days of closing. • The past three years federal income tax transcripts are required for all borrowers and spouses.

Extensions are not acceptable. • With a Freddie Mac HFA Advantage Conventional Loan, a borrower CANNOT own other property

at the time of closing.

Veterans Exception The veterans exception waives the requirement for the past three years tax transcripts and that borrower’s be first-time buyer’s. For the Veterans Exception, a “veteran” is defined as "a person who served in the active military, naval, or air service, and who was discharged or released therefrom under conditions other than dishonorable." The Mortgagor Affidavit has a paragraph that must be checked that states: “Mortgagor (Co-mortgagor) meets the requirements to qualify as a “veteran” as defined in 38 U.S.C. Section 101 and has not previously obtained a loan financed by single family mortgage revenue bonds utilizing the veteran exception to the first-time homebuyer requirement set forth in Section 416 of the Tax Relief and Health Care Act of 2006. Attached hereto are true and correct copies of my discharge or release papers, which demonstrate that such discharge or release was other than dishonorable.”

Targeted AreasBorrowers purchasing in targeted areas do not need to be first-time buyers. And do not need to submit the past three years tax transcripts. Targeted areas are determined by census tract number provided by HUD specifically for this program. Targeted areas are considered either economically distressed or have very low loan origination.

The following census tracts constitute the HUD targeted areas for this program -- Rev 1-6-14 Brevard County: 0607.00, 0623.01, 0626.00, 0649.02 Clay County - No targeted area census tracts Duval County: 0002.00, 0003.00, 0010.00, 0013.00, 0015.00, 0016.00, 0025.01, 0026.00, 0027.02, 0029.02, 0122.00, 0132.00, 0155.02, 0163.00, 0174.00 Hillsborough County: 0003.00, 0007.00, 0009.01, 0012.00, 0014.00, 0018.00, 0019.00, 0020.00, 0026.00, 0030.00, 0033.00, 0034.00, 0037.00, 0040.00, 0041.00, 0043.00, 0044.00, 0050.00, 0070.02, 0108.13, 0108.15, 0108.16, 0108.17, 0108.18, 0119.04, 0120.02, 0139,14

First Mortgage Eligible AreasBrevard County, Clay County, Duval County and Hillsborough County, Florida.


Homebuyer Education First-Time Homebuyers, unless qualifying under a Veteran's Exception or those who are

exempt by purchasing a home in a Federally Designated Targeted Area as specified in the this Program Guide, must complete a Program-approved pre-purchase homebuyer education course. We will accept face-to-face homebuyer education if provided by a HUD approved counseling agency, a unit of local government that provides pre-purchase homebuyer education in FL, or a counseling agency designated by a unit of local government to provide homebuyer education on their behalf. Refer to HUD link below for a list of approved education providers by county. Online HBE is permitted if provided by a HUD approved agency, a unit of local government that provides pre-purchase homebuyer education in FL, a mortgage insurance provider, or an Agency or GSE sponsored course.

Homebuyer education provided over the phone or by the lender is NOT acceptable.

Certificates of completion are acceptable for 2 years from the date of completion.

Helpful links to provide to homebuyers: Approved Face-to-Face education providers:

Face to face from a HUD approved education provider

Approved Online education providers: Online education from eHomeAmerica www.eHomeAmerica.org Freddie Mac Credit Smart http://www.freddiemac.com/creditsmart/tutorial.html HomeTRAK online education: http://hometrackonline.org Online education from MGIC (Instruct your borrower to look for: MGIC Homebuyer Education for Freddie Macs Home Possible Program and certain HFA's):

English https://homebuyers.mgic.com Spanish: https://compradoresdecasa.mgic.com (Rev 08/04/17)

Minimum Credit Score Buyers must have a minimum FICO credit score of 640 for FHA, Freddie Mac, VA and USDA:RD (the mid score must be the minimum or above). If an Agency (FHA. VA, etc) has a higher minimum, follow Agency guidelines. If a participating lender has a higher minimum for other loans and wishes to require a higher minimum for bond loans, then lenders must use the higher minimum. (Rev 05/19/17)

DTI Requirement The maximum DTI ratio is 45% for Government loans (FHA, VA, RD). And the maximum DTI ratio is 50% for the Freddie Mac HFA Advantage Conventional Loan. Reference US Bank Bulletin 2017-06 for additional information. (Rev 01/24/18)

Minimum Borrower Contribution - Clay County onlyMinimum borrower contribution requirement removed, effective October 15, 2014.

http://www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm?webListAction=search&searchstate=FL

http://www.ehomeamerica.org/

http://www.freddiemac.com/creditsmart/tutorial.html

http://hometrackonline.org

https://homebuyers.mgic.com/

https://compradoresdecasa.mgic.com/


HOUSEHOLD INCOME CALCULATION

Include income of borrower(s) and spouse (occupants and non- occupants) and any person who will live in the household who is 18 years of age or older. Bond program income is not averaged. It is annualized. That’s different from income used for credit underwriting. More detailed guidance for calculating program income is located in this guide in the area titled Compliance Underwriting.

HOUSEHOLD INCOME LIMITSHOME SWEET HOME PROGRAM

FHA, VA, RD and FREDDIE MAC LOANSEffective for 1003 all loan applications dated 06-14-17 and after.

Hillsborough County Income limits effective with new loan reservation May 21, 2018 and after.

County1-2 person household Non-Target

3 or more person household Non-Target

1-2 person household Target

3 or more person household Target

Brevard $61,700 $70,955 $74,040 $86,380

Clay $69,176 $79,552 $75,960 $88,620

Duval $70,178 $80,705 $77,880 $90,860

County1-2 person household Non-Target

3 or more person household Non-Target

1-2 person household Target

3 or more person household Target

Hillsborough $59,800 $68,770 $71,760 $83,720


HOUSEHOLD INCOME LIMITS AFFORDABLE INCOME SUBSIDY GRANT

FREDDIE MAC LOANS ONLY Reservations 07/29/18 and after (Rev 07/23/18)

HOUSEHOLD INCOME LIMITS AFFORDABLE INCOME SUBSIDY GRANT

FREDDIE MAC LOANS ONLY Reservations 01/24/18 thru 07/28/18 (Rev 07/19/18)

ACQUISITION LIMITS (Sales Price Limits) FOR ALL LOANS

The program refers to Acquisition Limits - in most cases this is the Sales Price and is never FHA Acquisition limits. The acquisition has to include everything paid by the buyer or on the buyer’s behalf. Effective for all 1003 loan applications dated 06-14-17 and after.

County 80% AMI 50% AMI

Brevard $51,840 $32,400

Clay $55,920 $34,950

Duval $55,920 $34,950

Hillsborough $51,120 $31,950

County 80% AMI 50% AMI

Brevard $49,360 $30,850

Clay $51,520 $32,200

Duval $51,520 $32,200


County Non-Targeted Areas Targeted Areas

Brevard $253,809 $310,211

Clay $298,192 N/A


Duval $199,999 $199,000


The “Acquisition cost” is defined as follows:

The cost of acquiring residential property as a completed residential unit, including: all amounts paid, either in cash or in kind, by the mortgagor or a related party for the benefit of the mortgagor to the seller(s); or related parties for the benefit of the seller(s) as consideration for the residential property.

The following costs are excluded: (1) those settlement costs and financing costs that are usual and reasonable and that would be paid by the mortgagor where financing is not provided through a qualified mortgage bond issue; (2) the value of any services performed by the mortgagor and family members in completing a dwelling unit on the residential property; and (3) the cost of any land that was owned by the mortgagor for at least two years prior to the construction of a dwelling unit on the residential property. (Added 01/24/18)

Property Requirements

•New or existing, one to four unit*, detached or attached, condos** and town homes. •Homes are considered new if never previously occupied. •Mobile, recreational, seasonal or other types of vacation or non-permanent homes are not permitted. (Rev 11/04/15) •Manufactured Homes - As of December 1, 2015, U. S. Bank will not purchase loans for manufactured housing. U.S. Bank considers manufactured housing: A manufactured home is a mobile home built entirely offsite on a permanent chassis that is pulled on the highway to a permanent location. Modular, panelized or prefabricated homes are not considered manufactured housing. (Rev 12/1/15) •Land may not exceed the size required to maintain basic livability. • Properties purchased in the program must be residential units. • No more than 15% of the square footage of the home being purchased may be used in connection with a trade or business including Child Care services (other than incidental rental from eligible multi-unit structures). Please note that existing 2, 3 and 4 family must be at least 5 years old. The mortgagor must reside in one unit of the property.

* Freddie Mac HFA Advantage Loans - One Unit property ONLY ** When using the Freddie Mac HFA Advantage conventional loan for a condo, LTVs from 95.01% to 97% are acceptable, the project must be approved by US Bank and must meet Freddie Mac guidelines. Review US Bank bulletin 2017-05 Condominium Guideline Expansion for complete details. (Rev 04/19/18)

The Internal Revenue Service and the HFA of Hillsborough County and participating jurisdictions have requirements that are reviewed for compliance. It’s the responsibility of lenders to review program documents and to originate loans that meet the requirements. The Master Servicer is not obligated to purchase loans that do not comply with program terms.


FINANCING FACTS

It’s expected that lenders have reviewed some preliminary documentation and believe that applicants will also qualify for credit. Excessive cancellations will be reviewed to assure that allocation is not being utilized inappropriately. FHA, VA, RD and Freddie Mac HFA Advantage conventional loans are permitted. Find the specific government and conventional loan products permitted on the US Bank website. (Rev 12-07-16)

Check with your underwriter for updates to information for Freddie Mac HFA Advantage. Such information is provided by a third party (i.e.Freddie Mac, U.S. Bank, etc) who do not provide updated information to eHousingPlus. (Added 12-07-16)

Freddie Mac HFA Advantage Fact Sheet: http://www.freddiemac.com/singlefamily/pdf/hfa_factsheet.pdf (Added 12-07-16)

Appraisal The appraisal must indicate that the home has at least a 30 year remaining useful life.

Asset Test All available assets are not required to be used in this program.

Assumptions First mortgage loans may be assumed by a qualified borrower meeting qualifying requirements, income and acquisition price restrictions in place at the time of the assumption. Such loans must continue to fully comply and be insured or guaranteed by the insurer/guarantor or the mortgage insurer.

Buy downs Limited to 1 or 2 years with a maximum change of 1.00% per year. Cannot be paid by borrower or any of their assistance.

Cash Back (all counties) Cash Back to the borrower is not permitted. However, borrowers are permitted a reimbursement of prepaids and reimbursement of overage of earnest money deposit to the extent any minimum contribution has been satisfied and permitted by Agency guidelines. (Rev 07/20/16)

Construction to perm Construction to perm loan type is not permitted. See “Refinance” below.

Co-signers (FHA, VA, USDA-RD)- Are permitted to the extent allowed by applicable Agency (FHA,etc). Treat co-signer income as directed by agency. A co-signer cannot have any ownership interest in the property (they cannot be on the mortgage/deed/warranty deed). And a co-signer may not live in the property. (Added 12-07-16)

Co-signers (Freddie Mac) - Not allowable. (Added 12-07-16)

Disclosure Requirements The second mortgage will require a second HUD-1 settlement statement at closing. (Revised 10/2/15)

Documentary Stamp and Intangible Tax LOAN RESERVATIONS PRIOR TO 07/01/18. First and second mortgages and notes are NO LONGER exempt from doc stamp and intangible tax. 1003 applications dated prior to 7/01/15 may take the exemption. Also, deeds continue to not be exempt. Sellers must pay the fee on the deed. Only in cases of an REO of FHA, VA, USDA, Freddie, Fannie or bank, may the buyer pay the fee on the deed. (Rev 7/23/18)

http://www.freddiemac.com/singlefamily/pdf/hfa_factsheet.pdf

http://www.freddiemac.com/singlefamily/pdf/hfa_factsheet.pdf


Documentary Stamp Tax/Intangible Tax LOANS RESERVED 07/01/18 AND AFTER Review pages 36-55 of this guide for the new Documentary Stamp exemption for first and second mortgages. And the new Intangible Tax exemption for the second mortgage. (Rev 07/23/18)

Final Typed Loan Application (1003) The typed application signed and dated by all parties is required. Loan interviewer must complete and sign page 3 of 4 of the 1003. If this is not possible, then an Officer must sign in place of the interviewer. All persons taking title to the property must execute all program documents. The income disclosed on the Affidavit must be the same or more than that shown on the 1003. The purchase price, loan amount, and other financial details must be the same as shown on all other documents.

Freddie Mac Loan Level Price Adjustment and Adverse Market Fees. These fees have been waived. (Added 12-07-16)

Manual Underwriting - See U.S. Bank bulletin 2015-07 and 2016-05 and note that with new reservations as of January 1, 2016, FHA loans may be manually underwritten. Rev 07-27-16

Minimum Loan Amount There is no minimum loan amount in this program.

Prepayments The first and second mortgage may be prepaid at any time without penalty.

Real Estate Purchase Contract The full address of the property, full names of all sellers and buyers, total purchase price of the property must be included. If there is not an address for new construction, a lot number and subdivision name are required. All named persons must sign. Include the name and title whenever a representative is signing for a corporation.

Refinances This program is intended for new mortgage loans.

Remaining Reserves Not established by the program. If any, these are determined by the type of financing used (i.e. FHA, VA.).

Tax Returns or Tax Transcripts or any combination Tax returns or tax transcripts or any combination of returns or transcripts for the preceding year are due April 15 of the current year. The past three years tax returns/transcripts are required for borrowers and spouses. Not required for those buying in Targeted Areas or those purchasing under the Veteran’s Exception. Requests for Extensions are not acceptable in lieu of tax returns/transcripts.

THE FOLLOWING ALSO APPLIES TO MCC LOANS:

Recapture Tax The conditions of repayment of the federal subsidy of these loans is explained in a separate brochure provided on the Website. Basically, if the property is disposed of in the first full nine years AND a net profit is made AND the borrowers income exceeds the income limits allowed at time of sale, recapture tax may have to be paid with the federal income tax return for the year in which the home is sold.

Reissuance of MCC’s If the first mortgage loan is refinanced, the MCC may be reissued. Contact the Program Administrator for all details in place at the time of the reissue.


LENDER TRAINING REQUIREMENTS

MANDATORY PROGRAM TRAINING FOR LENDERS Lender training is mandatory for anyone working with this program. eHousingPlus provides program training online 24/7. To attend, click here.

eHousingPlus LENDER PORTAL SYSTEM TRAINING Conducted once a week via live WebEx with the eHousingPlus Compliance Office. Anyone who will need access to the eHousingPlus Lender Portal for the MCC program will need to attend. Training lasts 45 to 60 minutes. Click here to register to attend.

LENDER PORTAL USER CREDENTIALS After completing Program training an attendee will receive a follow-up email with instructions to apply for user credentials. If you need assistance please contact [email protected]

http://www.ehpuniversity.com/index.html?page_id=32

http://www.ehousingplus.com/ehp-system-trainings/



SUMMARY OF THE COMPLIANCE ORIGINATION PROCESS

QUALIFY

Lenders use program requirements to qualify applicants for the program. Buyers must present an executed sales agreement before being entered into the program reservation system.

PROCESS

Lenders process the loan as they would normally keeping in mind the program timeline. Please do not reserve funds too soon. Wait to reserve until you are relatively sure your underwriter will approve the loan within 15 days of reservation in the eHousingPlus Lender Portal.

RESERVE FIRST MORTGAGE FUNDS To reserve funds in program’s online system click on this link. Log in and reserve the first mortgage. To reserve funds in the program the borrower is required to have a signed real estate purchase contract for a specific address. You will need a 1003 and the Real Estate Purchase contract in order to make a reservation. If the reservation is successful, you will receive a loan number and a message that you’ve completed the reservation successfully.

RESERVE SECOND MORTGAGE ASSISTANCE Immediately following reservation of the Home Sweet Home first mortgage click on the “Add Additional” button found on the main menu to reserve the second mortgage funds. All fields will populate except for the second mortgage loan amount. Enter the loan amount and then click on the “Update” button to add the second mortgage assistance to the first mortgage loan reservation. (Added 01/24/18)

DUVAL COUNTY AND HILLSBOROUGH COUNTY BORROWERS (MANDATORY) RESERVE MORTGAGE CREDIT CERTIFICATE

The Mortgage Credit Certificate is a completely separate reservation and is mandatory for all borrowers in Duval County and Hillsborough County. Log in and choose the applicable MCC program (Hillsborough MCC, Jacksonville MCC) and reserve the MCC. To reserve funds in the MCC program the borrower is required to have a signed real estate purchase contract for a specific address. You will need a 1003 and the Real Estate Purchase contract in order to make a reservation. If the reservation is successful, you will receive a loan number and a message that you’ve completed the reservation successfully. (Moved and Updated 01/24/18)

RESERVE AFFORDABLE INCOME SUBSIDY (AIS) GRANT INCOME QUALIFIED FREDDIE MAC HFA ADVANTAGE LOAN ONLY

To reserve the Affordable Income Subsidy Grant funds, immediately following the second mortgage loan reservation, click on the “Add Additional” tab. The lender will be responsible for calculating the amount of the additional subsidy based upon borrower AMI (view AMI limits on page ) and enter that amount in the ADDITIONAL LOAN tab. The subsidy must be for the exact amount ($1,500 or $2,500) based upon borrower AMI - no more and no less. Follow the details step-by-step instructions on the next page. (Added 04/19/18)

https://services.ehousingplus.com/Default.htm

1.ClickonADDADDITIONAL

FreddieMacHFAAdvantage

2.SelectoneoftheopAonsHillsborough2012SF0.00%DPAAssistanceDPASecond

AHeryouclickonADDADDITIONALyouwillseethebelow.

1

AHeryouselectoneoftheopAons,youwillseethebelow.3.ClickonNewAddiAonalLoan

4.Enterthecalculatedloanamount

Hillsborough2012SF

FREDDIEMACAISGRANTSTEP-BY-STEPRESERVATIONINSTRUCTIONS

Hillsborough2012SFProgram

ConvenAonalw/60daylock

Hillsborough2012SFProgram0.00%DPAAssistanceDPASecond

ENTERTHELOANAMOUNTBuyersatorbelow50%AMI=$2,500OrBuyersatorbelow80%AMI=$1,500


PROCESS

Lenders process the loan as they would normally keeping in mind the program timelines. The Borrower signs the Notices to Buyers and must receive the Recapture Tax Brochure as close to loan application as possible.

UNDERWRITE AND CERTIFY

Lenders underwrite & are responsible for credit decisions of the loans in the program. Servicer does not re-underwrite loans. Following credit approval AND WITHIN 15 DAYS OF LOAN RESERVATION, an Underwriter will complete the Underwriter Certification for (2) TWO separate reservations:

1) Underwriter Certification for the Home Sweet Home First Mortgage

2) Underwriter Certification for the Mortgage Credit Certificate (Mandatory for loans in Duval County and Hillsborough County ONLY)

(Moved and Updated 01/24/18)

REQUEST DPA ASSISTANCE FOR BREVARD, DUVAL, HILLSBOROUGH Lenders are required to submit a Wire Transfer Request Form a minimum of three (3) business days prior to any loan closing date. The Wire Transfer Request Form may be found in the secure section of the ehousingplus.com website. Underwriter Certification must be completed prior to the submission of the Wire Transfer Request Form. See pages 18-20 of this guide for complete details.

REQUEST DPA ASSISTANCE FOR BREVARD, DUVAL AND HILLSBOROUGH COUNTIES After the Underwriter Certification has been completed, and with a scheduled closing date, the Lender’s authorized representative must fill out and execute the Down Payment Assistance Funding Request Form available in the system, under LOAN FORMS.

The Request Form must be printed, signed, and scanned in pdf, jpg, tiff or png format.

Three (3) business days prior to funding, the Lender sends a complete, executed pdf or scanned version of the DPA Funds Request Form to the following: For loans closing in Duval County or Hillsborough County (Rev. 11/24/14)

Mark Hendrickson [email protected] For loans closing in Brevard County Angela Abbott [email protected]

Request Form Review Anything received by 2 pm EST will be verified that day. Requests received after 2 pm EST, will be processed by 12 noon EST the following business day. Special Attention will be given to Forms received on Fridays to ensure that they are sent before start of business on Monday. Any emails received over the weekend will be processed on Monday and for Holidays on the next

http://ehousingplus.com/


HFA of Hillsborough County Multi- County First-Time Buyer Program Page ! 24business day.

The DPA Funds Request Form is reviewed by the HFA representative for accuracy. Lenders will be contacted if the Form cannot be verified. Verified forms are sent to the custodian agent. The custodian agent will wires funds to the closing agent. Funds are wired directly to the Closing Agent/Title Company and NOT the Lender or Borrower.

Please make sure that instructions are provided to internal Processor/Closer and to the Title Company/Closing Agent.

REQUEST DPA ASSISTANCE FOR CLAY After the Underwriter Certification has been completed, and with a scheduled closing date, the Lender’s authorized representative must fill out and execute the Down Payment Assistance Funding Request Form available in the system, under LOAN FORMS.

Three (3) business days prior to funding, the Lender will fax a complete, executed PDF of the DPA Funds Request to Theresa Sumner: fax to 904-215-5909 Within 24 hours of closing, the Lender will fax Theresa Sumner a copy of the final executed HUD-1. The second mortgage must be recorded with the first. The recorded second mortgage must be delivered to Theresa Sumner within 30 days of closing. If not, the lender must remit the down payment assistance loan amount to the HFA.

CLOSE

Borrower executes the Affidavit (Mortgagor & Seller/Builder Affidavit & Lender Certificate) and the Down Payment Assistance Award letter. IT’S IMPORTANT that lenders have the borrower(s) sign the DPA Award Letter that meets requirements of 2013-14 (appears in the auto-fill Forms available for closing). Lenders retain original, copies in their FHA Case Binder, to borrowers and to U.S. Bank (Rev 7/29/14)

The second mortgage loan requires a second HUD-1 settlement statement at closing. (Added 10/2/15)

CLOSE - BORROWER RECEIVING AFFORDABLE INCOME SUBSIDY GRANT The lender will fund the additional Affordable Income Subsidy (AIS) grant at closing. It is critically important that the lender does NOT combine the second mortgage assistance received from the HFA of Hillsborough County Home Sweet Home Program with the AIS grant on the CD. The AIS must be reflected on Page 3, Section L of the CD as Affordable Income Subsidy. This AIS Grant must be reflected in DU or LP findings, along with the Second Mortgage provided by the HFA of Hillsborough County Home Sweet Home Program. Any questions about the preparation of the CD should be directed to US Bank HFA Division 800-562-5165. The AIS grant must be used for down payment and closing cost assistance only. (Rev 04/19/18)


RECORD - LOANS ORIGINATED IN BREVARD COUNTY ONLY For loans originated in Brevard County ONLY, the Second Mortgage and Note must be recorded as one instrument immediately following recordation of the First Mortgage. The Recorded Original Second Mortgage and Promissory Note must be delivered to the HFA of Brevard County within 30 days of closing to: HFA of Brevard County c/o Angela Abbott, P.A., 4420 S. Washington Avenue, Titusville, FL 32780 (Effective 1/8/15)

RECORD - LOANS ORIGINATED IN DUVAL COUNTY ONLY For loans originated in Duval County ONLY, the recorded Original Second Mortgage and Second Promissory Note must be delivered to the Jacksonville Housing Finance Authority, within 30 days of closing to: Jacksonville Housing Finance Authority, 214 North Hogan Street, 8th Floor, Jacksonville, FL 32202 Attention: Finance Director. (Effective 1/8/15)

RECORD - LOANS ORIGINATED IN HILLSBOROUGH COUNTY ONLY For loans originated in Hillsborough County ONLY, the Second Mortgage and Note must be recorded as one instrument immediately following recordation of the First Mortgage. The Recorded Original Second Mortgage and Promissory Note must be delivered to the HFA of Hillsborough County within 30 days of closing to: HFA of Hillsborough County c/o Hillsborough County Attorney's Office, 601 E. Kennedy Blvd., 27th Floor, Tampa, FL 33602 Attention: Mary Helen Farris. (Effective 9/2/14)

SHIP / SUBMIT

There are two (2) files shipped post closing:

File #1 is the Compliance File and it is sent to eHousingPlus. The Compliance File Checklist is found within the eHousingPlus Lender Portal in the Loan Forms section.

File #2 is the Mortgage File including Credit Package and it is sent to US Bank. The US Bank Delivery and Funding Checklist is found within the US Bank web site. To locate the US Bank Checklist click on this link: https://hfa.usbank.com/HFA_Division.html

Click on US Bank Lending Manuals.

Pop-up box will appear, click on Continue.

Web page will be redirected to US Bank All Regs site.

Click on Housing Finance Authority folder.

UPLOAD SECOND MORTGAGE COMPLIANCE FILE LOANS ORIGINATED IN HILLSBOROUGH COUNTY ONLY

In addition to sending a compliance file to eHousingPlus, the lender must submit a Second Mortgage Compliance File and Case Summary Form directly to the HFA of Hillsborough County. The checklist and Case Summary Form may be found within the eHousingPlus Lender Portal, in the LOAN FORMS section: Hillsborough DPA Checklist. The contents of the checklist AND Case Summary Form should be uploaded to the following ShareFile account: https://hillsborough.sharefile.com/r/r54925283a0f4e979

https://hfa.usbank.com/HFA_Division.html


EXCEPTIONS Following review of Compliance File by eHousingPlus. if there are exceptions,

1.Lenders will receive notice from eHousingPlus via email 2.Exceptions will be posted online. Exceptions may be viewed online in two places a. at the loan level and b. in an exceptions report

Files with exceptions remain subject to the purchase timelines.

EXCEPTIONS CONTINUED Loans are reviewed weekly by eHousingPlus to assure compliance with timelines.

Questions regarding exceptions should be directed to: [email protected] US BANK also notifies lenders of Exceptions, posts exceptions online and sends a weekly summary of outstanding exceptions.

APPROVALS Following approval of Compliance File by eHousingPlus, lenders are notified and reminded of the purchase deadline.

ISSUANCE OF MCC’S/REISSUANCE OF MCC’S All MCC’s will be issued by eHousingPlus including re-issuance of MCC’s as a result of refinance and replacement of MCCs



PROGRAM TIMELINEBuyers MUST HAVE A FULLY- EXECUTED SALES CONTRACT FOR A SPECIFIC PROPERTY in order to have funds reserved or be on a waiting list. The contract may be dated prior to the date of the loan application. Buyers may be pre-qualified. However, if the buyer does not have a contract on a property, BOND FUNDS MAY NOT BE HELD for the buyer until such time as the buyer presents a valid contract.

To assure that loans are purchased, please follow the Processing, Delivery and Purchase Timetable. Please DO NOT reserve loans that cannot meet the timetable. This is particularly important with respect to new construction and short sales. Please wait to reserve funds. Loans not purchased within the timeframe below, cannot be purchased.

Loan Processing, Delivery and Purchase TimetableOnce a loan is reserved in the eHousingPlus system and is provided the Servicer’s Loan number, the loan must be; (1) underwriter certified within 15 days of loan reservation (Rev 2/19/16) (2) closed, delivered, exceptions cleared and loan purchased by the Servicer within 65 days of loan

reservation

Extension RequestAny loan not purchased within 65 days is ineligible for purchase unless the lender chooses a one-time only 20-day extension. The cost of the extension is $375. The $375 extension penalty fee is due whether or not loans are ultimately delivered and/or purchased. The $375 will be netted by the Servicer when loans are purchased. If an extension is permitted, but the loan is not purchased, the originating lender will have 15 days from the date of notice from eHousingPlus to pay the Issuer $375. A lender will be unable to make additional reservations in the Program until all extension fees have been paid to the Issuer. Again, the extension is offered once per loan and no further extensions will be allowed. Furthermore, regardless of choosing an extension, any loan not purchased within the approved timeframe will become the liability of the originating lender, including any down payment assistance provided at closing. An extension request is available on the eHousingPlus web site and must be submitted BEFORE the 65th day. The extension request is completed and submitted online.

Term of MCC ProgramBy law the current election to use allocation for MCCs is available for loans closing through December 31, 2015. The Issuers may choose to allocate additional funds to another MCC program.


PROGRAM FEES FIRST MORTGAGE FEES 1.00% that may be charged as Origination or Discount or a combination of both but the total may not be more than 1.00%.

eHousingPlus First Mortgage Fee (All Counties) The program includes a first mortgage Compliance/Admin Fee and a penalty fee of $100 for files that are chronically deficient. The Compliance/Admin Fee is collected at closing, payable to eHousingPlus and submitted with the Compliance File. ONLY Cashier’s or Corporate checks are acceptable and the fee may not be financed. (Rev 01/24/18)

HFA of Hillsborough County Home Sweet Home Program Loan $300

HFA of Hillsborough County Home Sweet Home Program Loan AND Affordable Income Subsidy Grant $375

eHousingPlus MCC Application Fee (All Counties EXCEPT Clay) The program includes an MCC Application Fee of $275 and a penalty fee of $100 for files that are chronically deficient. The MCC Application Fee is collected at closing, payable to eHousingPlus and submitted with the Compliance File. ONLY Cashier’s or Corporate checks are acceptable and the fee may not be financed. (Rev 9/26/15)

Lender MCC Application Fee (All Counties EXCEPT Clay) The program includes a Lender MCC Application Fee of $100. The Lender MCC Application Fee is collected at closing.

The Compliance/Admin Fee is the fee charged by the Program Administrator/Compliance Agent to process the applicant/borrower from Origination to Compliance Approval, and to assess that the lenders originating such loans are following Program guidelines for the benefit of the eligible borrower(s). The Program Administrator/Compliance Agent tracks the loan via its web-based system, and assists the lender in processing the loan ensuring eligibility to the program available offerings, which can include various rate options, and down payment assistance. (Added 10/15/15)

The Compliance/Admin fee includes the review of information and documents delivered in the form of a Compliance File by the originating lender, on behalf of the borrower. Additionally the Compliance review verifies that the lender has charged only the fees allowed by the Program. Contrary to this, approval may be denied and/or fees may have to be reimbursed to the borrower. The compliance file processing consists of required affidavits, application, closing documents, certain non-mortgage documents, tax returns where applicable and other pre-defined Program documents that are disclosed to the potential borrower(s). This is required to ultimately receive Compliance Approval. These documents can support both the first mortgage and any down payment assistance available, and are required to ensure eligibility to the Program, Federal, State and Local requirements, where applicable. The Compliance review verifies that the data and documents submitted meet all requirements, and may include those for first-time homebuyer, income limits, sales price limits, targeted areas, homebuyer education, rate, term, points, fee limits, LTV, FICO score, special state, city, county program requirements for qualified military, first responders, teachers, etc.). (Rev 08/22/16)


US Bank Fees LOAN RESERVATIONS APRIL 30, 2018 AND AFTER - $80 Tax Service Fee and $400 Funding Fee. These fees will be netted out at time of purchase by US Bank. See US Bank Bulletin L-2018-019 TAX SERVICE FEE CHANGE for further details. (Rev 04/19/18)

LOAN RESERVATIONS PRIOR TO APRIL 30, 2018 - $58 Tax Service Fee and $400 Funding Fee. These fees will be netted out at time of purchase by US Bank. See US Bank Bulletin L-2017-011 TAX SERVICE FEE REDUCTION for further details. (Rev 05/19/17)

LENDER COMPENSATION 1.50% SRP at loan purchase by US Bank. Total lender compensation 2.50% - includes the 1.00% origination/discount fee. Effective with new loan reservations 09/06/13 and after.

Lender Fees: Lenders are permitted to charge reasonable and customary charges for out of pocket expenses and costs. Other financing costs such as legal fees and underwriting fees may be charged and courier fees may be charged if such fees are normally charged. Lenders may charge the usual and reasonable settlement costs. Settlement costs include titling and transfer costs, title insurance, survey fees or other similar costs. Other allowable fees include doc prep fees, notary fees, hazard, mortgage and life insurance premiums, recording or registration charges, prepaid escrow deposits and other similar charges allowable by the insurer/guarantor. “Junk" fees are not a defined term and may not be charged. Excessive fees are not permitted in the program.

HFA of Hillsborough County Multi- County First-Time Buyer Program Page ! 30COMPLIANCE INCOME CALCULATION

Underwriters should remember that CALCULATION OF PROGRAM (COMPLIANCE) INCOME IS DIFFERENT THAN CALCULATION OF INCOME FOR CREDIT PURPOSES. The Bond program requires that underwriters consider the income of borrowers and their spouses (regardless of their address) and all household members 18 years of age or older(related or unrelated). Use the information below as a general guide. Because each case is different, please contact Bond Compliance if you have questions.

Unlike income that is averaged for credit underwriting, the bond program is concerned with actual current income. You should be reviewing the YTD income, the income of the last 4 months and the income shown on previous tax transcripts for consistency. You should not be averaging income. If there are not inconsistencies in earnings, use the guidelines for each loan type to determine current gross monthly income. Current gross monthly income is multiplied by remaining months in the year to determine "total current annualized income".

For the tax year in which the closing occurs, consider YTD income. Then establish current base income for the balance of the year using the guidelines for each type of income. Then consider any additional income. For assistance, contact the Compliance Office.

Gross monthly income is the sum of monthly gross pay; any additional income from overtime, part-time employment, bonuses, income from self-employment, dividends, interest, royalties, pensions, VA compensation and net rental income, other income (such as alimony, child support, public assistance, sick pay, social security benefits, unemployment compensation, income received from trusts, and income received from business activities or investments, continuation of which is probable based on foreseeable economic circumstances based upon the Mortgagor's Affidavit (to such effect), all as computed at the time of application for a mortgage loan and confirmed at the time of closing. We will check information with respect to gross monthly income obtained from the reservation form, Underwriter’s Certification and applicable certificates and affidavits executed the date of the Closing of the Mortgage Loan, provided that any gross monthly income not included for credit underwriting purposes must be included in determining gross monthly income. The limit is the limit and any amount over the limit is not acceptable. Include the income of non-borrower co-habitants who will reside in the property. However, do not include (1) dependents that are claimed on tax transcripts but who will not permanently reside in the home the majority of the time and (2) co-signers. The Affidavit, executed by the borrower(s), and certified by the lender, must include the total verified annual household income.

This program considers HOUSEHOLD INCOME not income of the borrower. Household income includes the income of borrower, spouse. Remember if persons are not divorced they are married. We count the income of the spouse whether they reside in property or not. Also include the income of all who will reside in the home 18 years of age or older (children, parents on social security, etc).

Questions regarding the calculation of income for bond program purposes should be directed to the Compliance office 954-217-0817. There are many variables and the Compliance office will be pleased to assist.


The Servicer requires the complete closing and credit documentation as identified on their specific loan delivery checklists. Lenders may rely on the same documentation for program compliance purposes.Although mentioned in this section of the guidelines, VOE’s and VOD’s , current pay stubs which delineate “current period”, W-2's, for all borrowers from all employers, and bank statements to verify assets may be included to the extent required by the Servicer for their purposes. Figures shown on all documents should be consistent. (Rev 11/21/15 Effective 12/1/15)

Because a program qualifier is “income”, even if not required for credit purposes (i.e. automated underwriting), you should be seeking the two most current paystubs with YTD. Do not include in the compliance file, keep copies for your records.

Although reference is made to the last 4 to 6 weeks income, Underwriters should be reviewing the income tax returns submitted to verify that there are no unexplained and/or unacceptable differences current income to past income.

Examples below not intended to serve as exclusive methodology. Please contact the Compliance office 954-217-0817 with questions regarding individual cases.

Please note that the income reported for bond income calculation CAN NEVER BE LOWER THAN THE INCOME USED TO QUALIFY FOR CREDIT PURPOSES.

Hourly Employees For the tax year in which the loan is closing, use the Year to Date base income. If consistent, utilize the base to determine the balance of the year by 1.Using last 4 to 6 weeks' pay stubs, identify hourly rate of pay and average number of regular hours worked per week. Multiply hourly rate times regular weekly hours. Multiply result times number of weeks for balance of year and add to YTD for an annualized base salary. 2. If the person has no other sources of income (for example: overtime, bonus, commissions, second jobs, interest, dividends, child support, alimony, public assistance), this will be the Current Total Annual Income. 3. Compare the total annual income in #2 above to Paystubs, VOE’s, previous year’s income per W2's and tax

returns. You should not find significant differences. In some cases, the Current Total Annual Income will be higher than the previous year's income. Variances should be attributable to increases/decreases in pay or number of hours worked.

You should not find significant differences. In some cases, the Current Total Annual Income will be higher than the previous year's income. Variances should be attributable to increases/decreases in pay or number of hours worked.


Salaried Employees 1. Using last 4 to 6 weeks' pay stubs, identify weekly (or other frequency) rate of pay. Multiply rate times the number of regular pay periods in the year (52 weeks, 12 months, 24 semi-months) 2. If the person has no other sources of income (for example: overtime, bonus, commissions, second jobs, interest, dividends, child support, alimony, public assistance), this will be the Current Total Annual Income. 3. Compare the total annual income in #2 above to Paystubs, VOE’s, previous year’s income per W2's and tax returns. You should not find significant differences. In some cases, the Current Total Annual Income will be higher than the previous year's income. Variances should be attributable to increases/decreases in pay or number of hours worked

Business, Self Employment 1. Use the quarterly tax returns and financial statements to identify the current NET year to date income. 2. Divide the year to date income by the number of months during which it was earned and multiply times remaining number of months in year. Add to actual YTD. ADD DEPRECIATION. 3. If the person has no other sources of income (for example: overtime, bonus, commissions, second jobs, interest, dividends, child support, alimony, public assistance), this will be the Current Total Annual Income. 4. Compare the total annual income in #2 above to the previous year's income per W2's and tax returns. You should not find significant differences.

Verified Termination of Overtime, Commission, Bonus, Seasonal, Periodic, One Time Overtime, Bonus, Commissions Using last 4 to 6 weeks' pay stubs, identify the year to date total earnings of the borrower. Subtract the Current Total Base Income (see above) to arrive at the total year to date extraordinary income. If verification of termination of overtime, commission or bonus is provided in writing (i.e. a letter from an employer) or such termination is due to a change of employment, use the current YTD overtime, commission or bonus, do not annualize and add as a lump sum to the Current Total Annual Income.

Regular Overtime, Bonus, Commissions 1. Using last 4 to 6 weeks' pay stubs, identify the year to date total earnings of the borrower. Subtract the Current Total Base Income (see above) to arrive at the total year to date extraordinary income. 2. Divide the year to date extraordinary income by the number of pay periods during which it was earned (to obtain an average). Multiply times the appropriate factor (Balance of year weeks, months, semi- months, etc.) for balance of year figure and add to actual YTD extraordinary income for annual income.3. If the person has no other sources of income (for example: second jobs, interest, dividends, child support, alimony, public assistance), this will be the Current Total Annual Income. 4. Compare the total annual income in #2 above to Paystubs, VOE’s, previous year’s income per W2's and tax returns. You should not find significant differences. In most cases, the Current Total Annual Income will be higher than the previous year's income. It will also generally be higher than the annualized year to date income. The variances should be attributable to increases/decreases in pay.


Interest, Dividends 1. Use current earnings statements issued by the bank, investment broker or agent. Identify the year to date interest or dividend earnings. Divide by the investment term year to date (for an average) and multiply times appropriate factor to annualize the earnings.2. If statements are not available, and the terms of the investment agreement are available, multiply the principal amount of the asset times the annual interest yield factor for a projected interest earnings amount. 3. If neither are available, use the previous year's earnings statements or tax returns to identify total annual interest and dividend income. If the assets are still invested in the same instruments, use the previous year's figure. 4. Add the result of the computation in either #1, #2 or #3 above to the Current Total Annual Income.

Alimony, Child Support 1. Use the monthly amount appearing in the divorce decree, separation agreement or other support document. 2. If the borrower receives more than the amount stipulated in the agreements, use the monthly figure that the borrower declares and can be verified. 3. If the borrower receives less than the amount stipulated in the agreements and there is a verifiable history of the underpayments for at least 2 years (as evidenced by Court records), then use the past 2 years' historical monthly earnings. If there is no such history that can be verified, use the amount stipulated in #1 above. 4. Multiply the monthly amount of alimony or child support times 12. Add to the Current Total Annual Income (plus any other income sources).

Pensions, Temporary Payments 1. Use the benefits statement issued by the benefits provider (pensions, workers compensation, disability compensation, social security, AFDC, etc.) to identify the amount of the benefit, payment frequency and expected term of the benefit. 2. Multiply the amount of the benefit times the payment frequency for the balance of year and add to actual YTD for an annualized amount. Add to the Current Total Annual Income (plus any other income sources). 3. If the benefit is absolutely not payable to the recipient beyond a given date (that means a complete and permanent stop of benefits without extensions, exceptions, waivers or other conditions) and such date is within 12 calendar months of the anticipated closing date, then calculate the benefits expected through the end of the benefits term. That will be the total annual income amount from the specific benefits source. Add to the Current Total Annual Income (plus any other income sources).

Boarder’s Income and Rental Income in One Unit Properties The Boarder’s wages/income and rental income paid to the borrower must be included in the bond calculation of income.

Rental Income from 2-4 Unit Properties Anticipated rental income from the property being purchased is not included in the bond calculation of income but may be treated as detailed in Agency (FHA, VA, Freddie, etc) guidelines. If the borrower’s own other rental property from which income is derived, that income must be included in the bond calculation of income.


PROGRAM FORMS

PLEASE NOTE - SEPARATE COMPLIANCE PACKAGES ARE USED FOR THE HFA FIRST MORTGAGE PROGRAM AND THE MCC.

The program forms are generated directly from the eHousingPlus Lender Portal at the loan level. The program forms MUST be printed from the Lender Portal. It is not acceptable to re-create program forms. (Added 10/15/15)

All forms are available behind security in the eHousingPlus Lender Portal. The forms are behind security so that system data is accessed when the forms are printed. The forms auto-fill and are ready for execution. It’s important that Underwriters and Closers are certain that the data in the system is correct before forms are printed.

The simple rule of who signs program forms – if the person is named on the Mortgage or Warranty Deed or is the spouse of the Mortgagor (even if a non-borrowing spouse), they sign the compliance forms. Also, remember Cosignors cannot live in property, do not sign program documents or take title. Under no circumstances may a cosigner have an ownership interest.

Original, personal signatures of all borrowers and sellers are required and must match on all documents associated with the transaction. Whenever a party is known in any of the documents by more than a single name, a Name Affidavit Will Be Required. Powers of Attorney and/or Personal Representatives for the Borrower Are Not Acceptable. Exception: Active Duty Military Personnel may provide an “Alive and Well” letter.

DOCUMENTS REQUIRED FOR THE COMPLIANCE FILE (Rev 9/26/15) (Effective for loan applications dated 10/03/15 and after)

eHousingPlus has developed a checklist to be utilized after closing to assemble the Compliance File that is delivered to eHousingPlus. The checklist is located in the eHP Lender Portal in the Loan Forms area.

PLEASE SUBMIT ONLY COMPLETE FILES IN AN ACCO-BOUND FILE FOLDER IN THE EXACT ORDER SHOWN BELOW. INCOMPLETE AND NON ACCO-BOUND FILES WILL BE RETURNED AT LENDER EXPENSE.

• The Compliance Checklist • Compliance/Admin Fee

ORIGINAL OR CERTIFIED TRUE ONLY OF THE FOLLOWING: • SIGNED Notices to Buyers • SIGNED Affidavit - Mortgagor & Seller/Builder Affidavit & Lender Certificate

COPIES OF THE FOLLOWING: • Signed Income Tax Returns or Transcripts or any combination • Homebuyer Education Certificate • Real Estate Purchase Contract • FINAL SIGNED 1003 • FINAL SIGNED CLOSING DISCLOSURE (TRID form) • Warranty Deed • Discharge papers (DD214) only if Veteran is qualifying under the Veterans Exception

THE COMPLETE ACCO-BOUND COMPLIANCE FILE FOLDER IS SUBMITTED TO: eHousingPlus 3050 Universal Blvd., Suite 190 Weston, FL 33331


US BANK WEBSITE

US Bank HFA Division Help Desk 800-562-5165

Use the U.S. Bank All Regs website for: Underwriting, delivery and funding information Training U.S. Bank Manuals U.S. Bank Bulletins Delivery Checklists

Click on this link: https://hfa.usbank.com/HFA_Division.html

Click on US Bank Lending Manuals

Pop-up box will appear, click on Continue

Web page will be redirected to US Bank All Regs site.

Click on Housing Finance Authority folder

Click Florida

Click HFA of Hillsborough County

https://hfa.usbank.com/HFA_Division.html

HILLSBOROUGHCOUNTYHOUSINGFINANCEAUTHORITY

BoardMembers: c/oMaryHelenFarris,Esq.MichaelF.Kelley,Chairman HillsboroughCountyAttorney'sOfficeDavidA.Hollis,ViceChairman 601EastKennedyBlvd.,27thFloorEdwardA.Busansky,Secretary Tampa,FL33602FrankD.DeBose www.hillsboroughcountyhfa.orgMercedesB.DiMaio HarryS.HedgesDebraF.Koehler

DearLenders:

TheHousingFinanceAuthorityofHillsboroughCounty,FloridaisaproudmemberoftheFloridaAssociationofLocalHousingFinanceAuthorities,whichworkedhardtoencouragethe Florida Legislature to enact legislation to allow housing finance authority firstmortgagestobeexemptfromtheFloridadocumentarystamptax.

We are so pleased that the Legislature enacted Section 159.621(2), Florida Statutes,becauseoftheirefforts!Thegreatnewsisthatthenewstatuteprovidestheexemptionforfirstmortgagesmadebyoronbehalfofahousingfinanceauthority.Thenotsogreatnewsisthattoqualifyfortheexemption,anaffidavitidentifyingthefirstmortgageasahousingfinanceauthorityfirstmortgagemustberecordedwiththefirstmortgage.ThefirstmortgagepayabletotheLendermustberecordedwithanaffidavit.

TheaffidavitcanbeexecutedbytheAuthorityoranagentoftheAuthority.TheAuthorityhasauthorizeddesignatingboththelendersandthemortgagorsasitsagentsforpurposesofexecutingandrecordingtheaffidavit.Webelievethatitwillbeeasiestfortheaffidavittobeexecutedbythemortgagorsandnotarized inthesamemannerasthesignaturepageofthefirstmortgage,andthenrecordedimmediatelypriortothefirstmortgageatthetimeofclosing.

TheAdministratorfortheAuthority’sSingleFamilyTBAprogram(whichincludes loansoriginatedinBrevard,ClayandDuvalcounties)willincludeaformofaffidavitforthefirstmortgagesintheon-linesystem.

Weareaskingyouasthelender(orwithyourloanprocessor),tofillouttheaffidavitforexecutionbyyourmortgagors.Wehaveattachedtheformoftheaffidavit,alongwithdetailedinstructionsonhowtofillouttheaffidavitasExhibitA.

HFA of Hillsborough County Multi- County First-Time Buyer Program Page 36

Don’tforget:

• AsofJuly1,ourfirstmortgageisexemptfromtheFloridadocumentarystamptax(ifanaffidavitisrecordedwiththefirstmortgage),butisnotexemptfromthenon-recurringintangibletax. Pleaseremembertoadjustyournumberstotakethisintoaccount.

• Toqualifyforthedocumentarystamptaxexemption,thefirstmortgagemustberecordedwithanaffidavit.YouasLender(oryourloanprocessor)willpreparetheaffidavitforexecutionbyyourMortgagor.

The form of the affidavit for the first mortgage along with instructions forcompletingit,isattachedheretoasExhibitA.

• Pleaseletyourloanprocessorsandclosingagentsknowthattheaffidavitrelatingtothefirstmortgageshouldberecordedimmediatelypriortothefirstmortgage.

Thankyouforbeingagreatpartner!Welovewhatyoudoforourcommunity.

HOUSINGFINANCEAUTHORITYOFHILLSBOROUGHCOUNTY,FLORIDA

MarkHendrickson,[email protected]


EXHIBIT A - AFFIDAVIT REGARDING EXCISE TAX EXEMPTION FOR FIRST MORTGAGES

AFFIDAVIT OF THE HOUSING FINANCE AUTHORITY OF HILLSBOROUGH COUNTY, FLORIDA REGARDING EXEMPTION FROM DOCUMENTARY STAMP

TAX PURSUANT TO SECTION 159.621(2), FLORIDA STATUTES FOR FIRST MORTGAGE

STATE OF FLORIDA

COUNTY OF ____(1)________

The undersigned authorized representative of the MORTGAGOR named below, hereby affirms:

1. That MORTGAGOR has been designated by the Housing Finance Authority ofHillsborough County, Florida (the “Authority”) as an agent for purposes ofproviding this Affidavit in accordance with Section 159.621(2), Florida Statutes forpurposes of establishing that the Mortgage described herein is exempt from theexcise tax on documents under Chapter 201, Florida Statutes.

2. That this Affidavit is being given in connection with that certain Mortgage dated__(2)_________ __, 20__, from _______(3)___________ [Names of Mortgagors](individually or collectively the “MORTGAGOR”) to______(4)____________[Name of Lender] to secure a mortgage loan in theprincipal amount of $__(5)_______________, which loan provides financing for theacquisition of real property located in _______(6)___________[Name of County],Florida, at ____(7)______________[Street Address] which Mortgage shall berecorded immediately after this Affidavit.

3. That said Mortgage secures a loan that was made by or on behalf of the Authorityunder the provisions of Section 159.608(8), Florida Statutes.

Dated this __ day of ___(8)________, 20__.

___________(9)___________________ Typed Name: ____(10)____________________

Mortgagor

DO NOT RE-TYPE, THIS FORM MAY ONLY BEPRINTED DIRECTLY FROM THEEHOUSINGPLUS LENDER PORTAL.


The foregoing instrument was acknowledged before me on _____(11)______ ___, 20__, by _________(12)_____________, as MORTGAGOR.

__________(13)_____________________ Notary Public--State of Florida

Personally Known ___________ Print Notary Name: ______________________ Produced Identification ________________ My Commission Number is: Type of Identification ___________________ My Commission Expires:

______________________

Instructions for completing First Mortgage Affidavit:

1. Type the name of the County where the affidavit is being signed2. Type the date of the First Mortgage3. Type the name(s) of the Mortgagor(s)4. Type the name of the Lender5. Type the (number) amount of the First Mortgage6. Type the name of the County where the home being purchased is located7. Type the street address of the home being purchased8. Type the date that the First Mortgage Affidavit is executed9. Have the Mortgagor(s) sign on this line10. Type the name(s) of the Mortgagor(s)11. The Notary should write or type the date that the First Mortgage Affidavit is

signed before the Notary12. The Notary should write or type the name(s) of the Mortgagor(s) who signed the

First Mortgage Affidavit13. The Notary should complete the notary form as normal for a notarized document

Record the First Mortgage Affidavit immediately prior to the First Mortgage.



HILLSBOROUGHCOUNTYHOUSINGFINANCEAUTHORITY

BoardMembers: c/oMaryHelenFarris,Esq.MichaelF.Kelley,Chairman HillsboroughCountyAttorney'sOfficeDavidA.Hollis,ViceChairman 601EastKennedyBlvd.,27thFloorEdwardA.Busansky,Secretary Tampa,FL33602FrankD.DeBose www.hillsboroughcountyhfa.orgMercedesB.DiMaio HarryS.HedgesDebraF.Koehler

DearLenders:

TheHousingFinanceAuthorityofHillsboroughCounty,FloridaisaproudmemberoftheFloridaAssociationofLocalHousingFinanceAuthorities,whichworkedhardtoencouragethe Florida Legislature to enact legislation to allow housing finance authority secondmortgagestobeexemptfromtheFloridadocumentarystamptax.

We are so pleased that the Legislature enacted Section 159.621(2), Florida Statutes,becauseoftheirefforts!Thegreatnewsisthatthenewstatuteprovidestheexemptionforsecondmortgagesmadebyoronbehalfofahousingfinanceauthority.Thenotsogreat news is that to qualify for the exemption, an affidavit identifying the secondmortgageasahousingfinanceauthoritysecondmortgagemustberecordedwiththesecondmortgage.ThesecondmortgagepayabletotheAuthoritymustberecordedwithanaffidavit.

TheaffidavitcanbeexecutedbytheAuthorityoranagentoftheAuthority.TheAuthorityhasauthorizeddesignatingboththelendersandthemortgagorsasitsagentsforpurposesofexecutingandrecordingtheaffidavit.Webelievethatitwillbeeasiestfortheaffidavittobeexecutedbythemortgagorsandnotarized inthesamemannerasthesignaturepage of the second mortgage, and then recorded immediately prior to the secondmortgageatthetimeofclosing.

TheAuthority’ssecondmortgagewillberevisedtoincorporatetheaffidavitaspageoneofthesecondmortgage.

Weareaskingyouasthelender(orwithyourloanprocessor),tofillouttheaffidavitforexecutionbyyourmortgagors.Wehaveattachedtheformoftheaffidavit,alongwithdetailedinstructionsonhowtofillouttheaffidavitasExhibitA.


Don’tforget:

• AsofJuly1,oursecondmortgageisexemptfromtheFloridadocumentarystamptax(ifanaffidavitisrecordedwiththesecondmortgage),andisexemptfromthenon-recurringintangibletax.Pleaseremembertoadjustyournumberstotakethisintoaccount.

• Toqualifyforthedocumentarystamptaxexemption,thesecondmortgagemustberecordedwithanaffidavit.YouasLender(oryourloanprocessor)willpreparetheaffidavitforexecutionbyyourMortgagor.

The form of the affidavit for the second mortgage along with instructions forcompletingit,isattachedheretoasExhibitA.

• Pleaseletyourloanprocessorsandclosingagentsknowthattheaffidavitrelatingto the secondmortgage should be recorded immediately prior to the secondmortgage.

Thankyouforbeingagreatpartner!Welovewhatyoudoforourcommunity.

HOUSINGFINANCEAUTHORITYOFHILLSBOROUGHCOUNTY,FLORIDA

MarkHendrickson,[email protected]


EXHIBIT A - AFFIDAVIT REGARDING EXCISE TAX EXEMPTION FOR SECOND MORTGAGES

AFFIDAVIT OF THE HOUSING FINANCE AUTHORITY OF HILLSBOROUGH COUNTY, FLORIDA REGARDING EXEMPTION FROM DOCUMENTARY STAMP

TAX PURSUANT TO SECTION 159.621(2), FLORIDA STATUTES FOR SECOND MORTGAGE

STATE OF FLORIDA

COUNTY OF ___(1)_________


1. That MORTGAGOR has been designated by the Housing Finance Authority ofHillsborough County, Florida (the “Authority”) as an agent for purposes ofproviding this Affidavit in accordance with Section 159.621(2), Florida Statutes forpurposes of establishing that the Mortgage described herein is exempt from theexcise tax on documents under Chapter 201, Florida Statutes.

2. That this Affidavit is being given in connection with that certain Mortgage dated___(2)________ __, 20__, from _______(3)___________ [Names of Mortgagors](individually or collectively the “MORTGAGOR”) to the Authority to secure amortgage loan in the principal amount of $______(4)___________, which loanprovides financing for the acquisition of real property located in________(5)__________[Name of County], Florida, at___(6)_______________[Street Address] which Mortgage shall be recordedimmediately after this Affidavit.


Dated this __ day of ____(7)_______, 20__.

___________(8)___________________ Typed Name: ____(9)____________________

Mortgagor

DO NOT RE-TYPE, THIS FORM MAY ONLY BE PRINTED DIRECTLY FROM THE EHOUSINGPLUS LENDER PORTAL.


The foregoing instrument was acknowledged before me on _____(10______ ___, 20__, by _________(11)_____________, as MORTGAGOR.

_____________12_______________________

Notary Public--State of Florida

Personally Known ___________ Print Notary Name: ______________________ Produced Identification ________________ My Commission Number is: Type of Identification ___________________ My Commission Expires:

_________________________

Instructions for completing Second Mortgage Affidavit:

1. Type the name of the County where the Second Mortgage Affidavit is beingsigned

2. Type the date of the Second Mortgage3. Type the name(s) of the Mortgagor(s)4. Type the (number) amount of the Second Mortgage5. Type the name of the County where the home being purchased is located6. Type the street address of the home being purchased7. Type the date that the Second Mortgage Affidavit is executed8. Have the Mortgagor(s) sign on this line9. Type the name(s) of the Mortgagor(s)10. The Notary should write or type the date that the Second Mortgage Affidavit is


Second Mortgage Affidavit12. The Notary should complete the notary form as normal for a notarized document

Record the Second Mortgage Affidavit immediately prior to the Second Mortgage.

DO NOT RE-TYPE, THIS FORM MAY ONLY BE PRINTED DIRECTLY FROM THE EHOUSINGPLUS LENDER PORTAL.


BREVARD COUNTYHOUSING FINANCE AUTHORITY

4420 South Washington Avenue Titusville, Florida 3 2780 ( 321 ) 2 64 - 0334 Phone

( 321 ) 269 - 6840 Fax

Dear Lenders:

The Brevard County Housing Finance Authority is a proud member of the Florida Association of Local Housing Finance Authorities, which worked hard to encourage the Florida Legislature to enact legislation to allow housing finance authority mortgages to be exempt from the Florida documentary stamp tax.

We are so pleased that the Legislature enacted Section 159.621(2), Florida Statutes, because of their efforts! The great news is that the new statute provides the exemption for mortgages made by or on behalf of a housing finance authority. The not so great news is that to qualify for the exemption, an affidavit identifying the second mortgage as a housing finance authority mortgage must be recorded with each second mortgage. The second mortgage payable to the Authority must each be recorded with an affidavit.

The affidavit can be executed by the Authority or an agent of the Authority. The Authority’s Board has adopted a resolution specifically designating both the lenders and the mortgagors as its agents for purposes of executing and recording the affidavit. We believe that it will be easiest for the affidavit to be executed by the mortgagors and notarized in the same manner as the signature page of the second mortgage, and then recorded as a separate document immediately prior to the second mortgage at the time of closing.

The Authority’s second mortgage has been revised to include the affidavit.

We are asking you as the lender (or with your loan processor), to fill out the affidavit for execution by your mortgagors. We have attached form of the affidavit, along with detailed instructions on how to fill out the affidavit as Exhibits A.

Kamran Sarkarati Michael Hartman Barry Forbes James Katehakis Angela A. Abbott

Chairman Vice Chairman Secretary/Treasurer Asst. Secretary/Treasurer Attorney/Administrator

HFA of Hillsborough County Multi-County First-Time Buyer Program Page 44

Don’t forget:

• As of July 1, our second mortgage is exempt from the Florida documentary stamp tax (ifan affidavit is recorded with the second mortgage), and is exempt from the non-recurringintangible tax. Please remember to adjust your numbers to take this into account.

• To qualify for the documentary stamp tax exemption, the second mortgage must berecorded with an affidavit. You as Lender (or your loan processor) will prepare theaffidavit for execution by your Mortgagor.

The form of the affidavit for the second mortgage along with instructions for completingit, is attached hereto as Exhibit A.

• Please let your loan processors and closing agents know that the affidavit relating tothe second mortgage should be recorded immediately prior to the second mortgageas a separate document.

Thank you for being a great partner! We love what you do for our community.

BREVARD COUNTY HOUSING FINANCE AUTHORITY


EXHIBIT A - AFFIDAVIT REGARDING EXCISE TAX EXEMPTION FOR SECOND MORTGAGES

AFFIDAVIT OF BREVARD COUNTY HOUSING FINANCE AUTHORITY REGARDING EXEMPTION FROM DOCUMENTARY STAMP TAX PURSUANT

TO SECTION 159.621(2), FLORIDA STATUTES FOR SECOND MORTGAGE

STATE OF FLORIDA

COUNTY OF ___(1)_________


1. That MORTGAGOR has been designated by the Brevard County Housing FinanceAuthority (the “Authority”) as an agent for purposes of providing this Affidavitin accordance with Section 159.621(2), Florida Statutes for purposes of establishingthat the Mortgage described herein is exempt from the excise tax on documentsunder Chapter 201, Florida Statutes.

2. That this Affidavit is being given in connection with that certain Mortgage dated___(2)________ __, 20__, from _______(3)___________ [Names of Mortgagors](individually or collectively the “MORTGAGOR”) to the Authority to secure amortgage loan in the principal amount of $______(4)___________, which loanprovides financing for the acquisition of real property located in Brevard County,Florida, at ___(5)_______________[Street Address] which Mortgage shall berecorded immediately after this Affidavit.


Dated this __ day of ____(6)_______, 20__.

___________(7)___________________ Typed Name: ____(8)____________________

Mortgagor

___________(7)___________________ Typed Name: ____(8)____________________

Mortgagor


The foregoing instrument was acknowledged before me on _____(9)______ ___, 20__, by _________(10)___________________________________, as MORTGAGOR.

_____________(11)___________________ Notary Public--State of Florida

Personally Known ___________ Print Notary Name:__________________ Produced Identification ________________ My Commission Number is: Type of Identification ___________________ My Commission Expires:

_________________________


1. Type the name of the County where the Second Mortgage Affidavit is beingsigned

2. Type the date of the Second Mortgage3. Type the name(s) of the Mortgagor(s)4. Type the (number) amount of the Second Mortgage5. Type the street address of the home being purchased6. Type the date that the Second Mortgage Affidavit is executed7. Have the Mortgagor(s) sign on this line8. Type the name(s) of the Mortgagor(s)9. The Notary should write or type the date that the Second Mortgage Affidavit is


Second Mortgage Affidavit11. The Notary should complete the notary form as normal for a notarized document





PREPARED BY AND RETURN TO: HOUSING FINANCE AUTHORITY OF CLAY COUNTY, FLORIDA P.O. Box 1620 Orange Park, Florida 32067

--- SPACE ABOVE THIS LINE RESERVED FOR RECORDER

AFFIDAVIT OF HOUSING FINANCE AUTHORITY OF CLAY COUNTY, FLORIDA REGARDING EXEMPTION FROM DOCUMENTARY STAMP TAX PURSUANT TO SECTION 159.621(2), FLORIDA

STATUTES FOR SECOND MORTGAGE

STATE OF FLORIDA COUNTY OF CLAY

The undersigned authorized representative of the Housing Finance Authority of Clay County, Florida (the “Authority”), hereby affirms:

1. That the undersigned is the Executive Director of the Authority and is authorized to provide thisAffidavit in accordance with Section 159.621(2), Florida Statutes for purposes of establishing that the Mortgage described herein is exempt from the excise tax on documents under Chapter 201, Florida Statutes.

2. That this Affidavit is being given in connection with that certain Mortgage dated ___________ __,20__, from __________________ [Names of Mortgagors] (individually or collectively the “MORTGAGOR”) to the Authority to secure a mortgage loan in the principal amount of $_________________, which loan provides financing for the acquisition of real property located in Clay County, Florida, at __________________ [Street Address] which Mortgage shall be recorded immediately after this Affidavit.

3. That said Mortgage secures a loan that was made by or on behalf of the Authority under theprovisions of Section 159.608(8), Florida Statutes.

Dated this __ day of ___________, 20__.

________________________________________ Typed Name: Teresa Sumner, Executive Director

The foregoing instrument was acknowledged before me on __________ ___, 20__, by Teresa Sumner, as the Executive Director of the Authority.

__________________________________ Notary Public--State of Florida

Personally Known ___________ Print Notary Name: ______________________ Produced Identification __________ My Commission Number is: Type of Identification ___________________ My Commission Expires:

_________________________ This Second Mortgage Affidavit is recorded immediately prior to the Second Mortgage.



JACKSONVILLE HOUSING FINANCE AUTHORITY

adS PIVii‘ Where Florida Begins.

Dear Lenders:

The Jacksonville Housing Finance Authority is a proud member of the Florida Association

of Local Housing Finance Authorities, which worked hard to encourage the Florida

Legislature to enact legislation to allow housing finance authority mortgages to be

exempt from the Florida documentary stamp tax.

We are so pleased that the Legislature enacted Section 159.621(2), Florida Statutes,

because of their efforts! The great news is that the new statute provides the exemption

for mortgages made by or on behalf of a housing finance authority. The not so great

news is that to qualify for the exemption, an affidavit identifying the mortgage as a

housing finance authority mortgage must be recorded with each mortgage. The

second mortgage payable to the Authority must be recorded with the affidavit.

The affidavit can be executed by the Authority or an agent of the Authority. The

Authority's Chair on behalf of the Authority has specifically designated both the lenders

and the mortgagors as the Authority's agents for purposes of executing and recording

the affidavit with such designations to be ratified by the Authority's Board at its next

Board meeting. We believe that it will be easiest for the affidavit to be executed by the

mortgagors and notarized in the same manner as the signature page of the mortgage,

and then recorded immediately prior to the mortgage at the time of closing.

The Authority's second mortgage will be revised to incorporate the affidavit as page one

of the second mortgage.

We are asking you as the lender (or with your loan processor), to fill out the affidavit

for execution by your mortgagors. We have attached form of the affidavit, along with

detailed instructions on how to fill out the affidavit as Exhibit A.

Don't forget:

• As of July 1, our second mortgages are exempt from the Florida documentary

stamp tax (if an affidavit is recorded with the second mortgage), and are exempt

from the non-recurring intangible tax. Please remember to adjust your numbers

to take this into account.

26460/001/01379200.DOCX0


By:

William I. Gulliford , Chair

• To qualify for the documentary stamp tax exemption, each mortgage must be

recorded with its own affidavit. You as Lender (or your loan processor) will

prepare the affidavits for execution by your Mortgagor.

The form of the affidavit for the second mortgage along with instructions for

completing it, is attached hereto as Exhibit A.

• Please let your loan processors and closing agents know that the affidavit

relating to the second mortgage should be recorded immediately prior to the

mortgage.

Thank you for being a great partner! We love what you do for our community.

JACKSONVILLE HOUSING FINANCE AUTHORITY

26460/001/01379200.DOCX0


(5) (6)

AFFIDAVIT OF THE JACKSONVILLE HOUSING FINANCE AUTHORITY REGARDING EXEMPTION FROM DOCUMENTARY STAMP TAX PURSUANT

TO SECTION 159.621(2), FLORIDA STATUTES FOR SECOND MORTGAGES

STATE OF FLORIDA

COUNTY OF (1)


1. That MORTGAGOR has been designated by the Jacksonville Housing Finance Authority (the "Authority") as an agent for purposes of providing this Affidavit in accordance with Section 159.621(2), Florida Statutes for purposes of establishing that the Mortgage described herein is exempt from the excise tax on documents under Chapter 201, Florida Statutes.

2. That this Affidavit is being given in connection with that certain Mortgage dated (2) J 20_, from (3) [Names of Mortgagors]

(individually or collectively the "MORTGAGOR") to the Authority to secure a mortgage loan in the principal amount of $ (4) , which loan provides financing for the acquisition of real property located in

[Name of County], Florida, at [Street Address] which Mortgage shall be recorded

immediately after this Affidavit. 3.

That said Mortgage secures a loan that was made by or on behalf of the Authority under the provisions of Section 159.608(8), Florida Statutes.

Dated this day of (7) 20_.

(8) Typed Name: (9)

Mortgagor

The foregoing instrument was acknowledged before me on 20, by (11) , as MORTGAGOR.

(10

12

Notary Public--State of Florida

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Personally Known Print Notary Name:

Produced Identification My Commission Number is: Type of Identification My Commission Expires:


1. Type the name of the County where the Second Mortgage Affidavit is being signed

2. Type the date of the Second Mortgage 3. Type the name(s) of the Mortgagor(s) 4. Type the (number) amount of the Second Mortgage 5. Type the name of the County where the home being purchased is located 6. Type the street address of the home being purchased 7. Type the date that the Second Mortgage Affidavit is executed 8. Have the Mortgagor(s) sign on this line 9. Type the name(s) of the Mortgagor(s) 10. The Notary should write or type the date that the Second Mortgage Affidavit is

signed before the Notary 11. The Notary should write or type the name(s) of the Mortgagor(s) who signed the

Second Mortgage Affidavit 12. The Notary should complete the notary form as normal for a notarized document


26460/001/01379200.DOCXv1

