Greenville Housing Fund

 

 

Greenville, S.C. (September 4, 2008) – Greenville Housing Fund (GHF) is pleased to announce the launch of its new Homes for Teachers Initiative. This innovative financing program, made possible by a generous $250,000 grant over two years from the Community Foundation of Greenville, is designed to provide local teachers with the much needed down payment and closing costs which enables them to become first-time homebuyers.

 

Homes for Teachers targets first-time homebuyers by providing forgivable loans up to $5,000. The loans may be used for all or a portion of closing costs, for all or a portion of a down payment or to reduce the principal amount of a first mortgage. The loan is forgiven if certain conditions are met and the homebuyer remains in their home for more than a five-year period. In addition to benefiting individual teachers, this program is a key element in an overall effort to promote economic stability and growth in Greenville.

 

The Greenville County Schools (GCS), which hires more than 750 teachers each year, is pleased to partner with GHF to enable new teachers to become homebuyers. This program, in turn, will assist in GCS’s overall recruitment and retention efforts by offering teachers financial assistance for establishing roots in Greenville.

 

Greenville Housing Fund

The Greenville Housing Fund (GHF) is a non-profit organization established in 2008 to provide for an increase in the availability of affordable housing in Greenville County. GHF offers a variety of assistance programs including: deferred payment loans; low- or no-interest amortizing loans; grants of forgivable loans; down payment and closing costs; owner-occupied rehabilitation loans; and emergency home repair. Major funding support for GHF includes contributions from public and private sources. The Greater Greenville Association of Realtors (GGAR) is a proud supporter of GHF.

 

 

Purpose

GHF will provide non amortizing subordinate mortgage loans to lower the purchase price of a home for qualified teachers in Greenville County on a first come, first ready basis. GHF will provide a 5 to 1 match up to $5,000 per homeowner. Applications are accepted and evaluated continually throughout the year.  Funding is limited.

 

Eligible Sponsors

Applications for Homes for Teachers will be accepted from local employers, realtors, nonprofit developers, for profit developers, government entities, nonprofit/for profit developer partnerships, and current GHF lending partners.

 

Eligible Buyers

The buyer must

·         Contact an eligible sponsor to apply to the program. 

·         Be a first time homebuyer or have not owned a home in the past three years.

·         Meet the income requirements.  Annual household income must not exceed 120% of the area median income.

·         Complete a home buyer's education seminar acceptable to GHF.

·         Secure a 30-year, fixed rate first mortgage.

                         

Eligible Properties

·         New and existing properties in Greenville County are eligible. 

·         Fee simple ownership is required.

·         The home must be the buyer’s principal residence.  Rental property is not eligible.

 

Eligible Uses   

·         Loans may be up to $5,000 and are subject to homebuyer securing the maximum affordable first loan mortgage that the lender will allow

·         Funds may be used when purchasing a home:

-          for all or a portion of closing costs

-          for all or a portion of a down payment

-          to reduce the principal amount of a first mortgage

 

Terms

·         Funds will be released to the closing attorney.

·         GHF subsidy will be a 5-year non amortizing subordinate loan at 0% interest.  The loan will be forgiven after 5 years if certain conditions of affordability are met.

·         The GHF loan will be secured by a promissory note and a mortgage lien on the property.

 

Fees

·         A $200 loan origination fee will be due at closing.

 

Program Administration