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Home Plus Product Update, News, & Information
EFFECTIVE SEPTEMBER 1ST 2020 –
Home Plus Non-Forgivable DPA Update, and Income Limit Change Update
We are pleased to announce the expansion of our HOME+Plus non-forgivable 5% DPA options to Pinal and Pima Counties.
Effective September 1, 2020, our three FHA, Fannie Mae, and Freddie Mac non-forgivable 5% DPA options will now be available in Maricopa, Pinal, and Pima Counties.
In addition to expanding the geographic availability of the non-forgivable DPA options, the borrower(s) income limit will be set at $62,240 for properties in Maricopa and Pinal Counties, and $54,720 for properties in Pima County.
To date, the HOME+Plus non-forgivable 5% DPA options have fulfilled an essential need within the marketplace. At year-end, we will revisit the totality of these non-forgivable DPA options and determine our go-forward plan for 2021.
Changes to Fannie Mae & Freddie Mac – 80% AMI (Area Median Income)
The 80% AMI (Area Median Income) figures are set by Fannie Mae and Freddie Mac. These 80% AMI limits apply to all DPA programs and mirror the 80% AMI limits on HomeReady and HomePossible.
Since the Fannie Mae HFA Preferred product is a version of HomeReady and the Freddie Mac HFA Advantage is a version of HomePossible, our 80% AMI limits are subject to the effective change dates as determined by Fannie and Freddie.
- On 6/20/2020 the new 80% AMI income limits will be implemented in DU. DU will apply the 2020 limits to new casefiles created on or after 6/20/2020.
- On 7/12/2020 the new 80% AMI income limits will be implemented in LPA. LPA will apply the 2020 limits to new casefiles created on or after 7/12/2020.
- The 80% AMI income limit will be reflected on your Fannie HFA Preferred DU findings or your Freddie HFA Advantage LPA findings.
Again, these changes and their effective date are driven by Fannie and Freddie. As such, we will follow and adhere to the 80% AMI limit based on the casefile run date and not the date of the HOME Plus reservation. Lenders should always follow the 80% AMI limit on the respective DU or LPA findings.
We will have a pipeline of transactions to work through with different income limits based on your specific casefile date. We will make the necessary updates within our Program Guidelines, Program Summary, and websites in mid-August.
HOME Plus borrower income limit will increase to $109,965.
- The Fannie & Freddie 80% AMI figure and the income limits on the non-forgivable DPA options will remain unchanged for now.
Through our new partnership with Mountain West Financial (wholesale) the AzIDA HOME Plus program is now available to mortgage brokers throughout Arizona.
Also, as a reminder,
- ALL the HOME Plus DPA options are active and available.
- We have not had any delays in service or funding.
Please feel free to reach out to AzIDA HOME Plus if you have questions or concerns and let us provide you with the correct information directly. With so much uncertainty during this global health crisis, we want to ensure our partners are accurately informed about our operations.