Lending Program

NHDC has a limited lending program. If you are interested in taking out a loan with NHDC, please click here to obtain our home loan intake form. For more information, contact Janice Crews at jcrews@gnhdc.org.

Home Improvement Loans: These loans are currently unavailable, please check back for updates.

The NHDC objective is to assist income eligible homeowners in making essential home repairs and other general property improvements to their residence.

Home Repair Loan Program - Owner Occupants: Low interest loans are available to assist owner occupants with code related repairs and for general property improvements.  The loan maximum is $15,000 with a term up to 15 years. The interest rate is determined by our Loan Committee and is generally based on the cost of our loan funds.

Rental Rehab Loan Program - Investor Owners: Loan funds are available to assist in making repairs to investment properties.  The maximum loan amount is $7,500 per unit.  Lending priority is given to projects that assist in the improvement of real estate in a designated "target revitalization neighborhood."  

The loan amounts, interest rate and terms are based on the income and financial capacity of the borrower

Monthly principal and interest payments are made by direct debit. NHDC will secure the loan by a first or second mortgage against the property.

Home Purchase Loans: These loans are currently unavailable, please check back for updates.

NHDC offers second mortgage loans to assist income-eligible households become home purchasers. All home purchase loans are secured by a recorded lien against the real estate. Loan preference is given to households purchasing a home that has been built or rehabilitated by NHDC, the seller and located in a targeted revitalization neighborhood. These loans are contingent upon the approval of the 1^st mortgage lender and allowable from the loan source.

The maximum loan amount is $10,000 on a private transaction; that is, when NHDC is not acting as the developer/seller. The maximum loan term is fifteen (15) years. The interest rate is determined by our cost of funds.

Where, NHDC is the project developer/seller, the loan amount can be up to $25,000 with a maximum loan term of fifteen (15) years. Based on the financial circumstances of the purchaser and the transaction financing, the NHDC Loan Committee will determine the maximum loan amount, and interest rate.

For households purchasing an NHDC property, a deferred payment loan option may also be available.

For NHDC purchaser households offered a deferred payment loan, the interest will accrue on an annual basis and the principal and accrued interest will be due at the end of fifteen (15) years or if the household sells or ceases to occupy the property, whichever event occurs first.

Effective August 1, 2009, FHA-financed real estate transactions do not allow seller-assisted financing. As an alterative, NHDC may pay a portion of the buyer’s closing costs (up to 6% of the sales price).

NHDC Loan Programs Summary These loans are currently unavailable, please check back for updates.

4/16/2009

Loan Program	Home Repair	Rental Repair	Home Purchase Loans
Amount (up to)	$15,000	$7,500 per unit	$10,000 private transactions- $25,000 NHDC as seller
Term (up to)	15 years	15 years	15 years
Rate	Determined at funding	Determined at funding	Determined at funding
Payment	Direct debit	Direct debit	Direct debit
Secured?	Yes	Yes	Yes
Deferral Option	No	No	Yes- when NHDC is seller
Ratio guide	41% back	Cash flow review	33% front 41% back
Fees	Greater of $150 or 1.5% of amount borrowed	$350 per unit	Greater of $150 or 1.5% of amount borrowed
Home Buyer Education required?	No	No	Yes
Owner-occupancy required?	Yes	No	Yes
Income eligibility-household	Up to 120%AMI	Up to 120%AMI	Up to 120%AMI

Grant Opportunities:

City of Gainesville HOME Subsidy

Federal funding program that the City of Gainesville allocates to NHDC to assist first time homebuyers with purchase. The amount available is up to 25% of the purchase price. The HOME subsidy carries a 0% interest rate and there is no repayment requirement until the property is sold and ceases to be occupied by the purchaser household. The HOME subsidy is recorded as a junior mortgage. This program is available on most of our homes. See Homes for Sale.

City of Gainesville Connect Free Program This grant is currently unavailable, please check back for updates.

On occasion, NHDC will be the recipient of a City of Gainesville “Connect Free” award that is used to promote in-fill residential development in targeted revitalization neighborhoods. This subsidy to NHDC is then passed on to the income-eligible home purchasers in that residential project. There is an income-eligibility requirement to access the Connect Free assistance (80% MSA or below); the household must own and occupy the property and are required to complete a homebuyer education program. Although the Connect Free subsidy is secured as a junior lien against the property, the loan is forgiven after ten years if the household retains owner-occupancy and has met other conditions.

Alachua County Home Repair Grant This grant is currently unavailable, please check back for updates.

Other Grant Opportunities:

City of Gainesville and Alachua County S.H.I.P. Programs

The City of Gainesville and Alachua County provide down payment assistance to income-qualified, first time home purchaser households through their respective S.H.I.P. Programs.

As each program is different, questions concerning eligibility and subsidy amount should be directed to the respective program administrators;

City of Gainesville S.H.I.P. Program 352-334-5026

Alachua County S.H.I.P. Program 352-264-7013

Income Limits for Gainesville MSA- 2009

Household Size	50% MFI	80% MFI	120%MFI
1	$20,950	$33,500	$50,280
2	$23,900	$38,300	$57,360
3	$26,900	$43,050	$64,560
4	$29,900	$47,850	$71,760
5	$32,300	$51,700	$77,520
6	$34,700	$55,500	$83,280
7	$37,100	$59,350	$89,040
8	$39,450	$63,150	$94,680

Fiscal year 2009 Median Family Income (MFI)-$59,800