Dec. 26, 2019
HFA Advantage Program Modifications
The Iowa Finance Authority is instituting changes to the HFA Advantage Program, per notification from Freddie Mac (FHLMC) that they will begin instituting fixed credit fees for certain loans delivered through the program. The product changes mirror those recently announced by Fannie Mae.
Upcoming Changes
Impacting Reservations
MORTGAGE INSURANCE COVERAGE REQUIRED
FirstHome : Charter level MI coverage is 18%









Homes for Iowans :
Charter Level Coverage is 18%
FirstHome :
Unchanged: Borrowers with lender's qualifying income of less than 80% AMI

Changed : Borrowers with lender's qualifying income of more than 80% AMI: Standard MI coverage rates (35%) now apply

Homes for Iowans :
Unchanged : Borrowers with lender's qualifying income of less than 80% AMI

Changed : Borrower's with lender's qualifying income of more than 80% AMI: Loans no longer accepted
INCOME ELIGIBILITY
FirstHome :
IFA household income limits

Homes for Iowans :
IFA household income limits


FirstHome :
Unchanged

Homes for Iowans :
Changed: The maximum lender's qualifying income of borrowers choosing the HFA Advantage loan product may not exceed 80% AMI
MANUFACTURED HOMES
FirstHome :
Not allowed

Homes for Iowans :
Not allowed
FirstHome :
Unchanged

Homes for Iowans :
Unchanged
NON-OCCUPYING
CO-BORROWERS OR
´╗┐CO-SIGNERS
FirstHome :
Not allowed

Homes for Iowans :
Not allowed
FirstHome :
Unchanged

Homes for Iowans :
Unchanged
DOWN PAYMENT SUBSIDY


FirstHome :
$1,500 for borrowers earning less than or equal to 80% AMI (i.e., low-income purchase borrowers)

$2,500 for borrowers earning 50% AMI or less (i.e. very low-income purchase borrowers)

Homes for Iowans :
$1,500 for borrowers earning less than or equal to 80% AMI (i.e., low-income purchase borrowers)

$2,500 for borrowers earning 50% AMI or less (i.e. very low-income purchase borrowers)
FirstHome :
Discontinued









Homes for Iowans :
Discontinued

IMPORTANT DATES
FEB. 1, 2020:
Last day for reservations through the current FHLMC program.
MARCH 31, 2020:
Last day for Idaho to purchase through current FHLMC program.
Please contact the IFA Single-Family team, with any questions: 800.432.7230.