June 9, 2023
Lender Bulletin 2023-16:
HFA Advantage Program Updated Income Limits for Lower Cost Mortgage Insurance
Effected Programs: HFA Advantage Program
Effective Date: June 9, 2023
NJHMFA encourages all of our business partners and constituents to submit any and all documentation in an electronic format whenever possible as staff will continue to check email and review information submitted electronically.  

Attention Lenders:
HFA Advantage Program Updated Income Limits for Lower Cost Mortgage Insurance
On Wednesday, June 7, 2023, Freddie Mac announced their 2023 Area Median Income levels. This results in an increase to the maximum income allowable for lower-cost mortgage insurance for the HFA Advantage Program. These limits were put into LPA effective Thursday, June 8, 2023. All of the NJ county limits increased, and the changes vary by county. 
 
As a reminder, the HFA Advantage program allows for lower-cost mortgage insurance when the income is below 80% of the county Area Median Income (AMI). Lenders should continue to follow the LPA guidance to determine the appropriate MI coverage requirements.
 
The HFA Advantage Program income limits chart which was referenced in Lender Bulletin 2023-2 will be updated in our system and available to view through the Lender Portal within the next couple of weeks.  
The Maximum Allowable Program Income limits referenced in that Bulletin have not changed.
As always, Lenders will need to ensure that the appropriate mortgage insurance (MI) coverage is selected. The required MI coverage percentage will vary, based upon the borrower’s annual qualifying income. Lenders should refer to the mortgage insurance messages section in (LPA), as these messages will indicate the amount of MI required.

Please see pages six and seven of this Freddie Mac Job Aid for a review of the MI messages.
Questions? Need Help? 

If you have questions about one of our loan products or need help with a loan in the ILRS system, please e-mail your requests to SFLenders@njhmfa.gov.

Access Forms, Checklists, Policies, Previous Lender Bulletins, and More at the Lender Resources Page: www.njhousing.gov/lenders/lenderportal
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New Jersey Housing and Mortgage Finance Agency | 609-278-7400 | NJHousing.gov