Housing Opportunity Zones in Orleans Parish
The Finance Authority of New Orleans in cooperation with the Louisiana Recovery Authority, the State Office of Community Development and the City of New Orleans presents its ‘Pathway to Homeownership’ Soft-Second Mortgage Loan Program. This post-Katrina housing assistance program is designed to help homebuyers to purchase a home and those present homeowners who need help to renovate their homes primarily in the Housing Opportunity Zones in Orleans Parish. The Housing Opportunity Zones were created in response to the two year citizen driven United New Orleans Plan (UNOP) for recovery and redevelopment of New Orleans.
"New higher income limits approved!"
First-Time Homebuyer Fund
The ‘Pathway to Homeownership’ Soft-Second Mortgage Loan Program offers soft-second home mortgage loans through participating lenders up to $65,000 at 0% interest with payments on the loan deferred until sale or refinance. In addition, the program offers up to $10,000 closing cost assistance when buying a home that will be your principal residence. The actual amount of the soft-second loan and closing cost grant received will be determined by need and annual household income, since the goal of this loan program is to cover the ‘gap’ between the highest affordable first mortgage loan for which you qualify and the purchase price or value of the home. The minimum amount of the first mortgage loan must be equal to at least 50% of the lesser of the purchase price of the home or the appraised value.
ALL BORROWERS OF A ‘PATHWAY TO HOMEOWNERSHIP’ SOFT-SECOND MORTGAGE LOAN MUST COMMIT TO REMAIN AN OWNER-OCCUPANT AT THE FINANCED HOME FOR AT LEAST THREE (3) YEARS. THOSE BORROWERS WHO DEMONSTRATE CONTINUAL OCCUPANCY FOR FIVE (5) YEARS WILL RECEIVE LOAN FORGIVENESS EQUAL TO 25% ON THE BALANCE OF THEIR ‘PATHWAY TO HOMEOWNERSHIP’ SOFT-SECOND MORTGAGE LOAN. AND AN ADDITIONAL 15% FOR EACH YEAR THEREAFTER FOR WHICH BORROWER DEMONSTRATES OWNER-OCCUPANCY.
The ‘Pathway to Homeownership’ Soft-Second Mortgage Loan Program does not discriminate on the grounds of race, sex, religion, age, disability or national origin.
To learn more about the ‘Pathway to Homeownership’ Soft-Second Mortgage Loan Program contact Donna Bergeron. or call Donna at 908-5536