SOFT SECOND AFFORDABLE
1^ST TIME HOME BUYER PROGRAM

 The Soft Second Loan Program makes affordable homeownership possible. It can save you up to $30,000 over the life of your loan, whether you're trying to buy a condominium, or a one-, two- or three-family home. Bank of America, Boston Private Bank and Trust, Citizens Bank, City of Boston Credit Union, Eastern Bank, Hyde Park Savings Bank, and Mt. Washington Bank are offering these discounted loans in partnership with MAHA, the City of Boston, the Massachusetts Housing Partnership, and the state’s Department of Housing and Community Development.

Key features:

• Low interest rates: Rates range from 1/2 to as much as 2-1/4 percent below market rate.
• Low down payment: Only 3 percent of the purchase price is required. 1.5% must come from the homebuyers own funds. However, if you buy a property in Boston and are working with one of the Cash-to-Close participating lenders you may be eligible to receive up to 3% downpayment assistance.
• No points: "Points" are fees banks ask buyers to pay when they buy. One point equals 1 percent of the loan. Banks do not charge points for Soft Second loans. Not paying points will save buyers $3000-$7000.
• Reduced closing costs: Eligible first time homebuyers who have graduated from a City of Boston certified homebuyer class and are working with a Cash-to-Close participating lender may receive a lender credit of $300 to $500 in addition to down payment and closing cost assistance. Buyers may be eligible to receive between $1,000.00 and up to 3% of their purchase price towards down payment and closing costs. Cash-to-Close
  
• No mortgage insurance fees: The state has set up an insurance fund for these loans that will save buyers $35 to $70 per month.
• Purchase & rehab option: Banks may allow you to include the costs of de-leading and other repairs in your Soft Second mortgage so you can fix up your new home before you move in.
• Homebuyer support: Pre and post-purchase educational courses are designed to help homebuyers purchase their home and keep up with payments.
• Proven track record: Since 1991, Soft Second has helped nearly 7,000 families buy their first home, with a state-low delinquency rate of 2.6 percent and a microscopic foreclosure rate of .33 percent.

Soft Second Income Limits

Borrowers whose total household income does not exceed 100% of area median income qualify for the Soft Second Loan Program. Borrowers below 80% area median income may be eligible for MHP subsidy.

Borrowers must count total household income. Lower income limits may apply if homebuyer receives downpayment assistance from local fund source.

View HUD income levels here.

or additional information on the Soft Second Loan visit Mass Housing Partnerships web site at:
http://www.mhp.net/homeownership/softsecond.php