Mortgage Credit Certificate Program

ECHFA 2017 Single Family Mortgage Credit Certificate Program

Freddie Mac HFA Advantage (Conventional) Program Only

Available February 2, 2018

The Escambia County Housing Finance Authority (the “Authority”), sponsors a program to reduce home loan financing costs within Escambia County, Florida (the "County") and within Alachua County, Bay County, Bradford County, Gadsden County, Indian River County, Jackson County, Leon County, Marion County, Martin County, Okaloosa County, Santa Rosa County, St. Lucie County, Wakulla County and Walton County, Florida (each a “Participating County”, and collectively with the County, the “Participating Counties”). The 2017 mortgage credit certificate program entitles first-time homebuyers to a federal income tax credit (the “Program”). A tax credit is a direct reduction of taxes due. Under the Program a homebuyer would receive a mortgage credit certificate entitling homebuyers to reduce their taxes by ten percent (10%) to fifty percent (50%) (such percentage to be determined by eHousingPlus, as the Administrator, on a case by case basis) of the amount of interest paid on their home loan (not to exceed $2,000 per year if the credit percentage exceeds 20%). The tax credit is available each year that the borrower continues to live in the home financed under the Program.
 

In order to qualify for the Program, federal law requires that a homebuyer satisfy each of the following guidelines:

1. Principal Residence. The homebuyer must occupy the home financed under the Program as his/her principal residence within a reasonable period, not to exceed 60 days, after the financing is provided. A principal residence is a home occupied primarily for residential purposes. A principal residence does not include a home used as an investment property, as a recreation home or a home 15 percent or more of the total area of which is used in a trade or business.
 

2. First-Time Homebuyer. Each homebuyer must be a first-time homebuyer. Any person who has not owned his/her principal residence at any time during the three years prior to closing a loan financed in connection with the Program is considered a first-time homebuyer. This requirement does not apply to loans in certain areas designated as targeted areas (collectively, the “Targeted Areas”).

3. Purchase Price. Under the Program, the purchase price for residences may not exceed 90 percent (110 percent with respect to residences located in Targeted Areas) of the average area purchase price applicable to the residence. For this purpose, the "average area purchase price" is based upon the average purchase price of single family residences determined pursuant to applicable federal law with respect to both new and existing one unit residences. The current maximum purchase prices for homes under the Program in each of the Participating Counties is as follows:

Martin County and
St. Lucie County
New and Existing Homes Non-Targeted Areas Targeted Areas
  One Unit $291,176.10 $355,881.90
Okaloosa County and 
Walton County
New and Existing Homes Non-Targeted Areas Targeted Areas
  One Unit $314,470.80 $384,353.20
All Other Participating 
Counties
New and Existing Homes Non-Targeted Areas Targeted Areas
  One Unit $253,809.00 $310,211.00


These limitations are subject to adjustment periodically.

4. New Mortgage. The mortgage loan financed in connection with the Program is required to be a new mortgage loan and may not replace a prior mortgage loan on the home (whether or not previously repaid). The mortgage credit certificates are available in connection with (i) any Authority Freddie Mac HFA Advantage (Conventional) mortgage loan, or (ii) a special loan offered by a lending institution participating in the Program and approved by the Authority. Any lending institution is eligible to provide mortgage loans in connection with the Program as long as they are willing to follow Program requirements. A list of lenders that have agreed to follow Program requirements can be found at this website.

5. Income. Under the Program, the maximum family income for households of 3 or more persons may not exceed 115 percent (140 percent with respect to residences located in Targeted Areas) of the applicable median family income, subject to adjustment for high housing cost areas. For a family of 2 or fewer persons, the maximum family income may not exceed 100 percent (120 percent with respect to residences located in Targeted Areas) of the applicable median family income, subject to adjustment for high housing cost areas. The current limits on annual gross income for households under the Program in each Participating County (after adjustment for high housing cost areas) are as follows:

 

Alachua County Non-Targeted Area Targeted Area
Families of 1 or 2 persons $65,200.00 $78,240.00
Families of 3 or more persons $74,980.00 $91,280.00
Bay County Non-Targeted Area Targeted Area
Families of 1 or 2 persons $59,000.00 $70,800.00
Families of 3 or more persons $67,850.00 $82,600.00
Bradford County Non-Targeted Area Targeted Area
Families of 1 or 2 persons $59,000.00 $70,800.00
Families of 3 or more persons $67,850.00 $82,600.00
Escambia County Non-Targeted Area Targeted Area
Families of 1 or 2 persons $62,000.00 $74,400.00
Families of 3 or more persons $71,300.00 $86,800.00
Gadsden County Non-Targeted Area Targeted Area
Families of 1 or 2 persons  $68,400.00  $82,080.00
Families of 3 or more persons  $78,660.00  $95,760.00
 Indian River County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $61,900.00  $74,280.00
 Families of 3 or more persons  $71,185.00  $86,660.00
 Jackson County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $59,055.56  $70,800.00
 Families of 3 or more persons  $67,913.89  $82,600.00
 Leon County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $68,400.00  $82,080.00
 Families of 3 or more persons  $78,660.00  $95,760.00
 Marion County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $59,155.56  $70,800.00
 Families of 3 or more persons  $68,028.89  $82,600.00
 Martin County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $67,641.17  $72,240.00
 Families of 3 or more persons  $77,787.35  $84,280.00
 Okaloosa County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $71,755.83  $85,800.00
 Families of 3 or more persons  $82,519.21  $100,100.00
 Santa Rosa County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $62,000.00  $74,400.00
 Families of 3 or more persons  $71,300.00  $86,800.00
 St. Lucie County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $67,641.17  $72,240.00
 Families of 3 or more persons  $77,787.35  $84,280.00
 Wakulla County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $63,900.00  $76,680.00
 Families of 3 or more persons  $73,485.00  $89,460.00
 Walton County  Non-Targeted Area  Targeted Area
 Families of 1 or 2 persons  $70,560.00  $70,800.00
 Families of 3 or more persons  $82,320.00  $82,600.00

 

These limitations are subject to adjustment periodically. Gross income includes salary and wages, including overtime, as well as dividends, alimony, public assistance, social security, unemployment compensation and investment income.

6. One Family Home. The residence financed in connection with the Program must be a one family residence. A one-family residence includes a detached home, one unit of a duplex, a townhouse or a condominium unit. Land adjoining the home is considered part of the home only if it maintains the home's livability and is not, other than incidentally, a source of income to the owner.
 

7. Program Area. In order to be eligible for a certificate, the home financed in connection with the Program must be located in a Participating County.

8. Homebuyer Education Class. Each Homebuyer must agree to participate in a Homebuyer Education Class approved by the Authority prior to being eligible to receive a mortgage credit certificate.  The class must be completed prior to the closing.

Under the Program, mortgage credit certificates will be issued to eligible borrowers on a first-come, first-served basis. The certificates are available in connection with only those types of new mortgages as discussed in paragraph 4 above. Any lending institution that signs a Participation Agreement or which otherwise confirms to the satisfaction of the Authority its agreement to follow Program requirements is eligible to provide mortgage loans in connection with the Program.

This notice contains only a summary of the requirements under the Program. Additional information about the Program is available from:

eHousingPlus
3588 Lincoln Way
Cooper City, FL 33026
Phone: 954-430-6072
email: patt@ehousing.cc

Today's Interest Rates:

4.00

GOVERNMENT

4.75

CONVENTIONAL