Darren Stewart

Down Payment Assistance - Missouri Bond Loans- How the bond program works in Missouri ! (edit/delete)

MHDC is able to have down payment assistance to persons buying a home with the MHDC Bond program regardless of whether or not you are a first time home buyer in some specifice counties in Missouri. This is fantastic news because these counties are now classified as a targeted area since we had some flooding in Missouri.

How the program works - MHDC Cash Assistance Program Example

You have a client buying a $100,000 home - we can do a FHA, VA or RD loan that would allow them to minimize their down payment and combine with the MHDC cash assistance program to minimize cash injection into the property. An example follows:

Purchase price 100,000

FHA financing - 97000 (3 % down payment) soon to be 3.5% down payment required.

leaves down payment amout of 3000.00 required - + closing costs

MHDC forgivable second - $2,910 (3% of the loan amount not the sales price)

This is all but $90.00 of the loan amount, and it is given in the form of a forgivable second. The forgivable second is a recorded second mortgage with 0 interest rate - and each month 1/60th is forgiven after 5 years the second is then released by the lender. This would = 2,910 / 60 or $48.50 per month.

This 48.50 is not a payment your client makes it is forgiven each month, since it is a forgiven debt the IRS says this is realized income so your client in our example would have to pay taxes on the forgiven amount each year in our example thats extra income on $582.00 or 48.50x12 months.

The closing costs in this example would be the only thing the buyer would have to come up with or the seller could pay the closing costs based on the contract negotiations.

Please note when doing this option with a VA or RD loan our loan amount is 100% and the forgivable grant would cover all of the closing costs and possibly result in the reduction of the loan amount if the forgivable second was more than closing costs.

Its a great program and we have utilized this for a number of years in targeted counties in Missouri we are seeing that this is now available whether your client is purchasing their first home or not.

**Important NOTE- anyone financing a home with tax revenue bonds will NOT be eligible to also take the $7,500 tax credit/loan in April, please note this because there could be a different loan program that we can utilize that would still enable you to do the credit.

For more information regarding this program please feel free to contact me at

417 447 7927

Darren Stewart

OakStar Bank

Bollinger County

Down Payment Assistance - Missouri Bond Loans- How the bond program works in Missouri ! (edit/delete)

MHDC is able to have down payment assistance to persons buying a home with the MHDC Bond program regardless of whether or not you are a first time home buyer in some specifice counties in Missouri. This is fantastic news because these counties are now classified as a targeted area since we had some flooding in Missouri.

How the program works - MHDC Cash Assistance Program Example

You have a client buying a $100,000 home - we can do a FHA, VA or RD loan that would allow them to minimize their down payment and combine with the MHDC cash assistance program to minimize cash injection into the property. An example follows:

Purchase price 100,000

FHA financing - 97000 (3 % down payment) soon to be 3.5% down payment required.

leaves down payment amout of 3000.00 required - + closing costs

MHDC forgivable second - $2,910 (3% of the loan amount not the sales price)

This is all but $90.00 of the loan amount, and it is given in the form of a forgivable second. The forgivable second is a recorded second mortgage with 0 interest rate - and each month 1/60th is forgiven after 5 years the second is then released by the lender. This would = 2,910 / 60 or $48.50 per month.

This 48.50 is not a payment your client makes it is forgiven each month, since it is a forgiven debt the IRS says this is realized income so your client in our example would have to pay taxes on the forgiven amount each year in our example thats extra income on $582.00 or 48.50x12 months.

The closing costs in this example would be the only thing the buyer would have to come up with or the seller could pay the closing costs based on the contract negotiations.

Please note when doing this option with a VA or RD loan our loan amount is 100% and the forgivable grant would cover all of the closing costs and possibly result in the reduction of the loan amount if the forgivable second was more than closing costs.

Its a great program and we have utilized this for a number of years in targeted counties in Missouri we are seeing that this is now available whether your client is purchasing their first home or not.

**Important NOTE- anyone financing a home with tax revenue bonds will NOT be eligible to also take the $7,500 tax credit/loan in April, please note this because there could be a different loan program that we can utilize that would still enable you to do the credit.

For more information regarding this program please feel free to contact me at

417 447 7927

Darren Stewart

OakStar Bank

Barry County is included.

Down Payment Assistance - Missouri Bond Loans- How the bond program works in Missouri ! (edit/delete)

MHDC is able to have down payment assistance to persons buying a home with the MHDC Bond program regardless of whether or not you are a first time home buyer in some specifice counties in Missouri. This is fantastic news because these counties are now classified as a targeted area since we had some flooding in Missouri.

How the program works - MHDC Cash Assistance Program Example

You have a client buying a $100,000 home - we can do a FHA, VA or RD loan that would allow them to minimize their down payment and combine with the MHDC cash assistance program to minimize cash injection into the property. An example follows:

Purchase price 100,000

FHA financing - 97000 (3 % down payment) soon to be 3.5% down payment required.

leaves down payment amout of 3000.00 required - + closing costs

MHDC forgivable second - $2,910 (3% of the loan amount not the sales price)

This is all but $90.00 of the loan amount, and it is given in the form of a forgivable second. The forgivable second is a recorded second mortgage with 0 interest rate - and each month 1/60th is forgiven after 5 years the second is then released by the lender. This would = 2,910 / 60 or $48.50 per month.

This 48.50 is not a payment your client makes it is forgiven each month, since it is a forgiven debt the IRS says this is realized income so your client in our example would have to pay taxes on the forgiven amount each year in our example thats extra income on $582.00 or 48.50x12 months.

The closing costs in this example would be the only thing the buyer would have to come up with or the seller could pay the closing costs based on the contract negotiations.

Please note when doing this option with a VA or RD loan our loan amount is 100% and the forgivable grant would cover all of the closing costs and possibly result in the reduction of the loan amount if the forgivable second was more than closing costs.

Its a great program and we have utilized this for a number of years in targeted counties in Missouri we are seeing that this is now available whether your client is purchasing their first home or not.

**Important NOTE- anyone financing a home with tax revenue bonds will NOT be eligible to also take the $7,500 tax credit/loan in April, please note this because there could be a different loan program that we can utilize that would still enable you to do the credit.

For more information regarding this program please feel free to contact me at

417 447 7927

Darren Stewart

OakStar Bank

Andrew County is included

Down Payment Assistance - Missouri Bond Loans- How the bond program works in Missouri ! (edit/delete)

MHDC is able to have down payment assistance to persons buying a home with the MHDC Bond program regardless of whether or not you are a first time home buyer in some specifice counties in Missouri. This is fantastic news because these counties are now classified as a targeted area since we had some flooding in Missouri.

How the program works - MHDC Cash Assistance Program Example

You have a client buying a $100,000 home - we can do a FHA, VA or RD loan that would allow them to minimize their down payment and combine with the MHDC cash assistance program to minimize cash injection into the property. An example follows:

Purchase price 100,000

FHA financing - 97000 (3 % down payment) soon to be 3.5% down payment required.

leaves down payment amout of 3000.00 required - + closing costs

MHDC forgivable second - $2,910 (3% of the loan amount not the sales price)

This is all but $90.00 of the loan amount, and it is given in the form of a forgivable second. The forgivable second is a recorded second mortgage with 0 interest rate - and each month 1/60th is forgiven after 5 years the second is then released by the lender. This would = 2,910 / 60 or $48.50 per month.

This 48.50 is not a payment your client makes it is forgiven each month, since it is a forgiven debt the IRS says this is realized income so your client in our example would have to pay taxes on the forgiven amount each year in our example thats extra income on $582.00 or 48.50x12 months.

The closing costs in this example would be the only thing the buyer would have to come up with or the seller could pay the closing costs based on the contract negotiations.

Please note when doing this option with a VA or RD loan our loan amount is 100% and the forgivable grant would cover all of the closing costs and possibly result in the reduction of the loan amount if the forgivable second was more than closing costs.

Its a great program and we have utilized this for a number of years in targeted counties in Missouri we are seeing that this is now available whether your client is purchasing their first home or not.

**Important NOTE- anyone financing a home with tax revenue bonds will NOT be eligible to also take the $7,500 tax credit/loan in April, please note this because there could be a different loan program that we can utilize that would still enable you to do the credit.

For more information regarding this program please feel free to contact me at

417 447 7927

Darren Stewart

OakStar Bank

Obtaining a pre-approval for a home loan is essential in this market especially if you happen to find a really great priced home that requires you to act fast to give you the best chance at making you the buyer of that home. The amount of inventory we have on the market right now makes for great opportunities to be purchasing a home and lately we have seen an increase in the amount of buyers that are out there.

A true pre-approval will be issued upon review of the loan application that can be turned in to us 3 ways, online, over the phone, and in person. Once we have it a copy of that is sent to you, keep this with you on your appointments with agents so that if you find a home that you would like to make an offer on they can be turned in along with your offer.

Pre-approvals are excellent tools and have the possibility of saving you money and making the offer for that house an attractive offer.

Darren Stewart

OakStar Bank