HomeMy WebLinkAboutAttachment AATTACHMENT A
CITY EMPLOYEE'S HOME BUYER PROGRAM
The City Employee Homebuyer program provides assistance up to $40,000 for down payment and
closing cost assistance to eligible employees. The program is designed to assist employees who
wish to purchase a home within the City of Miami limits.
Eligibility•
1. Be a permanent city employee.
2. Own a home outside the city and wish to purchase a home within the city as your primary
residence (homestead) or currently renting a unit (in the city or outside the city) and wish
to purchase a home within the city as your primary residence (homestead)
3. Have an income less than or equal to 140% of the area median, adjusted for family size.
(See enclosed chart)
4. Cannot have filed bankruptcy within the last 24 months
5. Purchase a home with a price not to exceed $400,000.
6. Must contribute at least $1,000 of personal funds towards down payment /closing costs.
7. Secure a mortgage from a bank. You can advise the bank about the city's program.
Selection:
The assistance will be provided on a first come, first -ready, first-served basis.
Loan Terms
Amount of assistance: up to $40,000.
Terms: 10 years zero percent (0%) non -amortizing forgivable loan. Loan will only be forgiven at
the end of the 10 years. Full principal repayment of loan upon sale, rental of property or if
employee ceases to be employed by the City, except in the case the employee is laid off or
retirement. In addition, any gain from the sale of the property will be divided according to the
following schedule:
i. 0-3 years: City receives 100% of gain (or full loan amount, whichever is
greater)
ii. 4-6 years: City employee receives 25% of gain/city receives 75% of gain
iii. 7-10 years: gain is shared 50/50 between the City employee and the City;
iv. After 10 years, City employee receives 100% of gain.
Seeurity: Second Mortgage.
Restrictions: The borrower must reside in the house at all times.
2016 INCOME LIMITS
Household
1
2
3
4
5
6
7
8
Size
Maximum
Income
140%
$ 69,580
$ 79,520
$ 89,460
$ 99,400
$ 197,380
$115,360
$123,340
$131,320