Maryland Department of Housing and Community Development

CDA/Homeownership Programs

HOMEOWNERSHIP OPPORTUNITIES FOR TEACHERS (HOT) INITIATIVE

HIGHLIGHT SHEET

 

FUNDS AVAILABLE:

July 3, 2000 at 8:00 a.m.

 

INTEREST RATE:

5.00% (5.36822 per thousand). Interest rate may be increased to the Maryland Mortgage Program interest rate in effect at the time of application if borrower fails to meet his/her commitment to teach in Maryland public schools during the first three (3) years of the loan. Refer to the Truth in Lending Disclosure Statement for actual Annual Percentage Rate (APR).

 

INCOME LIMITS AND

MAXIMUM ACQUISITION COSTS:

See Table Below

 

 

TERM:

30 Years

 

POINTS:

One point from buyer(s) and one point from seller(s), to be collected at settlement.

 

MORTGAGE INSURER:

FHA

 

ELIGIBLE BORROWER:

ALL BORROWERS MUST BE FIRST-TIME HOME BUYERS

 

 

 

AT LEAST ONE OF THE BORROWERS:

Must be a full-time Maryland-certified classroom teacher who is newly hired or taught in Maryland for 5 years or less

Must have a contract to teach in the public schools of the State of Maryland (pre-K through grade 12)

Must commit to teach in Maryland public schools (pre-K through grade 12) for a period of at least 3 years from the date of the loan closing).

 

ELIGIBLE PROPERTIES

PROPERTY BEING PURCHASED:

Must be borrower’s primary residence

MUST BE IN A PRIORITY FUNDING AREA*

 

CLOSING COST ASSISTANCE:

DHCD’s Downpayment and Settlement Expense Loan Program (DSELP) available Statewide (in Priority Funding Areas)

 

HOME INSPECTION:

Required (unless home newly constructed or substantially rehabbed - amount of rehab work must be equal to or greater than 50% of the purchase price of the property)

HOME BUYER EDUCATION:

Mandatory for all borrowers

 

*a full listing of the Priority Funding Areas is on our website at http://www.dhcd.state.md.us

Funding Depleted October 6, 2000