MFAs Next Home Program provides non first time homebuyers the opportunity to purchase their next home. Next Home is also available for first time homebuyers, if it best suits their needs. Next Home has higher income and purchase price limits than MFA’s first time homebuyer program (First Home). There are no occupational restrictions for the Next Home program.
What does the Next Home Program provide?
The Next Home program is a special MFA first mortgage loan for low to moderate income homebuyers that includes a three percent (3.0%) down payment assistance (DPA) grant. Next Home provides streamlined and flexible qualification guidelines. MFA’s participating lenders can provide more information on how the Next Home program works.
Who can benefit from the Next Home Program?
Next Home is designed to serve “step up” homebuyers. Next Home can help a homebuyer purchase a home, even if they currently own a home that they are selling or renting out. Next Home can only be used to purchase a single family primary residence and may not be used to purchase investment properties. Next Home can also be used by first time homebuyers.
How much can I borrow?
Your MFA approved participating lender will help you determine the maximum amount you may borrow based on your income, debts and credit profile.
What are the terms of the Next Home Program?
Next Home is a 30-year, fixed-rate, first mortgage loan. Next Home can be combined with FHA, VA loan, HUD Section 184, USDA rural housing or an HFA Preferred conventional loan. The interest rate and loan terms will never change. The down payment assistance (DPA) grant does not need to be repaid.
Do I need good credit to qualify?
You must have a minimum credit score of 620. However, if you do not have a credit history, you may still be able to qualify. Consult with your MFA approved participating lender for more information.
Do I need to contribute any money?
The Next Home program requires a $500 contribution from the homebuyer’s own funds. The 3.0 percent grant can pay for any additional costs associated with Next Home such as additional down payment and closing costs.
How do I apply for the Next Home Program?
Next Home is available through a statewide network of MFA approved participating lenders. Your participating lender will coordinate the approval of your mortgage loan directly with MFA.
Does the Next Home Program have any special requirements or restrictions?
In order to be eligible for the Next Home program, your qualifying income may not exceed certain limits. Please see the qualifying income limit listed below for specific income guidelines.
In addition to the qualifying income limit, the Next Home program has limits on the purchase price of the home. Please see the program limits listed below for specifics.
The Next Home program may only be used to purchase a primary residence and you must occupy the property within 60 days of closing.
Homes that can be financed through Next Home include single-family detached homes, town homes, condominiums and homes in planned unit developments. Manufactured homes on a permanent foundation may also be allowed. Consult with your MFA approved participating lender for more information.
To view current gross annual household income and purchase price limits click here.
For More information contact one of our homeownership representatives
Main: (505) 843-6881
Fax: (505) 243-3289