The new issue of bond money available for first time home buyers in the state of Missouri will be coming out on Wednesday - July 30, 2008 - reservations for these funds will be very competitive. If you are under contract or going under contract for a home this weekend act immediately to get in line for the funds to reserve those funds. $65,000,000 has been allocated for the entire state of Missouri and with the demand for down payment assistance on the rise it will be very competitive.
Realtors if you have clients who are first time home buyers and have questions regarding the new bond issue please feel free to contact me with your questions.
New to this issue, MHDC provides down payment assistance that does not have to be paid back as long as the client owns the home for 5 years. This can be a significant savings for your clients. This is in the form of a soft second mortgage with a 0% interest rate and no monthly payment is required - the loan basically has 1/60th of the principal each month over 5 years and on the 5th year is considered paid in full. Important note: the payment forgiveness for the year the IRS considers that realized income so the client is sent a 1099 for the amount of annual indebtedness forgiven.
Darren Stewart
OakStar Bank
417 447 7927
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