Qualified home buyers who obtain a MassHousing Mortgage through Haverhill Bank will be eligible for a second loan to assist in rehabilitating the foreclosed property. The second loan will be funded through the Neighborhood Stabilization Program (NSP), which was created in federal economic recovery legislation.The rehabilitation loan could be forgiven depending on how long the home buyer lives in the home and the total amount of NSP funds used.
The city of Haverhill is the first city in Massachusetts to partner with MassHousing in the NSP program and Haverhill Bank is the first MassHousing-approved lender to participate in the program.“I congratulate Mayor Fiorentini and Haverhill Bank for proactively addressing the issue of abandoned and foreclosed homes,” said MassHousing Executive Director Thomas R. Gleason. “The NSP program will make money available to help home buyers renovate foreclosed homes that are at risk of becoming blighted.” Homebuyers must be deemed eligible for the NSP program by the Haverhill Department of Community Development. There are no limits to the NSP rehabilitation grants but the cost of renovation must be deemed reasonable by the city.
“I’m pleased to be able to develop a way to leverage our federal funds to rehabilitate foreclosed housing across the city through private investors and first-time home buyers,” said Mayor Fiorentini. “Foreclosed, run-down and abandoned properties can destroy home values in a neighborhood. This innovative program can help eliminate this problem.”
Homes eligible under the program must be foreclosed or abandoned one-, two- or three-family properties.
Borrowers must be eligible for a MassHousing mortgage, meet income and purchase price guidelines, have a minimum 3 percent down payment for one- or two-family homes and 5 percent down payment for three-family homes, and complete a home buyer education course.
For more information, you can contact an exclusive buyer agent located in Haverhill, MA.
You also can get free foreclosure listings.