Fla. Admin. Code Ann. R. 67-59.230 - Form of Assistance
(1) Eligible
Applicants who have not been declined by their mortgage servicer will receive
assistance under the PR Program in the form of a forgivable loan. Applicants
must execute Hardest Hit Fund loan documents before any funds are provided.
Funding will be paid by Florida Housing directly to the Applicant's mortgage
servicer.
(2) For loans that are
recast pursuant to The Agreements, after the application of the PR assistance,
the loan will be in the form of a 0% interest, non-recourse, deferred payment,
forgivable loan. The loan will be forgiven over a five year period at a rate of
20% per year.
(3) For Federal
Housing Administration ("FHA"), Veterans Administration ("VA") and United
States Department of Agriculture Rural Development ("USDA-RD") loans, if the
borrower fails to refinance the loan within 180 days from the date that the
principal reduction payment is made on their behalf, then the loan will only be
forgiven 100% at the end of the fifth year (no incremental
forgiveness).
(4) If the home is
sold or refinanced prior to the maturity date of the HHF loan and there are
sufficient funds to the Applicant out of the transaction, then the balance of
the loan that has not been forgiven must be repaid.
Notes
Rulemaking Authority 420.507(33) FS. Law Implemented 420.507(33) FS.
New 12-12-13.
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