South Dakota First Time Home Buyer
South Dakota Housing Development Authority
July 13, 2010 by Jimmy Morrow · Leave a Comment
South Dakota Housing Development Authority Website - go here
The First-time Homebuyer Program provides below-market fixed interest rate mortgage loans and cash assistance for homebuyers purchasing a residence in the state of South Dakota. SDHDA provides the low interest rate by selling tax-exempt Mortgage Revenue Bonds to investors. Participating Lenders originate, process and close the loans. On behalf of SDHDA, five Master Servicers collect mortgage payments and otherwise service the loans. To qualify for a First-time Homebuyer Loan:
- You cannot have resided in a home which you own during the previous three years. For the purpose of determining prior homeownership, residing in a dwelling unit that was not permanently affixed to a permanent foundation is not considered prior homeownership. Additionally, Veterans who are second-time homebuyers may qualify under a “Veteran’s Waiver”.
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Your total household income cannot exceed the federally-imposed Income Limit for the county in which the property is located.
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The purchase price of the home cannot exceed the federally-imposed Purchase Price Limits.
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All loans must meet lending standards of creditworthiness and be insured or guaranteed against default by the Federal Housing Administration (FHA), Veteran’s Administration (VA), USDA Rural Development or insured by a private mortgage insurance (PMI) company. Mortgage Insurance is not required if your downpayment is 20% or more.
