Commissioner Monestime improves Homebuyer Loan Program

MIAMI-DADE – The Miami-Dade County Commission on March 2 unanimously gave final approval to an ordinance sponsored by Commissioner Jean Monestime to help more low- and middle-income individuals achieve the dream of homeownership.

The ordinance makes several improvements to the County’s existing Homebuyer Loan Program to facilitate its implementation. The Homebuyer Loan Program was created in 2015 by Commissioner Monestime to provide mortgage loan assistance to qualified low- and moderate-income individuals and families in the purchase of a primary residence. After its creation, meetings with members of the industry led to suggestions to make the program more workable.

The new ordinance makes the following changes to the program:

• The income certification of applicants will be performed by an outside company selected through a competitive request for proposals process.
• The income certification company and Certified Loan Officers will be able to charge industry standard fees and costs to either the County, applicants, or approved borrowers for processing loan applications or qualifying borrowers for the County’s Homebuyer Loan Program.
• The County’s loan provided through the Homebuyer Loan Program will be a second mortgage loan in priority, subordinate to the first mortgage lender.
• The Homebuyer Loan program will encourage homeownership in the County’s Vulnerability Ranked Eligible Block Groups by offering more favorable loan terms for Homebuyer Loans used to acquire homes in the County’s Vulnerability Ranked Eligible Block Groups.
• Homebuyer Loans used to acquire homes in the County’s Vulnerability Ranked Eligible Block Groups will have a 1 percent compounded interest rate.
• Homebuyer Loans used to acquire homes outside of the County’s Vulnerability Ranked Eligible Block Groups will have a 2 percent compounded interest rate.

“These needed changes to the Homebuyer Loan Program will make the dream of homeownership a reality for more low- and middle-income individuals in Miami-Dade County,” Commissioner Monestime said.