Do you want to buy your primary home?

Conventional Loans with Upfront MIP

¨ Maximum insured amount of $160,000 (including the premium)

¨ 2% downpayment required

¨ Minimum credit score of 600

¨ Maximum income of $60,000

¨ 33%-45% parameters

¨ 98% maximum LTV

¨ The property may have up to two units, none of which may be commercial units.

¨ Additional restrictions apply

 

Act 87 (“Boricua FHA”) with Up Front MIP

¨ Maximum insured amount of $300,000 (including the premium)

¨ Minimum credit score of 600

¨ Minimum income of $60,000.00 and maximum income of $150,000

¨ 33%-45% parameters

¨ 98% maximum LTV

¨ The property may have up to two units, none of which may be commercial units.

¨ Additional restrictions apply

Documentation required to evaluate a mortgage loan application

SALARIED EMPLOYEES

¨ Copy of income tax returns for the last two years, including any attachments and the W-2 form

¨ Last two pay stubs

¨ Employment certification indicating time in employment, position held, and prospects for continued employment.

SELf-EMPLOYMENT INCOME

¨ Income tax returns for the last two years, 480 forms and its attachments

¨ Financial statements for the last 2 years (income and expenses) and “year to date,” notarized by an attorney or certified by a CPA.

RETIREES

¨ Valid Social Security certification

¨ Valid retirement certification

¨ Valid veterans certification

Additional Documents

¨ Bank statements for the last 3 months

¨ ASUME (Child Support) Certification

¨ Divorce Judgment and Stipulations

¨ Prenuptial Agreement

¨ Purchase and Sale Agreement

¨ Property Deed

¨ Affidavit of Heirship (if applicable) and  Estate Tax Return

¨ Property cadastral number

¨ Maintenance Letter (if applicable)

¨ Affidavit of No Ownership

Requirements for condominiums

¨ It must have an Owners Association with its respective Board of Directors.

¨ The condominium must maintain a minimum maintenance escrow account  of 5%.

¨ The building may have up to 10% vacant units.

¨ The property must not be categorized as a second home and mat not be an investment property.

Homebuyer Assistance Program – HOME

BASIC REQUIREMENTS

  • Must not exceed income limits
  • Must be able to secure a mortgage loan
  • Must not own any property in Puerto Rico or outside Puerto Rico
  • Must take the Homeownership Training Course

GRANTS

  • Maximum – $45,000.00
  • Minimum – $1,000.00

(Depending on the applicant’s needs)

INCOME

Any compensation received, whether monetary or otherwise,  except that may be determined as excluded by applicable Regulations.

What are the income sources included?

  • Hourly wages
  • Overtime payments
  • Commissions
  • Fees
  • Tips
  • Bonuses
  • Pensions: Social Security, Veterans Pension Benefits, Child Support, etc.

INCOME LIMITS AND REGION

  • The household must not exceed 80% of the median family Income by region and household composition.
  • The property’s location is identified to determine the region

PROPERTY REQUIREMENTS

To be considered eligible to receive funds under the Program, all housing units must meet the following requirements:

  • Housing Quality Standards (HQS)
  • Occupancy Standards (Fair Housing)
  • Applicable construction standards
  • Environmental Review (4128)
  • Asbestos and lead surveys (required for housing units built before 1978)

The properties will be inspected annually by HOME Program-hired inspectors.

HOUSING PRICES

  • House – $110,00.00
  • Apartment – $125,000.00
  • Urban Center (Downtown Area) – $130,00.00
  • Bayamón, Culebra, Guaynabo, San Juan, and Vieques – $145,00.00

(Certifications must be submitted to the  Municipal Land Use Office)

Which bank can help me?

Households may choose the Banking Institution of their choice.

Qualification Parameters (estimated)

  • 30%
  • 45%

 

Rehabilitation by Homeowner – HOME

Provides functional, safe, affordable, and durable homes that satisfy the needs of homeowners and communities throughout Puerto Rico.

BASIC

  • Must not exceed income limits
  • Must have property ownership
  • Must occupy the property as their primary residence

HOUSING REQUIREMENTS

To be considered eligible to receive funds under the Program, all housing units must meet the following requirements:

  • Must have a deed – segregated land
  • Must not be encumbered by any mortgage and/or lien

Single-family homes (two or more units on the same property or land and condominiums are not eligible)

  • Appraisal – the estimated value o the property after its rehabilitation/construction may not exceed 95% of the median purchase price for a single family home.
  • Housing Quality Standards (HQS)
  • Occupancy Standards (Fair Housing)
  • Applicable construction standards
  • Environmental Review (4128)
  • Asbestos and lead surveys (required or housing units built before 1978)

The properties will be inspected annually by HOME Program-hired inspectors.

INCOME

 Any compensation received, whether monetary or otherwise,  except that may be determined as excluded by applicable Regulations.

What are the included income sources?

  •  Hourly wages
  • Overtime payments
  • Commissions
  • Fees
  • Tips
  • Bonuses
  • Pensions: Social Security, Veterans Pension Benefits, Child Support, etc.

INCOME LIMITS AND REGION

  • Household must not exceed 80% of the median family income by region and household composition.

The property’s location is identified to determine the region.

LAND REQUIREMENTS

Each lot’s particular conditions shall be considered part of the qualification process. If substantial improvements are needed that exceed the HOME Program’s contribution and which cannot be covered by any other source, the case will be disqualified.

REPAIRS

Repairs that exceed the maximum limit per unit shall be considered for full rehabilitation or new construction.

GRANTS

Grant limits vary depending on the number of rooms established by HUD. The costs of this activity are aimed exclusively at housing costs, not infrastructure improvements.

 

Tenant-Based Rental Assistance – (TBRA) HOME

Provides rental assistance through vouchers for a period of 12 to 24 months

BASIC REQUIREMENTS

  • Must not exceed income limits
  • Must not have any assistance voucher from other programs
  • Must have been a resident of PR during the past year
  • Must complete the Housing Counseling Training course

PREFERRED POPULATION

  • Families that have been displaced due to natural disasters and which need rental housing assistance
  • Domestic violence victims
  • Gender-based violence victims

SUBSIDY

  • The program will subsidize the difference between the tenant’s rent amount and the housing unit’s rental cost. Subsidies will be awarded in the form of vouchers.
  • Maximum Assistance Subsidy

TBRA assistance will be available for 12 to 24 months.

  • Voucher

The voucher will be valid for 60 days.

BASIC REQUIREMENTS

  • Must not exceed income limits
  • Must not have any assistance voucher from other programs
  • Must have been a resident of PR during the past year
  • Must complete the Housing Counseling Training course

PREFERRED POPULATION

  • Families that have been displaced due to natural disasters and which need rental housing assistance
  • Domestic violence victims
  • Gender-based violence victims

SUBSIDY

  • The program will subsidize the difference between the tenant’s rent amount and the housing unit’s rental cost. Subsidies will be awarded in the form of vouchers.
  • Maximum Assistance Subsidy

TBRA assistance will be available for 12 to 24 months.

  • Voucher

The voucher will be valid for 60 days.

INCOME

 Any compensation received, whether monetary or otherwise,  except that may be determined as excluded by applicable Regulations.

 What are the included income sources?

  •  Hourly wages
  • Overtime payments
  • Commissions
  • Fees
  • Tips
  • Bonuses
  • Pensions: Social Security, Veterans Pension Benefits, Child Support, etc.

INCOME LÍMITS¹ AND REGION

  • The household must not exceed 60%of the Median family Income by region and household composition
  • The property’s location is identified to determine the region.

TENANT PAYMENT LIMIT

  • Maximum—30% of adjusted income to cover their rental portion
  • Minimum—$50.00

 

RENTAL PRICES

  • The rental standards used are HUD’s Fair Market Rents and Payments Standards.
  • All home-related utilities and services are included, except or the phone service.

 

HOUSING REQUIREMENTS

To be considered eligible to receive funds under the Program, all housing units must meet the following requirements:

  • Housing Quality Standards (HQS)
  • Occupancy Standards (Fair Housing)
  • Applicable construction standards
  • Environmental Review (4128)
  • Asbestos and lead surveys (required for housing units built before 1978)

Setting a reasonable rent as compared to the rent charged by comparable units

  • Not being subject to any other form of rental subsidy

The properties will be inspected annually by PRHFA inspectors.