The mission of the St. Charles Parish Mortgage Assistance Program is to provide financial assistance to St. Charles Parish residents for home ownership and to enhance economic development.
Do you need help with your down payment? We can help with either a 3 percent or 4 percent down payment assistance grant that doesn't have to be repaid with a 30-year fixed-rate mortgage at a competitive rate.
- Program: Competitive 30-year fixed rate mortgage with a down payment assistance (DPA) grant equal to either 3.00% or 4.00% of the loan amount to qualifying home buyers.
- Eligible Loan Area: The Southern Mortgage Assistance Program is currently available for purchase of a residence located within the Parish of St. Charles.
- Program Availability: Mortgage loans will be available beginning September 15, 2014 unless terminated earlier.
- Mortgage Loan Rates: The loan rate will change periodically to stay competitive with the market rate. Borrowers should contact a participating lender for the current mortgage rate.
- Eligible Loans: FHA, VA or RD, 30-year fixed rate mortgage and eligible for conversion to GNMA securities. A minimum credit score of 640 or higher is required. Lender will determine loan eligibility, subject to Master Servicer approval. Refinancing of loans is not allowed. Interim construction loan financing is not provided.
- Down Payment Assistance (DPA): The borrower will select either a 3.00% DPA grant or a 4.00% DPA grant to be used for down payment and closing costs. The DPA is calculated as a percentage of the loan amount. The loan rate for a 4.00% DPA will be higher than the loan rate for 3.00% DPA. This DPA is a grant and is not repaid.
- Eligible Borrowers: Subject to requirements stated herein, the borrower is eligible to purchase a residence under the Southern Mortgage Assistance Program anywhere in St. Charles Parish even if the borrower(s) has or has had an ownership interest in a residence during the preceding three years.
- Income Restrictions: The borrower’s annual income effective March 6, 2015, cannot exceed $69,000 which is 115% of HUD median income for St. Charles Parish.
- Acquisition Costs: The acquisition cost of the residence cannot exceed the amount permitted by FHA, VA or RD, as applicable, effective January 1, 2014, $271,050 for FHA, $417,000 for VA and no limit for RD.
- Eligible Residences: The residence must be a single family home, which includes a condominium unit or townhouse and can be either a new or existing residence. The residence must be principally and permanently occupied as the borrower(s) principal residence within not to exceed (60) days following the closing of the mortgage loan. Duplex, multi-unit, recreational, seasonal, vacation, or investment homes are not permitted.
- Participating Lenders: A list of approved participating lenders is attached and more will be added in the near future. Only approved banks or mortgage companies can reserve funds for and close a Southern Mortgage Assistance Program loan.
- Program Fees: Lender may collect from the borrower its usual and customary fees, but the lender may not charge the borrower any origination and/or discount fees.
- Reservation Cancellation/Ineligibility: A borrower whose mortgage loan reservation is cancelled is ineligible to participate in this program during the period beginning with cancellation of the reservation and ending one hundred twenty (120) days after cancellation of a reservation unless (1) this prohibition is waived for a specific borrower or (2) the cancellation is due to the failure of the residence to qualify.