info@homesncm.org     888-978-6261
Massachusetts Housing Partnership (MHP) ONE Mortgage® Loan Program

Are you a first-time homebuyer looking for a safe, secure fixed-rate mortgage? If so, then you check out the many advantages of buying your first home with a SoftSecond loan:

Low fixed interest rates: Participating lenders offer ONE Mortgage rates fixed for 30 years and ranging from 0.25 percent to as much as 0.5 percent below market rate.

Low down payment: The minimum down payment for a ONE Mortgage loan is three percent of the purchase price. Some of the down payment can be a gift or grant.

No PMI: Borrowers who qualify for a ONE Mortgage loan are not required to pay Private Mortgage Insurance – a savings of approximately $125 to $250 per month.

No Points: “Points” are fees that banks ask buyers to pay when they buy a home. One point equals one percent of the loan. Banks do not charge points for ONE Mortgage loans which could save you between $3,000 and $7,000 at closing.

Subsidy available for qualified borrowers: Some ONE Mortgage buyers qualify for a zero percent interest subsidy payment from MHP. The subsidy payment may cover up to 75 percent of the interest-only payment on the second mortgage.

Homebuyer support: ONE Mortgage provides access to pre-purchase and post-purchase educational courses and homeowner counseling designed to help homebuyers purchase their home and keep up with payments.

Proven track record: Since 1991, ONE Mortgage has helped over 15,000 families buy their first home and has leveraged over $2.3 billion in private mortgage financing, while maintaining delinquency and foreclosure rate that are at or below those of all prime mortgages made in Massachusetts.

A MassHousing Loan

More than 50,000 families have used a simple, straightforward MassHousing loan to buy their first home.

Features of a MassHousing Loan

With a loan from MassHousing, you’ll get

  • Affordable interest rates, fixed for the life of the loan
  • 30-year repayment terms
  • Mortgage payment protection, which helps pay your loan in case you lose your job
  • No hidden fees or other surprises
  • Low-dowpayment options
  • Flexible underwriting and income limits mean more families qualify
  • Loans serviced by MassHousing. If you have a question or concern, you’ll know who to call

Additional Benefits

MassHousing Mortgage with No PMI

The same safe, secure, low-downpayment MassHousing loan without the monthly mortgage insurance premiums.

Product Features

With a MassHousing Mortgage with no MI, you’ll get

  • Affordable interest rates, fixed for the life of the loan
  • 30-year repayment terms
  • Up to 97% financing on single-family homes and condominiums; 95% financing on 2-, 3- and 4-family homes
  • No hidden fees or other surprises

Eligibility

To qualify for a MassHousing Mortgage with no MI, borrowers must

Home for the Brave

MassHousing’s Home for the Brave program offers affordable, no-downpayment mortgage financing for veterans of the U.S. Armed Services. In conjunction, grants from the Veterans Administration are available to help disabled veterans make accessibility upgrades to properties they are interested in purchasing.

How to Apply

Home for the Brave loans are made through approved community banks and are made possible by MassHousing. To apply, contact a participating lender.

Who is Eligible?

Home for the Brave loans are available to

  • Veterans of the U.S. Armed Services
  • Active-duty military*
  • Spouses of soldiers, sailors or marines killed while on active duty

*Because the employment on which their qualification is based is their military service, active-duty military do not qualify for mortgage payment protection if called to serve overseas since neither employment nor salary would change.

Program Features

  • No downpayment required
  • Loans feature MI Plus, which covers principal and interest payments for up to six months in case of unemployment or deployment
  • Closing cost assistance is available through MassHousing grants

Downpayment

No downpayment is required for single-family homes and condominiums.

Income Limits

Income and loan limits apply. View income limits or contact a participating lender for details.

Other Restrictions

To qualify for a Home for the Brave mortgage, you must

  • Purchase a primary residence. You do not have to be a first-time home buyer, but you may not own more than one home upon closing the loan
  • Have good credit
  • Have a total housing debt of less than 45% and a total monthly debt of less than 41%
  • If you are buying a 2-, 3- or 4-family property, have two-months’ reserves
  • If you are seeking 100% financing, complete a home buyer counseling course

Purchase and Rehabilitation Loans

MassHousing Purchase and Rehab loans help borrowers cover both the cost of purchasing a home in need of repairs, as well as the expense of rehabilitating that property.

How to Apply

To apply for a Purchase and Rehabilitation mortgage, contact a participating lender or rehabilitation agency.

Income Limits and Purchase Price Guidelines

To obtain a Purchase and Rehab loan, borrowers must meet income limits and purchase price guidelines, which vary by city or town.

Downpayment

The maximum loan amount for a Purchase and Rehab mortgage is 97% of the purchase price plus rehabilitation costs or the estimated value of the home after rehabilitation (whichever is less). A 3% downpayment is required.

Other Restrictions

To qualify for a Purchase and Rehab mortgage, you must

  • Have a signed Purchase and Sales Agreement for a 1- to 4-family home
  • Be creditworthy
  • Have housing debt of less than 33% of your income and total monthly debt of less than 41% of your income
  • The minimum rehabilitation amount for all property types is $7,500
  • Rehabilitation costs include the cost of repairs, as well as such expenses as inspection fees, title update fees, and a required contingency reserve equal to 10% of the total rehabilitation cost
  • A mortgage payment reserve not to exceed four mortgage payments may be included in the cost of rehabilitation if the property will not be occupied during rehabilitation
  • The lender may charge fees as high as $900 based on the cost of rehabilitation
  • Licensed contractors must complete all rehabilitation work
  • At the time of loan closing, the borrower will be responsible for the full mortgage payment on the total principal amount

Loan Terms

  • The minimum rehabilitation amount for all property types is $7,500
  • Rehabilitation costs include the cost of repairs, as well as such expenses as inspection fees, title update fees, and a required contingency reserve equal to 10% of the total rehabilitation cost
  • A mortgage payment reserve not to exceed four mortgage payments may be included in the cost of rehabilitation if the property will not be occupied during rehabilitation
  • The lender may charge fees as high as $900 based on the cost of rehabilitation
  • Licensed contractors must complete all rehabilitation work
  • At the time of loan closing, the borrower will be responsible for the full mortgage payment on the total principal amount