COLUMBUS – November 1, 2013 – (RealEstateRama) — The Ohio Housing Finance Agency (OHFA) announced a shift from traditional bond financing for its First-Time Homebuyer (FTHB) program to a new Market Rate approach. Under the new Market Rate Initiative, OHFA’s FTHB loans are subject to the market’s current interest rate and may change daily or intra-day to adjust with market fluctuations.
Through its FTHB program, OHFA offers fixed-rate 30-year mortgages for qualified buyers with low- to moderate-incomes. The Agency administers this program through the issuance of tax-exempt Mortgage Revenue Bonds (MRBs) that are sold to investors at reduced interest rates. OHFA has issued more than $11 billion in MRBs and empowered more than 143,000 households throughout Ohio to achieve homeownership since 1983.
“The volatility of the mortgage market and decreasing revenue from the sale of mortgage bonds necessitated an evolving approach to funding OHFA’s First-Time Homebuyer program,” said OHFA Executive Director Doug Garver. “The new Market Rate Initiative will allow OHFA to remain competitive and design niche programs to reach more Ohio families wishing to experience the dream of homeownership.”
Enhancements to the existing FTHB program are included with the launch of the initiative. In an effort to achieve sustainable homeownership, all loans issued by the Agency now require homebuyers to complete OHFA’s Streamlined Homebuyer Education within 15 days after the reservation.
Visit www.ohiohome.org to learn more about OHFA’s FTHB program and loan products.
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About the Ohio Housing Finance Agency
OHFA is a self-supporting quasi-public agency governed by an eleven member board. The Agency uses federal and state resources to provide housing opportunities for families and individuals through programs designed to develop, preserve and sustain affordable housing throughout the state of Ohio. OHFA is also the administrator of the state’s foreclosure prevention program, Save the Dream Ohio.
Media Contact: Arlyne Alston
Email: aalston (at) ohiohome (dot) org