New Mexico Mortgage Finance Authority allocates $5.5 million from New Mexico Housing Trust Fund for new FirstDown Plus down payment assistance loan program
ALBUQUERQUE, N.M. – In an effort to help more New Mexicans purchase a home, the New Mexico Mortgage Finance Authority (MFA) will offer a new down payment assistance loan program beginning Jan. 12. FirstDown Plus is a third mortgage down payment assistance loan designed to provide $15,000 in additional down payment funds to first-time homebuyers qualified to use MFA’s FirstHome program.
The MFA Board of Directors unanimously approved the FirstDown Plus loan program at its November meeting, and MFA has allocated $5.5 million from the New Mexico Housing Trust Fund for the program.
“FirstDown Plus is yet another mortgage program we offer to assist New Mexicans with purchasing a home and start building wealth,” said Isidoro Hernandez, MFA Executive Director/CEO. “The higher home prices and interest rates have made homeownership more challenging, and the $15,000 made available under this program will facilitate homeownership for many qualifying New Mexicans. I encourage homebuyers to visit our website and find a participating lender to determine eligibility and start the process.”
Over the past five years, MFA has helped an average of 2,000 New Mexico families per year become homeowners with its down payment assistance programs.
Previous homeowners who have not owned and occupied a home as their primary residence during the past three years may also be eligible for the program.
Following are more details about the new program:
FirstDown Plus must be used in conjunction with MFA’s FirstHome (first mortgage) and FirstDown (second mortgage) programs.
Borrower eligibility requirements are the same for FirstHome, FirstDown and FirstDown Plus.
FirstDown Plus provides a fixed amount of $15,000 in the form of a 10-year, non-amortizing loan with a 0% interest rate. The loan has no monthly payments and will be forgiven if the borrower continually occupies the home for a full 10-year period and does not sell, refinance, transfer the title, rent out or otherwise vacate the property.
The $15,000 must be used exclusively for down payment.
FirstDown Plus is a loan, not a grant.
Details about the FirstDown Plus program will be available on the MFA website Jan. 12. For more information about any of MFA’s Homeownership Programs, please visit housingnm.org/homebuyers.