New Program Launch: NewHome Rate Advantage

Dear Participating Lenders:

Housing New Mexico is pleased to announce the launch of the NewHome Rate Advantage Program, a new pilot initiative designed to help more New Mexicans achieve homeownership while supporting the purchase of newly constructed homes throughout the state.

Beginning with reservations on Monday, July 27, 2026, approved participating lenders will be able to offer eligible borrowers a permanent 1.00% interest rate buydown on a fixed-rate 30-year first mortgage through Housing New Mexico's HomeForward program. This benefit does not require repayment and provides borrowers with lower monthly mortgage payments for the life of their loan. Limited funding exists and is subject to change.

Program Highlights

Permanent 1.00% interest rate buydown on a fixed-rate 30-year first mortgage.
Borrowers must meet HomeForward household income limits and purchase price limits.
Eligible properties must be newly constructed, site-built detached or attached homes that have not been previously occupied.
Program is only available through Housing New Mexico’s list of approved, participating lenders
Homes must serve as the borrower's primary residence. Eligible properties may be located anywhere in New Mexico, including Federally Designated Tribal Land.
The optional HomeForward Down Payment Assistance (DPA) program remains available for eligible borrowers, providing up to 3% of the home's sales price to assist with the down payment.

We appreciate your continued partnership in expanding affordable homeownership opportunities across New Mexico. Together, we can help more families achieve the dream of owning a home while supporting the growth of new housing throughout our communities. To better serve our lenders with the details of how this new program will work, we encourage you to attend one of two training sessions that will be hosted by our Homeownership Representatives:

Session 1: Wednesday, July 22, 2026, 9:00 a.m. MDT - Join Here
Session 2: Thursday, July 23, 2026, 10:00 a.m. MDT - Join Here

Should you have questions, please contact a member of the Housing New Mexico Homeownership Department at 505-843-6880 or by e-mail at: singlefamily@housingnm.org.

Thank you for participating in Housing New Mexico | MFA programs.