TDHCA Breaks Ground with Innovative Public-Private Partnership
The Texas Department of Housing and Community Affairs (TDHCA) is setting aside $10 million in low interest rate mortgage loan funds for a new homebuyer initiative designed for low- to moderate-income households with slight blemishes on their credit history, it was announced at a news conference today. The Departments Texas First Time Homebuyer Program will make these home loans available to eligible households through local lenders utilizing Fannie Maes Expanded Approval mortgage option.
TDHCA is in a pioneering role as the first state housing finance agency in the country to participate in Fannie Maes Expanded Approval initiative through its single family mortgage revenue bond program. Through this program, ten percent of the $100 million in mortgage funds from the Departments bond proceeds released last month will be available to households with a less than perfect credit history at lower rates than they would receive under alternative financing arrangements.