Income Limits and Maximum Purchase Price
MBOH sells tax-exempt Mortgage Revenue Bonds (MRB) to investors in order to finance the First-time Homebuyer Program. These MRBs are subject to federal regulation. These federal regulations require that MBOH impose both income limits and purchase price limits on First-time Homebuyer Program loans.
The Income Limits generally change on an annual basis, usually in the spring of each year. The limits may vary based on the county in which the home is located. Your total gross household income cannot exceed the limits in effect at the time you close on your loan.
The Purchase Price Limits may or may not change each year. When determining the total purchase price of a home you must include all amounts paid to acquire the home, such as any repair costs, the cost of acquiring the land (if new construction), etc. If you are obtaining the home from a friend, employer or relative (non-arm's length transaction), the appraised value will be considered to be the purchase price.
The Purchase Price Limits may vary based on the county in which the property is located.
