Land Home Financial Services (LHFS) Power Purchase 2% Program – Conventional & Conventional MH

Special Alert

Maximum Purchase Price

Inquire for Details

Contact Info:


Credit Score Requirements

Minimum Credit Score: 620

Deferred Payments?

Accepted First Mortgage Type:

Freddie Mac Home Possible

Homeowners Education Class:


Is Forgivable?


3000 Counties, 41 Cities Nationwide Program, excluding the state of New York and Washington.

Income Limitations:

Yes, based on Qualifying (1003) Income Income limits from FHFA/GSE 2022 80% AMI guidelines Loans submitted to LPA must NOT exceed 80% AMI for the location of the Mortgaged Premises. Income limits are based off credit qualifying income reported on the 1003. All eligible income must be used in income limit calculation regardless of need. Manipulation of income to meet the income limit is not acceptable.

Maximum Assistance

2% of Purchase Price DPA is in the form of a grant that is forgiven at closing. DPA is calculated off sales price or appraised value, whichever is lower.

Education Requirements Info:

• At least one borrower must participate in a homeownership education program before the Note date. • Homeownership education must not be provided by an interested party to the transaction, LHFS, or by the seller. • Homeownership education programs may use different formats and require different lengths of time to complete. The following are acceptable: 1. Programs developed by HUD-approved counseling agencies, Housing Finance Agencies (HFAs) or Community Development Financial Institutions (CDFIs) 2. Programs developed by mortgage insurance companies 3. Programs that meet the standards of the National Industry Standards for Homeownership Education and Counseling. • As an alternative to the programs listed above, LHFS allows CreditSmart® which meets the homeownership education requirements, provided: • The borrower completes the on-line Credit Smart® – Steps to Homeownership Tutorial, which includes: ❑ Module 1 (Your Credit and Why It Is Important) ❑ Module 2 (Managing Your Money) ❑ Module 7 (Thinking Like a Lender) ❑ Module 11 (Becoming a Homeowner) and ❑ Module 12 (Protecting Your Investment) • The financial literacy curriculum is not provided by an interested party to the transaction, the originating lender or by the seller. • A copy of Exhibit 20, Homeownership Education Certification, or another document (such as the CreditSmart® – Steps to Homeownership certificate of completion) containing comparable information must be retained in the mortgage file.

Eligible Property Types:

Single Family Detached Condo Townhome/PUD Manufactured Home

Income By Household Size:

HH1-8 $133,680 *Income limits as of 04/21/2023

Qualifying Ratios:

Housing Ratio: — Total DTI: Up To 45%