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Satisfaction of Second Mortgage for Robert Stephens and Eileen Stephens Through Neighborhood Stabilization Program Purchase Assistance Program
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BRIEF OVERVIEW
Attached is the satisfaction for a loan granted through the Neighborhood Stabilization Purchase Assistance Program to:
* Robert and Eileen Stephens, in the amount of $39,663.00, dated February 1, 2010
Robert and Eileen Stephens received a second mortgage loan from the Neighborhood Stabilization Program (NSP); such loans are provided to qualified homebuyers at zero percent interest. According to the Housing Assistance Plan (HAP) for the NSP program, the loan is forgivable in its entirety at the end of the affordability period. Under section IV.A. of the HAP in effect at the time of the Stephens loan, the affordability period was 10 years because the loan amount was between $15,000 to $40,000. The last paragraph of the NSP mortgage, however, erroneously identified the affordability period as 15 years; it would, thus, still be active. Because of this discrepancy, the Board of County Commissioners is asked to decide the term of the affordability period:
* If following the HAP, the term of the loan would be 10 years, and it would have expired January 31, 2021;
* If following the term per the NSP mortgage, it will not expire until January 31, 2026.
Funds to pay for recording the satisfaction of mortgage in the amount of $10.00 was received and forwarded to the Finance Department for deposit.
FINANCIAL IMPACT
Expense in the amount of $10.00 to satisfy the cost of recording will be charged to:
Fund: 0011 - General Fund, Department: 35089 - HHS/DCA CDBG NSP 3 PGM, Account: 5304924 - Fees/Costs-Permit
LEGAL NOTE
The Board has the authority to act on this matter pursuant to Chapter 125, Florida Statutes.
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RECOMMENDATION
It is recommended that the Board determine the length of the NSP loan. If the decision is to follow the Housing Assistance Plan, the Board should appr...
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