The 2021 Homeownership Set-aside Program (HSP) is set to open on March 1, and FHLBank has important information to share with you.
HSP MEMBER REGISTRATION AGREEMENT
Members that registered to participate in the 2020 HSP will automatically be registered to participate in 2021 and any subsequent HSP funding periods which subsidies are available. If your institution did not register to participate in 2020, contact us at hsp@fhlbtopeka.com for registration instructions.
FIRST-TIME HOMEBUYER DEFINITION
The first-time homebuyer definition has been updated to require all borrowers, co-borrowers and co-owners of the transaction to meet the FHLBank first-time homebuyer criteria. In addition, homebuyers that are divorced but only owned a residence with a former spouse no longer qualify as first-time homebuyers. Please review the updated definition below to ensure adherence to program guidelines:
First-time Homebuyer - All borrowers, co-borrowers and co-owners of the transaction, who do not own and are not investors in another residence, and who wish to purchase a home that will be their primary residence. In addition, the homebuyer(s) must meet any one of the following criteria:
- Have had no ownership in a residence during the prior three-year period ending on the date of purchase of the property;
- Have only owned a residence not permanently affixed to a permanent foundation in accordance with applicable Regulations;
- Has only owned a property that was not in compliance with State, local or model building codes and which cannot be brought into compliance for less than the cost of constructing a permanent structure; or
- Is a household displaced as a result of a Federally Declared Disaster (as designated by FEMA) within 24 months of the reservation date.
HSP TRAINING OPPORTUNITIES
Mark your calendar for the HSP webinar on February 17, 2021 at 10 a.m. The webinar will focus on basic 2021 HSP information and the questions that members most commonly ask about the program. Contact hsp@fhlbtopeka.com for webinar instructions. A recording will be available here after Wednesday, February 17.
Members that plan to participate in the 2021 HSP are encouraged to access and read training materials already available on the HSP Resources tab of the website.
For questions regarding HSP, contact us at hsp@fhlbtopeka.com or toll-free at 866.571.8155.
