HOMe II offers help to homebuyers

The Homeownership for Me Down-payment Loan program is reopening in Becker County.

This second-mortgage loan is available to qualified buyers for purchase of a home as their primary residence. There are no monthly payments and no interest on the loan, but it must be repaid when the home is sold or at the maturity of the first mortgage.

A loan is available to buyers who are employed and reside in Becker County and who meet income guidelines. Guidelines for family sizes of 1-4 are below – larger families also are eligible.

Household size

80% AMI

Loan Amount

115% SMI

Loan Amount

1 Person

$41,750

Up to $5,000

$84,200

Up to $3,000

2 Person

$47,700

Up to $5,000

$84,200

Up to $3,000

3 Person

$53,650

Up to $5,000

$96,830

Up to $3,000

4 Person

$59,600

Up to $5,000

$96,830

Up to $3,000

The program is being operated by Midwest Minnesota Community Development Corporation (MMCDC). In order to receive a HOMe loan, buyers must qualify for and receive a first mortgage through MMCDC or another source, such as local banks. Income limits are updated annually, based upon federal income guidelines.

“To help ensure long-term success, all HOMe borrowers participate in free homebuyer education and housing counseling,” said Julia Nelmark, MMCDC President and White Earth Investment Initiative CEO.

The effort started with participation in the 2018 Housing Institute offered by Minnesota Housing Partnership (MHP), a statewide affordable housing nonprofit. Home Ownership for Me resulted from their discussions, which focused in part on housing needs of the Becker County workforce.

“The Homeownership for Me program is a perfect example of how local stakeholders can work collaboratively to address housing needs in their community.” Barbara Dolan, MHP Community Development Manager.

Participants in the 2018 Minnesota Housing Partnership Housing Institute in Detroit Lakes included the Becker County Economic Development Authority, Essentia Health, the Detroit Lakes Regional Chamber of Commerce, Mahube-Otwa Community Action Partnership, the City of Frazee, the City of Detroit Lakes, Midwest Bank, Detroit Lakes Housing and Redevelopment Authority, and MMCDC. Funding providers have included Becker County EDA, Detroit Lakes Development Authority, City of Frazee, Essentia Health, BTD and Arvig.

For more information, contact MMCDC’s Home Loan Division at 847-3191 or go to www.mmcdc.com.