Special Attention Bulletin

• Adds a first-time homebuyer eligibility requirement under the WISH program.
• Establishes the Homeownership Preservation Subsidy (HPS), a pilot homeownership set-aside program.  The HPS program will provide matching grants that Bank members can use to restructure mortgage loans for eligible low- and moderate-income homeowners who may be at risk of foreclosure on their primary residence because of unaffordable increases in their monthly mortgage payments. A description of the program, on pages 10-15 of the AHP Implementation Plan, offers information that members can review to determine whether they have customers who may be eligible for the program. The HPS application and related materials will be available on the Bank’s website by the end of March. In the meantime, if you are interested in applying for the program, please contact the Bank’s Relationship Manager, Tom Wilson, at 415-616-2748.

• With respect to the First-Time Homebuyers criterion, revises the text to eliminate scoring credit consideration for rental projects with “lease-to-own” features. Only owner-occupied projects will receive points in this category.  
• With respect to the Community Stability criterion, revises the general text to add a reference to “sustainable building techniques or standards.” Adds “rental projects with homeownership conversion plans” to Stability Features. Eliminates “location-efficient mortgages,” and the concepts of “promoting walkability and efficient land use,” from the Smart Growth development practices. Increases the range of points possible from 2 to 3 for each of the 5 elements under Smart Growth.