HHF South Carolina Date: October 1, 2018

SERVICE SCHEDULE B-1

SC State Housing Finance and Development Authority

Monthly Payment Assistance Program

Summary Guidelines

1. Program Overview The Monthly Payment Assistance Program will assist eligible 

households that are experiencing a temporary reduction in income 

or financial hardship by making the full monthly first mortgage 

payment for a specified period of time or until the Assistance cap 

is reached. This Program will give eligible households the time 

and opportunity to replace lost income and/or make other 

household financial adjustments and decisions while remaining 

current on first mortgage payments. Eligibility will be reevaluated 

periodically during the assistance period. 

2. Program Goals To bridge eligible borrowers across a gap in employment, other 

temporary reduction in income, or catastrophic financial expenses, 

allowing them to stay current on their mortgage and avoid 

foreclosure. 

3. Target Population/ 

Areas

This Program will be available in all 46 counties in South Carolina, 

and is intended to assist borrowers with a short-term affordability 

problem.

4. Program Funds 

(Excluding 

Administrative 

Expenses)

Not applicable. Program Funds may be disbursed under any 

program included in Schedule B.

5. Borrower Eligibility 

Criteria

• Payment to Income ratio must exceed an affordable level 

as outlined in program and underwriting guidelines. 

• Borrower must provide documentation to evidence 

qualifying hardship per program guidelines.

• All final eligibility determinations will be made by SCHC.

• Funds will be available on a first-come first served basis.

• Borrowers must not exceed the following liquid asset 

requirement for each eligible hardship: 

o For employment-related, death of a spouse or coborrower or divorce related hardships, assets cannot 

exceed 12 times the monthly payment. 

o For catastrophic financial expenses, assets cannot 

exceed 6 times the monthly payment.

An eligible borrower must have at least one of the following 

qualifying financial hardships:

• Unemployment

• Underemployment
B-1-2

• Significant reduction in self-employment income

• Death of a Spouse or co-borrower

• Divorce

• Catastrophic financial expenses

Additional eligibility criteria:

• To qualify as unemployed, a borrower must be unemployed 

and receiving unemployment insurance (“UI”) payments as 

administered by the State of South Carolina, or 

unemployed with available UI benefits exhausted within 

the previous 12 months. 

• To qualify as underemployed, a borrower must show a 

minimum 20% reduction in available household income.

• To qualify as self-employed with a significant reduction in 

income, a borrower must show that gross receipts for a 

primary borrower’s business have been reduced a 

minimum of 20%.

• To qualify for death of a spouse or co-borrower, a borrower 

must show a minimum 20% reduction in the available 

household income.

• To qualify for divorce, a borrower must demonstrate a 

minimum 20% reduction in the available household 

income.

• To qualify for catastrophic financial expense, a borrower 

must show that the catastrophic financial expense occurred 

through no fault of their own. Borrowers with an affordable 

payment to income ratio may be evaluated on a case by case 

basis as set forth in the program guidelines.

o Catastrophic financial expense must be at least 3 

times the monthly mortgage payment. 

o No portion of the assistance received as a result of 

a catastrophic financial expense hardship shall be 

reimbursed from other funding sources, including 

any subsidy or insurance reimbursement.

6. Property/Loan 

Eligibility Criteria

• Eligible loans must be fixed term, amortizing loans, and the 

original loan amount cannot exceed $729,750.

• Eligible properties must be owner-occupied 1-4 family primary 

residences located in South Carolina.

7. Program Exclusions Borrowers without a documented eligible hardship as described 

above in Section 5.
B-1-3

8. Structure of 

Assistance

Assistance under this Program will be provided in the form of a 

nonrecourse zero-percent interest, non-amortizing, forgivable loan 

secured by a subordinate lien on the subject property. The loan 

will be forgiven over a five (5) year period at a rate of 20% per 

year. If property is sold or refinanced prior to the loan termination 

date, funds will be recovered should sufficient equity be available 

from the transaction.

Any loan payoff proceeds will be recycled for use within the 

Program and used to provide assistance to additional homeowners 

in accordance with the Agreement. 

9. Per Household 

Assistance 

Assistance under this Program will be capped at $36,000 per 

household. The sum of assistance provided through all Programs 

when a household is participating in multiple Programs is capped 

at $36,000 per household.

Expected Median: $17,000.

10. Duration of Assistance Assistance under this Program for employment related, death of a 

spouse or co-borrower and divorce hardships will be capped at 24 

months.

Assistance received for catastrophic related financial expenses will 

be capped at 6 months. 

11. Estimated Number of 

Participating 

Households

It is expected that that 7,000 – 8,000 families will be assisted 

under this Program.

12. Program Inception/ 

Duration

This Program was originally rolled out statewide on January 20, 

2011 and is expected to be available for 84 to 96 months.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

This Program will interact with:

• Direct Loan Assistance Program - Households that are 

delinquent at the time monthly assistance begins may be 

eligible for Direct Loan Assistance to help with any 

arrearage that exists. 

• Property Disposition Assistance Program - Households 

that are not self-supporting after exhausting allowable 

funding under this Program may be eligible for the 

Property Disposition Assistance Program.

• Total Assistance for households participating in multiple 

Programs is capped at $36,000 per household.
B-1-4

14. Program Interactions 

with HAMP

The Program could effectively “hand off” the borrower to HAMP 

once the borrower is reemployed, if required. Households 

successfully coming out of the Program may be eligible for 

HAMP to obtain a permanent modification.

The funds from this Program would be utilized prior to UP. 

Implementing the Program in this order is most beneficial to the 

borrower and the investor since payments would continue to be 

made instead of capitalized and no late charges or adverse credit 

report would occur. Should the borrower still be unemployed 

after the assistance from this Program ends, they may be eligible 

to roll into UP. 

Beneficiaries who participated in UP prior to making application 

to SC HELP would be eligible to participate in this Program.

It is also expected that this Program may act as a front-end 

extension of existing forbearance with deed-in-lieu wrap 

programs.

15. Program Leverage 

with Other Financial 

Resources

None. 
B-2-1

SERVICE SCHEDULE B-2

SC State Housing Finance and Development Authority

Direct Loan Assistance Program

Summary Guidelines

1. Program Overview In some cases borrowers may have fallen behind on their 

mortgage payments, and have since regained the ability to make 

the full payment, or are eligible for funding under the Monthly 

Payment Assistance (“MPA”) program and have an accrued 

arrearage owed to the lender. Under the Direct Loan Assistance 

Program, funding in the form of a one-time payment will be 

provided to bring such loans current. Funds may also be made 

available for principal reductions ancillary to a reinstatement and 

to reduce or eliminate any forbearance in order ensure long-term 

affordability.

2. Program Goals To help borrowers become current on their mortgage during or 

following a brief interruption or reduction in income and to 

ensure long-term affordability.

3. Target Population/ 

Areas

This Program will be available in all 46 counties in South 

Carolina.

4. Program Funds 

(Excluding 

Administrative 

Expenses)

Not applicable. Program Funds may be disbursed under any 

program included in Schedule B.

5. Borrower Eligibility 

Criteria

An eligible borrower must have at least one of the following 

qualifying hardships:

• Unemployment

• Underemployment

• Significant reduction in self-employment income

• Death of a spouse or co-borrower

• Divorce

• Catastrophic health-related expenses or income

interruption

Additional Eligibility criteria:

• Payment to Income ratio must not exceed an affordable 

level as outlined in program and underwriting guidelines 

unless borrower is approved for funding under the MPA 

program.

• Borrower must provide documentation to evidence 

qualifying hardship per program guidelines.
B-2-2

• Borrower must demonstrate that circumstances that led to 

the delinquency have been resolved unless borrower is 

approved for funding under the MPA program.

• All final eligibility determinations will be made by SCHC.

• Funds will be available on a first-come first served basis.

6. Property/Loan 

Eligibility Criteria

• Eligible loans must be fixed term, amortizing loans and the 

original loan amount cannot exceed $729,750.

• Eligible properties must be owner-occupied 1-4 family 

primary residences located in South Carolina.

7. Program Exclusions Borrowers without a documented eligible hardship as described 

above in Section 5.

8. Structure of 

Assistance

Assistance under this Program will be provided in the form of a 

nonrecourse zero-percent interest, non-amortizing, forgivable 

loan secured by a subordinate lien on the subject property. The 

loan will be forgiven over a five (5) year period at a rate of 20% 

per year. If property is sold or refinanced prior to the loan 

termination date, funds will be recovered should sufficient equity 

be available from the transaction.

Any loan payoff proceeds will be recycled for use within the 

Program and used to provide assistance to additional homeowners 

in accordance with the Agreement.

9. Per Household 

Assistance 

Assistance under this Program will be capped at $36,000 per 

household for eligible borrowers deemed INELIGIBLE for the 

MPA program.

Assistance under this Program will be capped at $25,000 per 

household for eligible borrowers also deemed ELIGIBLE for the 

MPA program.

The sum of assistance provided through all Programs when a 

household is participating in multiple Programs is capped at 

$36,000 per household.

Expected Median: $8,000.

10. Duration of Assistance Program is a one-time payment per household.

11. Estimated Number of 

Participating 

Households

It is expected that that 11,000 – 12,000 families will be assisted 

under this Program.
B-2-3

12. Program Inception/ 

Duration

This Program was originally rolled out statewide on January 20, 

2011 and is expected to be available for 84 to 96 months.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

This Program will interact with the following South Carolina 

HFA Hardest-Hit Fund Programs: 

• Monthly Payment Assistance Program – Households with 

an arrearage and a temporarily reduced level of income 

may be eligible for the Program and the MPA program to 

cure the immediate delinquency and to insure that further 

delinquencies are not incurred.

• Property Disposition Assistance Program - Households 

that are not self-supporting after exhausting allowable 

funding under this Program may be eligible for the 

Property Disposition Assistance Program.

• Total Assistance for households participating in multiple 

Programs is capped at $36,000 per household.

14. Program Interactions 

with HAMP

Households successfully coming out of the Program may be 

eligible for HAMP to obtain a permanent modification.

15. Program Leverage 

with Other Financial 

Resources

Servicer/Investor will be required to waive all non-expense fees 

(i.e. late fees). 
B-3-1

SERVICE SCHEDULE B-3

SC State Housing Finance and Development Authority

Modification Assistance Program

Summary Guidelines

1. Program Overview The majority of lenders in South Carolina are offering troubled 

borrowers the opportunity to modify their loans under certain 

circumstances, with the most notable of these programs being 

the Home Affordable Modification Program (“HAMP”). 

Under the Modification Assistance Program, funding in the 

form of a one-time payment will be provided to help borrowers 

qualify for a modification, a recast (re-amortization) of their 

outstanding first mortgage principal balance, or a full lien 

extinguishment to improve a borrower’s likelihood of long 

term mortgage sustainability. 

Funds provided under this Program can be used to reinstate 

delinquent amounts, reduce or eliminate any forbearance 

amounts, provide limited reductions in outstanding first 

mortgage principal or fully extinguish liens.

2. Program Goals To improve a borrower’s likelihood of receiving a 

modification or lower payment, and to help ensure long term 

affordability for eligible borrowers.

3. Target Population/ 

Areas

This Program will be available in all 46 counties in South 

Carolina.

4. Program Funds

(Excluding 

Administrative 

Expenses)

Not applicable. Program Funds may be disbursed under any 

program included in Schedule B.

5. Borrower Eligibility 

Criteria

Eligible borrowers must have a program eligible financial 

hardship due to unemployment, loss of income, reduction of 

income, or other demonstrated financial hardships through no 

fault of their own. Borrowers will be required to provide 

documentation to support the hardship. 

Additional eligibility criteria:

• Borrower must be employed or receiving income from 

a fixed income source.

• Current housing debt-to-income ratio must be greater 

than 25%.

• Post-assistance housing debt-to-income ratio must be 

less than or equal to 45%. 
B-3-2

• Borrower must meet all additional requirements 

established by the servicer.

Borrowers primary source of income - fixed - may be eligible 

for a full lien extinguishment, recast or modification: 

• Gross household income is equal to or less than 125% 

of the state median income limit for South Carolina. 

Borrowers primary source of income – all other sources - may 

be eligible for a recast or modification:

• Pre-assistance LTV must be greater than 80%.

• Post-assistance LTV must be equal to or greater than 

80%.

• Post-assistance LTV may go below 80% if no more 

than $20,000 in assistance is provided for principal 

reduction in order to achieve a post assistance housing 

debt-to-income ratio between 25% and 45%. 

Funds will be allocated on a first-come/approved, first-served 

basis. Borrowers must meet program underwriting criteria. 

6. Property/Loan 

Eligibility Criteria

• Eligible loans must be fixed term, fully amortizing, and the 

original loan amount cannot exceed $729,750.

• Eligible properties must be owner-occupied 1– 4 family 

primary residences located in South Carolina.

7. Program Exclusions • Borrowers without a documented eligible hardship as 

described above in Section 5.

• Borrowers have previously received funding through the 

Direct Loan Assistance and/or the Monthly Payment 

Assistance programs in an amount that exceeds limits as 

defined in underwriting guidelines for each program.

8. Structure of 

Assistance

Assistance under this Program will be provided in the form of 

a nonrecourse zero-percent interest, non-amortizing, forgivable 

loan secured by a subordinate lien on the subject property. The 

loan will be forgiven over a ten (10) year period at a rate of 

20% per year starting after the end of the sixth (6th) year. If 

property is sold or refinanced prior to the loan termination 

date, funds will be recovered should sufficient equity be 

available from the transaction.

Any loan payoff proceeds will be recycled for use within the 

Program and used to provide assistance to additional 

homeowners in accordance with the Agreement. 
B-3-3

9. Per Household 

Assistance 

Assistance under this Program will be capped at $36,000 per 

household.

Expected Median: $25,000.

10. Duration of 

Assistance

Program is a one-time payment per household.

11. Estimated Number of 

Participating 

Households

It is expected that 350 - 450 families will be assisted under this 

Program. 

12. Program Inception/ 

Duration

This Program was rolled out in January 2014, and is expected 

to run for 48 to 60 months.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

This Program will interact with the following South Carolina 

HFA Hardest-Hit Fund Programs:

• Monthly Payment Assistance Program - Households 

that are not self-supporting after exhausting allowable 

funding under the Monthly Payment Assistance 

Program may be eligible for this Program, subject to 

any previous assistance caps defined in underwriting 

guidelines.

• Direct Loan Assistance Households that are not selfsupporting after exhausting allowable funding under 

the Direct Loan Assistance Program may be eligible 

for this Program, subject to any previous assistance 

caps defined in underwriting guidelines.

14. Program Interactions 

with HAMP

This Program can be used in conjunction with HAMP to 

improve a borrower’s likelihood of success and to help ensure 

long term affordability for borrowers.

15. Program Leverage 

with Other Financial 

Resources

Servicer/Investor will be required to waive all non-expense 

fees (i.e., late fees). 
B-4-1

SERVICE SCHEDULE B-4

SC State Housing Finance and Development Authority

Property Disposition Assistance Program

Summary Guidelines

1. Program Overview There may be a segment of borrowers whose position is 

unrecoverable, and who need assistance in gracefully exiting 

homeownership. The Property Disposition Assistance Program 

will be used to assist households who are able to complete a short 

sale or deed-in-lieu of foreclosure. The funds are provided as a 

one-time payment and are intended to provide deposits and other 

funds needed to transition from homeownership to renting. 

2. Program Goals To assist households who are able to complete a short sale or 

deed-in-lieu of foreclosure by providing deposits and other funds 

needed to transition from homeownership to renting. 

3. Target Population/ 

Areas

This Program will be available in all 46 counties in South 

Carolina, and is intended to assist borrowers with a long-term or 

permanent affordability problem with little expectation for 

financial recovery.

4. Program Funds 

(Excluding 

Administrative 

Expenses)

Not applicable. Program Funds may be disbursed under any 

program included in Schedule B.

5. Borrower Eligibility 

Criteria

• Borrower must provide documentation to evidence qualifying 

hardship per program guidelines.

• Delinquency event must be ongoing with little or no 

expectation for financial recovery (i.e. prolonged underemployment, divorce, death of a spouse, etc.). 

• Application for assistance must be completed prior to 

completion of short sale or deed-in-lieu of foreclosure.

• Short sale or deed-in-lieu of foreclosure must be complete 

prior to final approval and funding.

• All final eligibility determinations will be made by SCHC.

• Funds will be available on a first-come first served basis.

6. Property/Loan 

Eligibility Criteria

Eligible properties must be owner-occupied 1– 4 family primary 

residences located in South Carolina.

7. Program Exclusions Borrower receiving assistance under the Home Affordable 

Foreclosure Alternative (HAFA) Program.
B-4-2

8. Structure of 

Assistance

Assistance under this Program will be provided directly to the 

homeowner, and will not be structured as a loan, nor will it be 

secured by the subject property. No payments may be made 

directly to homeowners until a short sale or deed-in-lieu is 

completed.

9. Per Household 

Assistance 

Assistance under this Program will be capped at $5,000 per 

household.

Expected Median: $5,000.

10. Duration of Assistance Program is a one-time payment.

11. Estimated Number of 

Participating 

Households

It is expected that that 350 - 450 families will be assisted under 

this Program. 

12. Program Inception/ 

Duration

This Program will be available statewide during the third quarter 

of 2011. It is expected that it will run for 72 to 84 months.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

This Program will interact with the following South Carolina 

HFA Hardest Hit Fund Programs:

• Monthly Payment Assistance Program - Households that 

are not self-supporting after exhausting allowable funding 

under the Monthly Payment Assistance Program may be 

eligible for this Program.

• Direct Loan Assistance - Households that are not selfsupporting after exhausting allowable funding under the 

Direct Loan Assistance Program may be eligible for this 

Program.

14. Program Interactions 

with HAMP

None. 

15. Program Leverage 

with Other Financial 

Resources

None. 
B-5-1

SERVICE SCHEDULE B-5

SC State Housing Finance and Development Authority

Neighborhood Initiative Program (NIP)

Summary Guidelines

1. Program Overview Under the Neighborhood Initiative Program (“NIP”), the South 

Carolina State Housing Finance and Development Authority 

(“SCSHFDA”) will work with units of local government and 

qualified non-profit organizations (together, “Partners”) to 

strategically target residential (single and multifamily) properties 

for demolition, site improvement, and acceptable reuse within the 

state of South Carolina. 

2. Program Goals The primary purpose and goal of NIP is to decrease foreclosures 

and stabilize homeowner property values in communities across 

South Carolina through the demolition of vacant, abandoned, and 

blighted residential structures, and subsequent 

greening/improvement. SCSHFDA will work with program 

Partners to identify meaningful indicators that will enable them to 

track and quantify the NIP’s impact in the designated 

communities.

3. Target Population/ 

Areas

NIP will be available in all 46 counties in South Carolina, but will 

only be authorized in areas with a demonstrated need and 

comprehensive implementation plan in place. SCSHFDA 

program guidelines will ensure that demolition and 

greening/improvement will promote increased values of 

neighboring properties and will have a positive effect on 

preserving existing neighborhoods.
B-5-2

4. Program Funds

(Excluding 

Administrative 

Expenses)

Not applicable. Program Funds may be disbursed under any 

program included in Schedule B.

5. Property Eligibility 

Criteria

• Vacant, abandoned, and blighted standard residential (1-4 

units) and multifamily residential (4+ units) properties located 

in South Carolina. 

• Properties that qualify for demolition under state and federal 

law.

For any requests submitted on or after January 15, 2016, 

properties must not be legally occupied at the time of any review 

or approval by the HFA or eligible entity (as applicable) for blight 

elimination activity.

Subject to the foregoing, SCSHFDA will determine property 

eligibility using information provided by the participating 

Partners. SCSHFDA’s determination will be based on factors 

including, but not limited to:

• Habitability

• Structural condition

• Impact on community preservation and public safety

6. Ownership/Loan 

Eligibility Criteria

• Participating Partner must hold title to the property (may 

acquire title as part of the NIP transaction). 

• Property must be subject to a loan that can be modified or 

extinguished.

7. Program Exclusions • Commercial (non-residential) structures.

• Properties listed on a national, state, or local historic register.
B-5-3

8. Structure of 

Assistance

SCSHFDA will determine acceptability of project sites (targeted 

neighborhoods, communities, etc.) in direct consultation with 

participating Partners.

Participating Partners will be responsible for property acquisition 

(if applicable), demolition work, final site improvements/site 

greening, and on-going property maintenance.

Partners will submit to SCSHFDA the following for each 

proposed demolition site:

• Property ownership and/or acquisition information including 

full address and deed.

• Pre-demolition inspection with photos. 

• Cost estimates and/or evidence of the expenditures necessary 

to carry out any environmental remediation required by law.

• Any other miscellaneous information identified regarding the 

property (e.g., hazards, adverse findings, easements...etc.).

• Invoice for demolition costs.

• Proof of any acquisition cost (if applicable).

• Post-demolition inspection with photos. 

• Summary post-demolition plan/goal for the property.

Upon receipt of the above documentation, SCSHFDA will 

provide Hardest Hit funding to the participating Partner after said 

Partner’s execution of a mortgage and note in favor of SC 

Housing Corp., which note shall be in an amount equal to the 

total assistance requested. 

Total assistance will provide for acquisition costs (if applicable), 

demolition, final site improvements/site greening costs, a $3,000 

one-time property maintenance fee to cover maintenance 

expenses for a period of three (3) years, and $1,750 for 

administrative expenses. The participating Partner may request up 

to two disbursements per property after meeting project 

milestones as described in NIP guidelines. The mortgage in favor 

of SC Housing Corp. must be executed prior to any disbursement.

The note will be 0%, non-amortizing loan, forgivable over a three 

(3) year term at 33.33% per year as long as covenants are met; 

outstanding balance of loan will be due on sale, transfer, or 

unauthorized use of the property. The mortgage will be recorded 

through public records and ongoing loan servicing (i.e., 

repayments and lien releases) and monitoring will be handled by 
B-5-4

SCSHFDA. Any repayment of NIP funds will be re-invested 

back into the NIP allocation in accordance with the Agreement. 

Special considerations may be made by SCSHFDA to release or 

subordinate its lien prior to the end of the term based on the merit 

of the request and to promote positive economic impact on the 

local community, as set forth in the NIP guidelines.

9. Per Property 

Assistance 

Maximum of $35,000 per residential property. Maximum 

assistance amount includes acquisition costs (if applicable); 

demolition and greening/improvement costs; $1,750 for 

administrative expenses; and a one-time $3,000 maintenance fee 

to cover maintenance expenses for a period of three (3) years.

10. Duration of Assistance One-time assistance per property payable in multiple 

disbursements.

11. Estimated Number of 

Properties Assisted

It is expected that 500 - 800 properties will be served. 

12. Program Inception/ 

Duration

NIP will be available statewide during the third quarter of 2014. 

It is expected that it will run for 60 months.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

NIP will not interact with other SCSHFDA Hardest-Hit Fund 

Programs. SCSHFA-owned or mortgaged properties may be 

eligible under NIP.

14. Program Interactions 

with HAMP

NIP will not interact with HAMP.

15. Program Leverage 

with Other Financial 

Resources

None
B-6-1

SERVICE SCHEDULE B-6

SC State Housing Finance and Development Authority

Down Payment Assistance Program

Summary Guidelines

1. Program Overview The Down Payment Assistance Program (“DPA”) will provide an 

incentive to qualified homebuyers to purchase a primary 

residence in targeted areas in South Carolina that have been 

hardest hit by serious delinquency, negative equity, distressed 

sales and foreclosures. It is designed to strengthen demand in 

those areas, stabilize housing prices and prevent future 

foreclosures. DPA will be offered in twenty-four (24) zip codes 

within three (3) South Carolina counties. 

2. Program Goals To help homeowners avoid foreclosure by strengthening demand 

and stabilizing housing prices in targeted areas. 

South Carolina State Housing Finance and Development 

Authority (SCSHFDA) will identify meaningful indicators to 

measure and track DPA’s impact in the targeted areas.

3. Target Population/ 

Areas

Targeted areas will be referred to as “HHF Designated Areas” in 

the SC Housing Homebuyer Program Guide and consist of the 

following twenty-four zip codes: 29006, 29016, 29033, 29040, 

29044, 29052, 29053, 29061, 29063, 29070, 29073, 29104, 

29123, 29128, 29150, 29153, 29154, 29160, 29170, 29172, 

29203, 29204, 29209, 29210.

In selecting the twenty-four zip codes eligible for DPA, 

SCSHFDA evaluated five housing market distress indicators 

across all 46 South Carolina counties (seriously delinquent 

mortgage loans, negative equity, short sales, REO sales, and 

foreclosures), as well as loan origination volume by SCSHFDA. 

Each of these zip codes exceeded the statewide average in at least 

four out of the five distressed housing market indicators, and 

were located in counties that achieved a minimum threshold 

origination volume. 

4. Program Funds 

(Excluding 

Administrative 

Expenses)

Not applicable. Program Funds may be disbursed under any 

program included in Schedule B.
B-6-2

5. Borrower Eligibility 

Criteria

Eligible borrowers must qualify for and meet all requirements of 

the SC Housing Homebuyer Program for first mortgage loans 

originated through a participating lender. Allowable first 

mortgage loans may include 30-year, fixed rate loans from the 

Federal Housing Administration (FHA), Veterans Administration 

(VA), U.S. Department of Agriculture-Rural Development (RD), 

Fannie Mae and Freddie Mac. Eligible borrowers must also meet 

the following criteria: 

• Borrowers must meet income limits that do not exceed 

140% of the Area Median Income (“AMI”), as specified 

in the SC Housing Homebuyer Program Guide. 

• Borrowers must be First-Time Homebuyers as defined in 

the SC Housing Homebuyer Program Guide. 

• Borrowers must complete a pre-purchase homebuyer 

education course approved by SC Housing. 

• Borrowers must be legal residents of the United States.

• Borrowers must provide a Dodd-Frank affidavit as 

specified in the DPA Program Guide. 

• Borrowers must be credit worthy and meet minimum 

FICO scores and maximum debt-to-income ratios as 

specified in the SC Housing Homebuyer Program Guide. 
B-6-3

6. Property/Loan 

Eligibility Criteria

• The property must be an existing, previously occupied,

single-family home (including a condominium unit, 

townhome or manufactured home (permanently affixed to 

a foundation on real estate owned by the borrower and 

taxed as real property)).

• The property must be located in one of the twenty-four 

(24) zip codes identified as HHF Designated Areas. 

• The property must meet purchase price limits as specified 

in the South Carolina First Time Home Buyers Program 

Guide. 

• The property and the loan amount must meet all 

applicable SC Housing Homebuyer Program, FHA, 

USDA-RD or GSE (Fannie Mae or Freddie Mac) 

underwriting guidelines. 

• The borrower must occupy the property as a primary 

residence. 

7. Program Exclusions • Borrowers, properties and loans not meeting the eligibility 

requirements specified in the SC Housing Homebuyer 

Program Guide. 

• The borrower must not have been convicted of a mortgage 

related felony in the past ten years. 

• The assistance cannot be combined with other state down 

payment assistance funds.

• The property must not be new construction. 

• The property must not be a manufactured home that is not 

considered real property. 

8. Structure of 

Assistance

Assistance under the Program will be provided in the form of a 

nonrecourse zero-percent interest, non-amortizing, forgivable 

loan secured by a subordinate lien on the subject property. The 

loan will be fully forgiven ten years after the closing date. If the

property is sold or refinanced before the ten year period expires, 

funds will be recovered should sufficient equity be available from 

the transaction.

Any loan payoff proceeds will be recycled for use within the 

Program and used to provide assistance to additional homeowners 

in accordance with the Agreement. 

9. Per Household 

Assistance 

$15,000

10. Duration of Assistance DPA Program funds will be used to reimburse participating 

lenders who table fund the loan at closing once it is determined 

that all DPA Program requirements have been met. 
B-6-4

11. Estimated Number of 

Participating 

Households

It is anticipated that the DPA Programs will assist approximately 

340 households. 

12. Program Inception/ 

Duration

The DPA Program is expected to begin in early third quarter of 

2018 and is projected to be fully committed by July 2019. 

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

The DPA Program will take advantage of an existing 

infrastructure of participating lenders who are already actively 

originating first mortgage loans as part of the SC Housing 

Homebuyer Program.

14. Program Interactions 

with HAMP

None. 

15. Program Leverage 

with Other Financial 

Resources

A borrower who obtains the $15,000 under the DPA Program 

may also be evaluated for the Mortgage Credit Certificate 

Program (MCC) unless the first mortgage associated with the 

DPA is financed with tax-exempt bond proceeds. However, the 

borrower will not be eligible for any other down payment 

assistance offered by SCSHFDA. 
HHF South Carolina Date: October 1, 2018

C-1

SCHEDULE C

Permitted Administrative Expenses

South Carolina

Total

One-time / Start-Up Expenses:

Initial Personnel $126,004

Building, Equipment, Technology $280,977

Professional Services $148,912

Supplies / Miscellaneous $9,524

Marketing /Communications $1,935

Travel $2,723

Website development /Translation $0

Contingency $0

Subtotal $570,075

Operating / Administrative 

Expenses:

Salaries $10,022,645

Professional Services (Legal, 

Compliance, Audit, Monitoring) $895,296

Travel $173,208

Buildings, Leases & Equipment $641,505

Information Technology & 

Communications $4,886,093

Office Supplies/Postage and 

Delivery/Subscriptions $487,964

Risk Management/ Insurance $200,000

Training $100,000

Marketing/PR $2,544,580

Miscellaneous $573,810

Subtotal $20,525,101

7.10%

Transaction Related Expenses:

Recording Fees $20,000

Wire Transfer Fees $750,000

Counseling Expenses

File Intake $0

Decision Costs $0

Successful File $0

Key Business Partners On-Going $29,445,349

Subtotal $30,215,349

Grand Total $51,310,525

% of Total Award 16.15%

Award Amount $317,672,763