B-1-1

HHF Mississippi Date: June 21, 2019

SERVICE SCHEDULE B-1

Mississippi Home Corporation 

Home Saver Program 

Summary Guidelines

1. Program Overview Mortgage Assistance Option. Mississippi Home Corporation 

(MHC) will offer its Home Saver Program (HSP) to borrowers 

that are unemployed or substantially underemployed, or that 

have experienced a death or divorce of a spouse that resulted 

in at least a 15% reduction in income. MHC will pay 100% of 

the monthly mortgage payment for up to twenty-four (24) 

months.

Borrowers that choose Mortgage Assistance Option are 

eligible for up to a total of $50,000 of arrearage assistance 

which must cover a minimum of twelve (12) months of 

mortgage payments or as specified in the HSP guidelines. A 

cap of $50,000 is the maximum amount permitted for the 

Mortgage Assistance Option.

Reinstatement Option. Homeowners who have fallen behind 

on their mortgage and need help catching up, but who have 

recovered and can now sustain the mortgage can receive up to

$50,000, which can be applied toward delinquent first 

mortgage payments, delinquent property taxes and any accrued 

escrow shortages.

Unemployed, Underemployed and Self-employed borrowers 

will enter the HSP through the intake process of the housing 

counseling agencies. MHC will not limit the monthly 

mortgage payment amount per month, but will limit the total 

HSP assistance to $50,000.

Borrowers experiencing a death or divorce of a spouse that 

resulted in at least a 15% reduction in income will enter the 

HSP through the intake process of the housing counseling 

agencies. MHC will not limit the monthly mortgage payment 

amount per month, but will limit the total HSP assistance to

$50,000. The borrowers will not make any payments.

2. Program Goals The goal of the HSP is to provide borrowers the time 

necessary to improve their chances of finding a job that pays 

them enough to cover their monthly mortgage payments.
B-1-2

3. Target Population / 

Areas

The HSP will allow borrowers in distressed counties, those 

with unemployment rates above 11.4% (Mississippi’s June 

2010 average unemployment rate) to receive up to 6 additional 

months of monthly mortgage payment assistance. Distressed

counties account for 79%, or 65 of Mississippi’s 82 counties.

4. Program Funds 

(Excluding 

Administrative 

Expenses)

Not applicable. Program Funds may be disbursed under any 

program included in Schedule B.

5. Borrower Eligibility 

Criteria

• The borrower must have a monthly mortgage payment that 

they cannot afford due to unemployment or a reduction in 

income due to underemployment that can be documented, 

as specified in the HSP guidelines. All borrowers are 

required to submit a hardship affidavit documenting 

inability to pay their mortgage.

• Job loss, death, or divorce of a spouse that resulted in at 

least a 15% reduction in income had to occur on or after 

January 1, 2008.

• Mortgage must have been made prior to hardship for 

borrowers applying for HSP funds except if borrower is 

seeking to use HAMP UP program, where mortgage must 

have been closed prior to January 1, 2009.

• The unemployed borrower must be eligible to receive or 

have exhausted unemployment compensation from the 

Mississippi Department of Employment Security (MDES) 

or the unemployment insurance fund in another state.

• Self-employed borrowers must be eligible to receive or 

have exhausted unemployment compensation from MDES, 

or be able to document loss of income, as specified in the 

HSP guidelines.

• Borrowers experiencing a death or divorce of a spouse that 

resulted in at least a 15% reduction in income must 

provide a legally recognized death certificate or divorce 

decree.

• The borrower must be a resident of the State of 

Mississippi.

6. Property / Loan 

Eligibility Criteria

• The property must be located in the State of Mississippi.
B-1-3

• The property must be occupied as the borrower’s primary 

residence.

• The property must be a single-family, one- to five-unit 

dwelling, condominium or townhome, must be classified 

as real estate and affixed on a permanent foundation if a 

manufactured or mobile home.

• Mortgage must have been made prior to hardship for 

borrowers applying for HSP funds except if borrower is 

seeking to use HAMP UP program, where mortgage must 

have been closed prior to January 1, 2009.

• The unpaid principal balance of first mortgage must not be 

greater than $271,000.

• Members of the U.S. Armed Forces who have experienced 

any drop in income due to deployment.

7. Program Exclusions • Although a borrower with a second mortgage may be 

eligible for HSP, HSP payments will only be made 

towards the first mortgage.

• Borrowers in active bankruptcy.

• Seasonal workers.

• Servicers that are not a state- or federally-regulated 

financial institution. (effective with applications after 

8/09/2011).

8. Structure of Assistance The HSP will be made available as assistance in the form of a 

five-year, 0% interest, non-recourse, non-amortizing, 

subordinate loan, secured by a junior lien recorded against the 

property, where 20% of the principal will be forgiven each 

year so long as the eligible borrowers continue to occupy the 

house as their primary residence and meet all terms and 

conditions of the loan. This loan will only be repayable if the 

borrower sells the property before the period expires and there 

is sufficient equity to pay the loan. All funds returned to the 

HSP will be returned to the program in accordance with the 

Agreement.

9. Per Household 

Assistance

The estimated median amount that the typical borrower will 

receive is $33,989.64. The maximum amount of assistance 

that a borrower can receive from the HSP is $50,000.
B-1-4

10. Duration of Assistance In non-distressed counties, borrowers can receive: 1) a onetime payment for arrearage accumulated during the period of 

unemployment or substantial underemployment, not to exceed 

the maximum assistance the borrower is eligible for; and 2) up 

to twenty-four (24) months of monthly mortgage payment 

assistance. In distressed counties, borrowers can receive: 1) a 

one-time payment of arrearage accumulated during the period 

of unemployment or substantial underemployment, not to 

exceed the maximum assistance the borrower is eligible for; 2) 

up to twenty-four (24) months of monthly mortgage payment 

assistance; and; 3) up to six (6) additional months for extended 

job search.

Assistance will end when: 1) the HSP term ends; 2) the 

eligible borrower becomes able to resume payments; 3) the 

eligible borrower sells or abandons the property; 4) the 

eligible borrower exhausts the $50,000 maximum assistance 

amount before the term ends, or; 5) an unanticipated event 

occurs deeming the eligible borrower or the property ineligible 

to receive assistance, i.e., death or fire.

11. Estimated Number of 

Participating 

Households

The HSP will assist approximately 5,000 borrowers.

12. Program Inception / 

Duration

MHC will launch a pilot program within thirty (30) days after 

approval from the Treasury, and the full program within one 

hundred twenty (120) days after approval. The HSP will be 

available to offer assistance through December 31, 2020 or 

until funds are exhausted.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

MHC expects that some borrowers will come out of the 

National Foreclosure Mitigation Counseling program, which 

program is not funded with HHF funds.

14. Program Interactions 

with HAMP

Borrowers will still be eligible for HSP funds if eligible under 

HAMP UP. HSP assistance will be available to borrowers 

preceding or following UP assistance.

15. Program Leverage 

with Other Financial 

Resources

MHC will not solicit matching funds for the HSP due to the 

short time frame required to submit the HHF application.
B-2-1

SERVICE SCHEDULE B-2

Mississippi Home Corporation 

Blight Elimination Program 

Summary Guidelines

1. Program Overview Under Mississippi’s Hardest Hit Fund Blight Elimination 

Program (“BEP”), the Mississippi Home Corporation 

(“MHC”) will work with municipalities and county 

governments (together, “Applicants”) and non-profit 

organizations, community development corporations, 

economic development entities, including Planning and 

Development Districts, land banks and for-profit entities 

(collectively, “Program Partners”) to strategically target 

residential properties for demolition and greening within the 

state to remove blighted properties. Applicants must have the 

capacity, knowledge, and demonstrated experience in 

managing blight elimination to be able to apply. Applicants 

must have a contract with a Program Partner that is owner of 

record of the property in order to be eligible for BEP funds.

2. Program Goals The goal of BEP is to reduce foreclosures among neighboring 

properties, and strengthen neighborhood property values.

MHC will work with Applicants and Program Partners to 

identify meaningful indicators to track and quantify the BEP’s 

impact in the designated communities.

3. Target Population / 

Areas

BEP activity will be limited to targeted areas approved by 

MHC that are part of a comprehensive local strategy to

stabilize home values and prevent foreclosures. MHC program 

guidelines will ensure that demolition and 

greening/improvement is designed to increase values of 

neighboring properties and have a positive effect on 

preserving existing neighborhoods.

4. Program Funds 

(Excluding 

Administrative 

Expenses)

Not applicable. Program Funds may be disbursed under any 

program included in Schedule B.
B-2-2

5. Property Eligibility 

Criteria

• Property must be owned by the Program Partner. 

Property owned by the State of Mississippi (i.e., held by 

the Mississippi Secretary of State) must be transferred to 

the Program Partner prior to demolition taking place and 

otherwise meet all requirements of the BEP.

• Applicant must obtain a declaration from a unit of local 

government that the property is condemned, substandard, 

uninhabitable, and/or a nuisance to public health and 

safety based on state law and existing local codes and 

ordinances.

• Property must be residential in nature.

• Property must contain four units or less.

• Property must not be legally occupied at the time of any 

review or approval by MHC for blight elimination activity.

• A minimum 36-month maintenance plan must exist for 

each property after demolition.

6. Ownership / Loan 

Eligibility Criteria

• Title to the property must be held by the Program Partner 

such that an enforceable lien can be granted on the 

property.

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

extinguished.

7. Program Exclusions • Property is listed on a local, state or national historic 

register.

• Property is a residential structure with more than four 

units.

• Property is a commercial or industrial building or contains 

mixed use structures, i.e. structures combining commercial 

and residential space.

8. Structure of Assistance MHC will determine the acceptability of eligible properties as 

described herein and otherwise set forth in the program 

guidelines.

Applicant will be responsible for acquisition of the property 

(if applicable), demolition work, greening/site improvement 

and on-going property maintenance.
B-2-3

The Applicant will submit an application to MHC containing 

the location of the property, neighborhood conditions, 

estimated cost of structure removal, estimated cost of greening 

(if applicable), and the end use of the subject property.

Required documentation must be submitted by the Applicant 

to MHC for review and approval in MHC’s sole discretion 

pursuant to the program guidelines.

Upon completion of blight elimination activity on the property 

and approval by MHC, MHC will provide HHF funds to the 

owner of the property, after the execution of a promissory note 

in favor of MHC. Total assistance will be provided for 

documented expenses associated with acquiring, demolishing, 

greening the property and ongoing maintenance for 36 

months.

Funds will be provided as a non-amortizing loan secured by a 

mortgage in favor of MHC for an amount not to exceed

$25,000, with a 0 % interest rate, as long as MHC’s 

requirements are met. Loans will mature three years after 

their origination date (the “Expiration Date”).

Prior to the Expiration Date, loans will be forgiven at a rate of 

33.33% per annum as long as terms of the BEP are met. The 

unforgiven balance of the loan will be due and payable if the 

property is sold, its title transferred or it is used for an 

unauthorized purpose prior to the Expiration Date, provided 

there are net proceeds. The payoff amount, if any, will be 

provided at the time of sale, transfer or unauthorized use.

Demand notes, loan modification agreements, mortgages and 

any other documentation required by the terms of the BEP 

must be executed by the Applicant and/or Program Partner, as 

applicable.

Any funds returned according to established program 

guidelines will be recaptured and used in the program in 

accordance with the Agreement.

9. Per Property 

Assistance

Maximum amount of $25,000 per property. Any amount over 

the maximum must be paid by the Applicant. MHC expects 

many demolitions to cost less than this maximum amount.

10. Duration of Assistance One-time payment for reimbursement of eligible costs.
B-2-4

11. Estimated Number of 

Participating 

Households

MHC anticipates that approximately 350 homes can be 

demolished statewide at an average cost of $20,000.

12. Program Inception / 

Duration

MHC will launch the program within ninety (90) days after 

approval from the Treasury. The BEP will be available to offer 

assistance through December 31, 2020 or until funds are 

exhausted.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

None.

14. Program Interactions 

with HAMP None.

15. Program Leverage 

with Other Financial 

Resources None.
C-1

HHF Mississippi Date: June 21, 2019

SCHEDULE C

Permitted Administrative Expenses

Mississippi

One-time / Start-Up Expenses:

Initial Personnel $15,000.00

Building, Equipment, Technology $0.00

Professional Services $20,500.00

Supplies / Miscellaneous $0.00

Marketing /Communications $9,973.00

Travel $0.00

Website development /Translation $50,000.00

Contingency $50,017.00

Subtotal $145,490.00

Operating / Administrative 

Expenses:

Salaries

$8,033,000.00

Professional Services (Legal, 

Compliance, Audit, Monitoring)

$2,970,000.00

Travel

$55,000.00

Buildings, Leases & Equipment

$62,000.00

Information Technology & 

Communications

$1,390,000.00

Office Supplies/Postage and 

Delivery/Subscriptions

$57,000.00

Risk Management/ Insurance $0.00

Training

$15,000.00

Marketing/PR

$760,000.00

Miscellaneous

$515,000.00

Subtotal

$13,857,000.00
C-2

Transaction Related Expenses:

Recording Fees

$400,000.00

Wire Transfer Fees

Counseling Expenses

File Intake

$835,000.00

Decision Costs

$900,000.00

Successful File

$800,000.00

Key Business Partners On-Going

$3,676,000.00

Subtotal $6,611,000.00

Grand Total $20,613,490.00

% of Total Award 14.27%

Award Amount $144,416,985.00