HHF Oregon Date: January 31, 2018

B-1-1

SERVICE SCHEDULE B-1

Oregon Affordable Housing Assistance Corporation

Loan Modification Assistance Program

Summary Guidelines

The program was unfunded as of June 6, 2013.
B-2-1

SERVICE SCHEDULE B-2

Oregon Affordable Housing Assistance Corporation

Mortgage Payment Assistance Program

Summary Guidelines

1. Program Overview This schedule applies to applications initiated after the 

effective date of the Seventeenth Amendment to 

Commitment to Purchase Financial Instrument and HFA 

Participation Agreement. 

The Mortgage Payment Assistance Program is intended to help 

homeowners maintain their existing mortgage and eliminate the 

immediate risk of foreclosure. The Program will provide 

monthly payments in full to lenders/servicers. Borrowers must 

certify their continued eligibility at least quarterly.

The Program offers two pathways to assistance: one for 

unemployed homeowners and one for underemployed 

homeowners.

2. Program Goals The purpose of this program is to provide temporary relief from 

mortgage payments for unemployed and underemployed 

homeowners while they work to obtain income sufficient to 

support the mortgage. The Program will maintain an existing 

mortgage and eliminate the immediate risk of foreclosure.

3. Target Population/ 

Areas

The Program will be available in all counties in Oregon for 

unemployed or underemployed homeowners.

4. Program Allocation 

(Excluding 

Administrative 

Expenses)

$193,574,627.17

5. Borrower Eligibility 

Criteria

Unemployed Pathway:

The borrower must be receiving unemployment insurance 

benefits at the time of initial application.

Underemployed Pathway:

The borrower must have a current household income equal to or 

less than 140 percent of state median income.

The borrower must have experienced a verifiable loss of income 

of 10 percent or more.
B-2-2

Unemployed/Underemployed Pathways:

The borrower must complete and sign a financial hardship 

affidavit attesting to the prior loss of income or other applicable 

financial hardship.

The borrower, in connection with a mortgage or real estate 

transaction, cannot have been convicted, within the last 10 years, 

of any one of the following: (A) felony larceny, theft, fraud or 

forgery, (B) money laundering or (C) tax evasion.

6. Property/Loan 

Eligibility Criteria

Unemployed/Underemployed Pathways:

The subject property must be a 1-4 unit, single-family, owneroccupied, primary residence and be located in Oregon.

Unemployed Pathway:

The unpaid principal balance of the borrower’s first-lien 

mortgage cannot exceed the Federal Housing Administration 

loan limit, as effective on November 18, 2011, for the county in 

which the subject property is located.

Underemployed Pathway: 

The unpaid principal balance of the borrower’s first-lien 

mortgage cannot exceed the Federal Housing Administration 

loan limit for calendar year 2013, as effective on November 19, 

2012, for the county in which the subject property is located 

unless certain qualifying conditions are met as defined in the 

program guidelines. In no instance can the unpaid principal 

balance of the borrower’s first lien mortgage exceed $729,750. 

7. Program Exclusions Unemployed/Underemployed Pathways:

The borrower cannot be in active bankruptcy. 

The borrower’s first-lien mortgage cannot be a home equity line 

of credit, land sale contract, or otherwise privately financed 

mortgage.

The borrower cannot own other residential real property.

The subject property cannot be a condominium or townhome, 

unless certain qualifying conditions are met as defined in the 
B-2-3

program guidelines.

8. Structure of 

Assistance

The Program is envisioned as a revolving fund. The Program 

will make a five-year, non-recourse, zero-percent, forgivable, 

non-amortizing loan for which a junior lien will be recorded 

against the property. Twenty percent of the loan will be forgiven 

for each year the loan is outstanding. If the property is sold or 

refinanced prior to the loan termination date, the Program will 

recover funds should sufficient equity be available from the 

transaction. The Program shall recycle recovered funds in order 

to provide additional program assistance in accordance with the 

Agreement.

9. Per Household 

Assistance 

A maximum of $20,000.

10. Duration of 

Assistance

12 months.

11. Estimated Number of 

Participating 

Households

It is estimated that 13,400 homeowners will receive assistance.

12. Program Inception/ 

Duration

The Program began in December 2010 and is expected to last 

until September 2019, subject to continuing demand for the 

program and availability of funding.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

The Program will operate in conjunction with the Reinstatement 

Benefit of the Loan Preservation Assistance Program.

14. Program Interactions 

with HAMP

As outlined in Fannie Mae Lender Letter LL-2010-12, Freddie 

Mac Bulletin 2010-25 and the Making Home Affordable 

Program Handbook for Servicers of Non-GSE Mortgages 

(version 4.1), borrowers who receive Program assistance during 

a HAMP trial period plan will be terminated from HAMP.

15. Program Leverage 

with Other Financial 

Resources

Servicers will not charge administrative fees (e.g., NSF, late 

charges) in any month where a full contract payment is made.
B-3-1

SERVICE SCHEDULE B-3

Oregon Affordable Housing Assistance Corporation

Loan Preservation Assistance Program

Summary Guidelines

1. Program Overview The Loan Preservation Assistance Program is intended to help 

homeowners remain in good standing under their existing 

mortgage, reverse mortgage or property tax account. Funds 

provided through this Program will be provided to 

lenders/servicers and county tax authorities to bring a delinquent 

account current. Eligibility will be determined by staff 

representing OAHAC.

There are four principal tiers of benefit provided under the 

Program:

(A) Reinstatement Benefit: For homeowners with a qualifying 

arrearage who receive funding under the Mortgage Payment 

Assistance program.

(B) Preservation Benefit: For homeowners with a qualifying 

arrearage who can demonstrate the ability to sustain their loan 

payments going forward.

(C) Property Tax Benefit: For homeowners who have a property 

tax arrearage, and can demonstrate the ability to sustain their 

property tax payments going forward. Payments will be made to 

county tax authorities.

(D) Reverse Mortgage Benefit: For homeowners with a HECM 

reverse mortgage that have had property taxes, homeowner’s 

insurance and/or homeowner or condo association fees and/or 

assessments (collectively, Property Charges) advanced by their 

servicer and who can demonstrate the ability to sustain their 

Property Charges going forward. Funds will be used to (i) repay 

the amounts advanced on their behalf by their mortgage loan 

servicer, including Property Charges and (ii) advance the 

estimated amount of upcoming Property Charges for up to 

twenty-four (24) months, to enable the homeowner to recover 

from their hardship.

Maximum benefit is $40,000 from any combination of LPA 

benefits: Reinstatement, Preservation, Property Tax or Reverse 

Mortgage benefit.

2. Program Goals To help homeowners remain in good standing under their 

mortgages, reverse mortgages and property tax accounts by 

bringing delinquent accounts current. The program is designed 
B-3-2

to preserve existing homeownership, reduce the risk of imminent 

foreclosure, and help stabilize the housing market.

3. Target Population/ 

Areas

The program will be available in all counties of Oregon for 

homeowners with a qualifying arrearage related to their 

mortgage, reverse mortgage or property taxes.

4. Program Allocation 

(Excluding

Administrative 

Expenses)

$36,496,871.19

5. Borrower Eligibility 

Criteria

Reinstatement Benefit:

The borrower must have been approved under the Mortgage 

Payment Assistance program, subject to certain limitations in the 

program guidelines. 

Preservation Benefit:

The borrower must have a current household income equal to or 

less than 140 percent of state median income and demonstrate a 

gross monthly income-to-PITIA ratio not to exceed 45 percent.

Property Tax Benefit:

The borrower must have a current household income equal to or 

less than 140 percent of the state median income and 

demonstrate a gross monthly income-to-housing expense ratio, 

as defined in program guidelines, not to exceed 45 percent.

Reverse Mortgage Benefit:

The borrower must have a current household income equal to or 

less than 140 percent of state median income and demonstrate a 

gross monthly income-to-Property Charge ratio not to exceed 45 

percent.

* * *

In addition to the foregoing, borrowers receiving a benefit under 

this program (i) must complete and sign a financial hardship 

affidavit attesting to the prior loss of income or other applicable 

financial hardship, and (ii) cannot have been convicted, within 

the last 10 years, of any one of the following in connection with 

a mortgage or real estate transaction: (A) felony larceny, theft, 

fraud or forgery, (B) money laundering or (C) tax evasion.
B-3-3

6. Property/Loan 

Eligibility Criteria

The subject property must be a 1-4 unit, single-family, owneroccupied, primary residence located in Oregon.

Reinstatement Benefit:

The unpaid principal balance of the borrower’s first-lien 

mortgage cannot exceed the Federal Housing Administration 

loan limit, for calendar year 2013, as effective on November 19, 

2012, for the county in which the subject property is located.

Preservation, Property Tax, and Reverse Mortgage Benefits:

The existing property valuation may not exceed $625,000.

Reverse Mortgage Benefit:

The property must be subject to a reverse mortgage serviced by a 

HUD-approved HECM servicer or a regulated financial 

institution.

* * *

Lender/Servicer or tax authority, as applicable, will be required 

to (i) provide timely communication of the homeowner’s account 

data to OHSI, (ii) place collection and foreclosure activity on 

hold upon the acceptance of the homeowner into the Hardest Hit 

Fund Program, and (iii) cancel active foreclosure action upon 

receipt of Hardest Hit Funds.

7. Program Exclusions The borrower cannot be in active bankruptcy. 

The borrower’s mortgage being paid through HHF funds cannot 

be a home equity line of credit, land sale contract, or otherwise 

privately financed mortgage.

The borrower cannot own other residential real property.

8. Structure of 

Assistance

The Program will make a five-year, non-recourse, zero-percent, 

forgivable, non-amortizing loan for which a junior lien will be 

recorded against the property. Twenty percent of the loan will be 

forgiven for each year the loan is outstanding. If the property is 

sold or refinanced prior to the loan termination date, the Program 

will recover funds should sufficient equity be available from the 

transaction. The Program shall recycle recovered funds in order 

to provide additional program assistance in accordance with the 

Agreement.
B-3-4

Assistance will be paid to the Lender/Servicer or tax authority, 

as applicable, and applied to the homeowner’s total accrued 

delinquent mortgage payments, escrow shortages, corporate 

advances, delinquent property taxes and / or delinquent 

homeowner or condo association fees or assessments on the 

homeowner’s account.

If assistance is paid directly to the tax authority, the homeowner 

will be required to execute an additional, simultaneous demand 

note in the amount of the delinquent taxes.

9. Per Household 

Assistance 

Reinstatement Benefit:

A maximum of $15,000, subject to certain limitations in the 

program guidelines, for Mortgage Payment Assistance Program 

applications under the Underemployed Pathway.

Preservation Benefit:

A maximum of $40,000 to fully reinstate borrower’s mortgage 

arrearage.

Property Tax Benefit:

A maximum of $40,000 to pay property tax arrearages to the tax 

authority.

Reverse Mortgage Benefit:

A maximum of $40,000 to (i) repay the amounts advanced on the 

borrower’s behalf by their mortgage loan servicer, including 

Property Charges and (ii) advance the estimated amount of 

upcoming Property Charges for up to twenty-four (24) months, 

to enable the homeowner to recover from their hardship.

All Benefits:

A maximum of $40,000, subject to certain limitations in the 

program guidelines, for any combination of LPA benefits (e.g., 

Reinstatement, Preservation, Property Tax or Reverse 

Mortgage).

10. Duration of Assistance Assistance is a one-time payment paid directly to the Lender / 

Servicer or tax authority, for application to the homeowner’s 

account as provided above.

11. Estimated Number of 

Participating 

It is estimated that 8,900 homeowners will receive assistance.
B-3-5

Households

12. Program Inception/ 

Duration

The Program began in May 2012 and is expected to last until 

September 2019, but may extend beyond that date depending on 

demand for the program and availability of funding.

13. Program Interactions 

with Other Programs 

(e.g. other HFA 

programs)

The Program’s Reinstatement Benefit will operate in 

conjunction with the Mortgage Payment Assistance program. 

14. Program Interactions 

with HAMP

Homeowners can receive assistance under HAMP prior to or 

after receiving assistance under the Hardest Hit Fund. However, 

Hardest Hit Fund assistance cannot be used to pay HAMP trial 

period payments. The foregoing is subject to HAMP 

requirements and investor guidelines in effect from time to time.

15. Program Leverage 

with Other Financial 

Resources

If the loan is reinstated, servicers will waive all administrative 

fees accrued since the beginning of the delinquency.
B-4-1

SERVICE SCHEDULE B-4

Oregon Affordable Housing Assistance Corporation

Transition Assistance Program

Summary Guidelines

The program was unfunded as of December 8, 2011.
B-5-1

SERVICE SCHEDULE B-5

Oregon Affordable Housing Assistance Corporation

Loan Refinancing Assistance Pilot Project

Summary Guidelines

1. Program Overview This schedule applies to applications initiated after the effective 

date of the Seventeenth Amendment to Commitment to Purchase 

Financial Instrument and HFA Participation Agreement.

The Loan Refinancing Assistance Pilot Project will target 

Oregon homeowners with negative equity mortgages, who have 

recovered from unemployment, underemployment or financial 

distress and show the capability to pay a mortgage payment 

based on a principal amount reflective of the current market 

value of the home. There are two structures that will be utilized 

to accomplish the refinance, depending on restrictions affecting 

the loan holder.

Loan Purchase Structure: Under the Loan Purchase Structure, 

OAHAC, after review and approval by Oregon Housing and 

Community Services (OHCS), will provide funding for the 

purchase of loans on behalf of homeowners. All as part of one 

concurrent and seamless transaction, the loan will be purchased 

in accordance with a funding agreement with OAHAC, for a 

price that is at or below the current appraised value and at least 

10 percent below the current unpaid principal balance of the 

loan. A new, affordable loan based on a principal amount equal 

to or lesser than the home’s current appraised value will be 

originated.

Short Sale Structure: The Short Sale Structure will be utilized in 

the event the holder of the loan is subject to certain restrictions, 

operationally and/or legally, with respect to a loan sale 

transaction. In this scenario, OAHAC will utilize its contractor, 

Further 2 Development LLC (“Further”), to facilitate a short 

sale. All as part of one concurrent and seamless transaction, the 

home will be sold to Further for a price that is at or below the 

current appraised value and at least 10% below the current 

unpaid principal balance of the loan. Title to the home will be 

transferred to Further and then back to the homeowner through a 

newly originated affordable loan for the homeowner at a 

principal amount equal to or lesser than the home’s current 

appraised value. That new loan will be assigned to OHCS, in 

accordance with a funding agreement with OAHAC.

The end result will be the same under either structure: the 

homeowner remains in the home with a new, affordable loan. 
B-5-2

2. Program Goals The Loan Refinancing Assistance Pilot Project’s goals are to 

assist homeowners escape negative equity situations, help to 

slow the ongoing decline in property value, and provide 

approved homeowners with reliable, affordable, sustainable 

mortgages.

3. Target Population/ 

Areas

The Program will be available in select Oregon counties and 

focus exclusively on homeowners who have recovered from a 

financial hardship, are saddled with negative equity mortgages, 

and demonstrate the capability to pay a loan refinanced to an 

amount that is equal to or less than the home’s current value.

4. Program Allocation 

(Excluding 

Administrative 

Expenses)

$12,000,000.00

5. Borrower Eligibility 

Criteria

The borrower must have a current household income equal to or 

less than 150 percent of state median income. A borrower who 

has a loan financed in whole or in part by bonds that are tax 

exempt under IRC section 143 is presumed to satisfy income 

limits.

The borrower must demonstrate the ability to meet standard 

payment ratios for at least the home’s current appraised value.

The borrower must complete and sign a financial hardship 

affidavit attesting to the prior loss of income or other applicable 

financial hardship.

The borrower, in connection with a mortgage or real estate 

transaction, cannot have been convicted, within the last 10 years, 

of any one of the following: (A) felony larceny, theft, fraud or

forgery, (B) money laundering or (C) tax evasion. The borrower 

must meet criteria as defined in program guidelines.
B-5-3

6. Property/Loan 

Eligibility Criteria

The subject property must be an owner-occupied, primary 

residence and be located in Oregon.

The subject property must be a one-unit, single-family residence 

that is not a condominium. 

The unpaid principal balance of the borrower’s first-lien 

mortgage cannot exceed $499,000.

Loans must be purchased at or below appraised market value of 

the home.

The new loan cannot have a debt-to-income ratio in which PITIA 

is greater than 35 percent of total income and total household 

debt is greater than 45 percent of total income. Exceptions to the 

maximum debt-to-income ratio may be considered based on the 

borrower’s creditworthiness. 

Loans can only be purchased if the lender/servicer has 

discounted the price of the loan by at least 10 percent of the 

current unpaid principal balance.

The loan must meet criteria as defined in the program guidelines.

7. Program Exclusions The borrower cannot be in active bankruptcy.

The borrower’s first-lien mortgage cannot be a home equity line 

of credit, third party contract, or other private party loan.

The borrower cannot own other residential real property.

Employees of contractor Further.

8. Structure of 

Assistance

The new mortgage will be for a term of 30 years, carry a fixed 

interest rate (to be set by OAHAC and applied uniformly for all 

borrowers) and the loan amount will be set at an amount equal to 

or less than the current appraised value of the home.

The Program is setup as a revolving fund generating revenue in 

excess of the original allocation to fund additional loans. It is 

expected that OHCS will sell or refinance these loans at some 

point before December 31, 2020. The Program shall recycle 

recovered funds in order to provide additional program 

assistance, or cover costs associated with the management of the 

portfolio, in accordance with the Agreement.
B-5-4

9. Per Household 

Assistance 

The initial average household assistance amount is estimated to 

be $135,000. Following repayment, refinance, or sale of the 

portfolio including interest received and gains realized, estimated 

household assistance amount could range from $20,000 to 

$40,000. 

10. Duration of Assistance Assistance will be provided in a one-time transaction to close the 

new affordable loan with high touch servicing.

Any required counseling will be provided by HUD-approved

agencies using non-HHF resources.

11. Estimated Number of 

Participating 

Households

It is estimated that 200 homeowners will receive assistance. If 

market conditions support continued program viability and the 

portfolio can be revolved at a favorable price before December 

31, 2020, program funds could be revolved to help additional 

homeowners.

12. Program Inception/ 

Duration

The program began in October 2011 and is expected to last until 

December 2019.

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

It is expected that this HHF investment will leverage $30 million

in permanent mortgages. Additionally, any gains realized 

through third-party mortgage refinancing or secondary mortgage 

market loan sales due to discounts received at the time of 

transaction will be reinvested throughout the program period.
B-6-1

SERVICE SCHEDULE B-6

Oregon Affordable Housing Assistance Corporation

Rebuilding American Homeownership Assistance Pilot Project

Summary Guidelines

1. Program Overview The Program will provide funds to assist homeowners who have 

minimal or negative equity and are seeking to refinance their 

existing loans.

Under the Program, funds will be provided at closing to be used 

to fund a new mortgage. 

2. Program Goals To allow homeowners to refinance into a new loan that will 

permit the homeowner to rebuild equity in their home faster than 

their existing mortgage loan(s) currently allow, or to lower their

monthly payment amount.

3. Target Population/ 

Areas

The Program will be available in selected pilot counties per 

program guidelines.

4. Program Allocation 

(Including 

Administrative 

Expenses)

$15,000,000.00

5. Borrower Eligibility 

Criteria

The borrower must demonstrate a gross monthly income-toPITIA ratio not to exceed 45 percent.

The borrower must complete and sign a financial hardship 

affidavit attesting to the prior loss of income or other applicable 

financial hardship.

The homeowner, in connection with a mortgage or real estate 

transaction, cannot have been convicted, within the last 10 years, 

of any one of the following: (A) felony larceny, theft, fraud or 

forgery, (B) money laundering or (C) tax evasion.

The borrower must meet certain creditworthiness standards as 

defined in program guidelines.
B-6-2

6. Property/Loan 

Eligibility Criteria

The subject property must be a one-unit, single-family, owneroccupied, primary residence and be located in Oregon.

The unpaid principal balance of all of the borrower’s mortgage 

liens cannot exceed 80 percent of the Federal Housing 

Administration loan limit for calendar year 2016, as effective on 

November 17, 2015, for the county in which the subject property 

is located.

The borrower must not have any payment 30 days late or more 

within the past 6 months on each existing mortgage lien.

The borrower must not have more than one payment 30–59 days 

late within the past 12 months on each existing mortgage lien.

The borrower must have a combined loan-to-value ratio between 

95% and 140%.

The borrower must not have any payment 60 days or more late 

within the past 12 months on each existing mortgage lien.

The interest rate of the borrower’s first-lien mortgage must meet 

certain standards as defined in program guidelines.

7. Program Exclusions The borrower cannot be in active bankruptcy.

The borrower cannot have any home equity line of credit except 

for a home equity line of credit originated as a second-lien 

mortgage concurrent with the borrower’s first-lien mortgage.

The borrower cannot own other residential real property.

The borrower’s first-lien mortgage cannot be owned or 

guaranteed by Freddie Mac or Fannie Mae.

The borrower cannot have received assistance under any other 

Oregon HHF program.

8. Structure of 

Assistance

The Program is envisioned to fund a new loan to the homeowner 

without providing any principal reduction or principal 

forgiveness. 

Funding from the Program will be structured in one of two ways:

• a new 15-year loan at 4% 

• a new 30-year loan at 5% 
B-6-3

It is the expectation that OHCS will sell or refinance these loans 

at some point before December 31, 2020. OHCS will work with 

Treasury to determine the appropriate disposition for these loans 

before that date. The Program shall recycle recovered funds in 

order to provide additional program assistance or cover costs 

associated with the management of the portfolio in accordance 

with the Agreement.

9. Per Household 

Assistance 

The initial average household assistance amount is estimated to 

be $200,000. Following repayment, refinance, or sale of the 

portfolio including interest received on the portfolio, estimated 

household assistance amount could be as low as $5,000 to 

$15,000.

10. Duration of Assistance Assistance will be provided in a one-time transaction to close the 

new affordable loan.

11. Estimated Number of 

Participating 

Households

It is estimated that 50 homeowners will receive assistance. If the 

portfolio could be revolved at a favorable price before December 

31, 2020, program funds could be revolved to help additional 

homeowners.

12. Program Inception/ 

Duration

The Program began in June 2013 and is expected to last until 

December 31, 2019.

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. 
HHF Oregon Date: January 31, 2018

C-1

SCHEDULE C

PERMITTED EXPENSES

Oregon

One-time / Start-Up Expenses:

Initial Personnel $573,172.00

Building, Equipment, Technology $327,965.00

Professional Services $96,634.00

Supplies / Miscellaneous $7,652.00

Marketing /Communications $2,696.00

Travel $9,789.00

Website development /Translation $36,600.00

Contingency

Subtotal $1,054,508.00

Operating / Administrative 

Expenses:

Salaries $24,494,500.45

Professional Services (Legal, 

Compliance, Audit, Monitoring)

$6,929,840.22

Travel $198,648.09

Buildings, Leases & Equipment $2,374,366.75

Information Technology & 

Communications

$941,939.59

Office Supplies/Postage and 

Delivery/Subscriptions

$1,025,254.70

Risk Management/ Insurance $261,730.00

Training $64,556.89

Marketing/PR $476,716.40

Miscellaneous $10,752.23

Subtotal $36,778,305.32

Transaction Related Expenses:

Recording Fees $3,263,043.60 

Wire Transfer Fees $317,764.71 

Counseling Expenses

File Intake $0.00 

Decision Costs $0.00 

Successful File $16,267,160.01

Key Business Partners On-Going $0.00 

Subtotal $19,847,968.32

Grand Total $57,680,781.64

% of Total Award 18.33%

Award Amount $314,752,280.00