The Mortgage Process

Habitat Mortgage Product

  • 3.0% fixed interest rate, 3.0538% APR

  • 30 year term

  • Affordable monthly housing payment set at no more than 30% of gross income

  • No mortgage insurance

  • Maximum mortgage of 96.5% of home’s value – down payment and affordability assistance available depending on income qualification and availability.

  • Borrower contribution of $3,000 towards closings costs (not including owner’s title insurance if the homebuyer chooses to purchase)

Application Requirements

  • Complete Twin Cities Habitat for Humanity’s Homeownership Program

  • Meet our income eligibility guidelines between 30%-80% of Area Median Income

  • Be a first-time Homebuyer (haven’t owned property in the past three years)

  • Currently live in the 7-county metro area

  • Purchase a primary residence

Homeownership Program Income Guidelines 

Underwriting Requirements for Approval

  • Preferred credit score of 620 – Credit scores between 580-620 or invisible/no credit acceptable with alternative credit documentation

  • $6,300 in savings

  • Total monthly debt payments no more than 13-15% of gross monthly income

  • No outstanding liens or judgments

  • Minimum of one year at current job, two years if self-employed

  • Minimum of two years since bankruptcy, with 24 months of re-established credit

  • Minimum of three years since foreclosure or short sale

  • Maximum of $1,000 in outstanding collections ($3,000 maximum if medical collections)

mortgage process infographic cropped.png

Other Helpful Links & Resources

 View Habitat Homes For Sale

View our current home listings. These listings are updated each month to show newly-added properties and homes that have sold.

View Listings

We can help you with the mortgage process

Each family that applies for a mortgage with TCHFH Lending, Inc. must meet application and underwriting requirements for approval. If you don't meet these requirements today, that's okay! Twin Cities Habitat's financial advisors can help you get there.

Questions about our mortgage product?

Sample Mortgage Terms

Estimated First Mortgage $175,000
Fixed Interest Rate  3.0%
APR (Annual Percentage Rate) 3.0538% 
Monthly Principal and Interest Payment
   *Monthly payment estimates quoted reflect the principal and interest portion of the payment and do not include homeowner’s insurance, property taxes, or maintenance fund, which are also required to be paid.
$737.81 
Term  30 Years 
Borrower Down Payment  $0.00 
Borrower-Paid Closing Costs 
   *Borrower’s contribution to closing costs does not include the owner’s title insurance policy if the homebuyer chooses to purchase.
 $3,000
 Please note that our rates and terms can change at any time.