Common use of Down Payment Assistance Clause in Contracts

Down Payment Assistance. The City or its agent shall directly, or shall cause the Lender to, provide a down payment assistance to the mortgagor at Mortgage Loan closing (the “Assistance”) to eligible borrowers. Such Assistance shall be applied to the down payment on a Mortgage Loan and/or to closing costs. As described in the Administrator’s Guidelines and the Program Administration Agreement, the Assistance is initially repayable as a second mortgage loan, which over time such portions of the loan are forgiven such that portions of the Assistance are not repayable by the borrower.

Down Payment Assistance. The City or its agent shall directly, or shall cause the Lender to, provide a down payment assistance to the mortgagor at Mortgage Loan closing (the “Assistance”) to eligible borrowers. Such Assistance shall be applied to the down payment on a Mortgage Loan and/or to closing costs. As described in the Administrator’s Guidelines and the Program Administration Agreement, the Assistance is initially repayable as a second mortgage loan, which over time such portions of the loan are forgiven such that portions of the Assistance are may not repayable by the borrower.