Idaho Housing and Finance Association > Housing Stimulus > Neighborhood Stabilization Program (NSP1)

Neighborhood Stabilization Program (NSP1) Program Details

The State of Idaho has been awarded $19.6 million from the 2008 Housing & Economic Recovery Act to distribute toward the acquisition and rehabilitation of foreclosed or abandoned property in targeted areas throughout Idaho. Idaho Housing and Finance Association is the administrator of the Neighborhood Stabilization Program (NSP1) grant for the State of Idaho. Funds are used for homebuyer activities and/or rental properties for special needs housing. The participating Partners that have been selected through an application process are Non-Profits and City Municipalities throughout the State of Idaho. Each home must be an REO (foreclosed) property purchased at a 1% discount and repaired (as needed) using NSP1 Federal funds. Each Partner has set aside funds specific to each property for Homeownership Assistance to the new buyer which can be used to help fill the financing gap and/or interest write downs and/or closing costs. The final amount of NSP Homeownership Assistance is based on the purchaser’s “need” and will be determined by the IHFA NSP Grant Department at the time of underwriting. For a list of NSP1 Program Partners and their contact information, click here.

Program highlights:
• Targeted areas of greatest need in Idaho: Ada County, Bannock County, Bonneville County, Canyon County, Kootenai County, and Twin Falls County
• Income restrictions: up to 120% of Area Median Income
• Do not have to be a first-time homebuyers
• Must use IHFA-approved Lender/Broker (see underwriting highlights below for additional details). No subprime loan activity allowed.
• IHFA REO properties are ineligible for purchase under the Neighborhood Stabilization Program
• Homebuyers are required to complete the “classroom” Finally Home! program for homebuyer education

Note: If you are purchasing a home through the Neighborhood Stabilization Program, you must take the “in-person” Finally Home!® course! The “online” Finally Home!® course does not satisfy the Neighborhood Stabilization Program requirements. Click here for Finally Home!® class schedules statewide.

Questions may be directed to:

Karen Frings, project coordinator, karenf@ihfa.org (208) 331-4785 or Shelley Wallace, project coordinator/team leader, shelleyw@ihfa.org (208) 331-4708, Jeff Holmes, underwriter, jeffh@ihfa.org (208) 331-4759, or Diana Gastanaga, processor, dianag@ihfa.org (208) 331-4878

Please submit all submission packages to nsp@ihfa.org.

Please Note: All documents below require Acrobat Reader for viewing.

Homebuyer Property Activity - Required Lender forms for Homeownership Assistance:

NSP1 Underwriting Highlights

NSP1 Submission Checklist/Order

NSP1 Income Calculation Worksheet

NSP1 2012 50% and 120% AMI Limits

NSP1 2011 50% and 120% AMI Limits

NSP1 Sources/Uses Form

NSP1 Borrower Affidavit (English)

NSP1 Borrower Affidavit (Spanish)

NSP1 Voluntary Sale Disclosure (English)