I received the following via email today regarding the current state of the West Virginia Housing Development Fund. This comes as no surprise at this time, and as I think back on the history of this loan program, the same thing occurred in the early ninety's. The current bond offering of 5.79 % (APR 6.389%) could not possibly continue during this stormy credit climate.
I urge all those affected to attend the workshop hosted by WVHDF in Martinsburg on October 9, 1:00 pm to 3:00 pm at the Holiday Inn on Foxcroft Avenue.
MEMORANDUM
TO: All Correspondent & Participating Lenders
FROM: David Rathbun, Senior Director
DATE: October 1, 2008
SUBJECT: Urgent-New Program Announcement
Temporary QMB Bond Program Pause
Those following the financial news recognize the mortgage industry is currently facing difficult times. WVHDF is not immune from the tightening of credit and the crisis on Wall Street. Given the current state of the financial markets, the WVHDF cannot successfully market bonds to support our QMB single family program at affordable rates for borrowers. As a result, we must temporarily pause our QMB Bond program once our current bond funds of approximately $4.5 million are depleted. Funds remaining will be updated on our daily rate sheet. Please rest assured that all borrowers currently registered are accounted for and will be fully funded as their loans are approved. Also, please know we are working diligently to reestablish our QMB Bond program with all the benefits you have known and relied upon.
Debbie,
Timing is EVERYTHING!
I've been working with a client who was hoping to use WVHDF. A single mom who used to own a townhouse in VA, was going to be eligible for this program by the end of the month. I've encouraged her to talk to her lender about what her options are now...
Attending the workshop you referenced is a top priority! Thanks for the info!