Pub. 1 2012 Issue 7

Program Highlights › Limited to $60,000,000 of outstanding loans at any given time. (Not $60M annually.) » $2,000,000 limit per developer borrower. » Not-for-pro t adult care home loans amortized for no more than twenty years. » All other housing loans amortized for no more than ve years. › Banking partners responsible for determining eligibility of borrower. › Banking partner assumes full liability for lack or repayment or default of loan. › State charges a minimum of .5% and a maximum of 2% below the benchmark rate, which is the yield to maturity of the current 1-year (12-month) bullet Federal Agency security and is currently .25%. The minimum applies anytime when the benchmark rate is below 2.5%. › Rate charged by state to the lender is adjusted every 6 months. › Banks may charge the borrower up to 4% on top of state rate. › Legislation limits the cost of single-family dwellings or multifamily residential dwellings of four attached living units or less. Learn More Learn more about the program: KansasStateTreasurer.com/housing. KANSAS HOUSING LOAN DEPOSIT PROGRAM History The Kansas Housing Loan Deposit Program was designed to provide capital to banks so that they could make low cost loans for the construction of homes. In 2010, the program was expanded to include multi-family dwellings and renovating existing homes. Home loans were limited to ve years. During the 2012 legislative session, SB 40 passed allowing non-for-pro t adult care homes as an eligible borrower. The change also allowed their loans to be amortized over a 20-year period. Contact the Treasurer’s o ce for more information: lucinda@treasurer.ks.gov • 785·296·3171