Initiatives to Support Low- to Moderate-Income Loans Sold into MAP®
In line with our mission to support housing opportunities for low- to moderate-income (LMI)* borrowers, the Federal Home Loan Bank of New York (FHLBNY) has enhanced the Mortgage Asset Program (MAP®) to make it more advantageous for our members to underwrite these loans and sell them into MAP.
Current initiatives include:
MAP PFIs can also take advantage of the following MAP updates:
The FHLBNY designed this option to help members better address housing affordability challenges by offering greater flexibility in delivering loans that serve LMI borrowers.
Under the best-efforts commitment, sellers agree to deliver a loan for a specific borrower and property by the commitment expiration date. If the loan is not delivered to the FHLBNY, the seller is not charged a pair-off fee** for non-delivery—helping reduce financial risk and encouraging the origination of more affordable housing loans.
Key Benefits Include:
- Supports PFIs that do not or cannot hedge their mortgage origination pipeline.
- Helps PFIs serve LMI borrowers and promote sustainable homeownership by minimizing risk exposure.
- Enhances MAP’s competitiveness with Government-Sponsored Enterprise (GSE) programs by providing Best-Efforts Delivery Commitments while maintaining the pricing advantages typically associated with Mandatory execution.
How to Participate:
To take advantage of this LMI best-efforts delivery option, members must identify the member loan number beginning with “LMI” and include the subject property address in the description field of the Delivery Commitment template within the MAP Connect System.***
MAP LMI Loan Info
The FHLBNY offers tiered pricing based on loan size for fixed 30-year delivery commitments. Since LMI loans typically have lower loan balances, you can further take advantage of our more competitive MAP pricing for lower-balance loans.
Did you know that you can sell loans in which the borrower used the FHLBNY Homebuyer Dream Program® (HDP®) grant into MAP? In addition, these loans may qualify for the supplemental credit enhancement for LMI mortgages. Contact us for more information.
Note: Loans made through HDP® Plus may be sold into MAP; however, they do not qualify as LMI loans and will not receive supplemental funding. Loans made through HDP Wealth Builder also may qualify for supplemental funding – please refer to program guidelines.
* “LMI” refers to primary occupancy conventional conforming loans where the qualifying income of the loan is 80% or less than the estimated Area Median Income (AMI).
** The fee assessed for failure to deliver Mortgage Loans according to the terms of the Delivery Commitment.
*** If a non-LMI loan is delivered under an LMI DC or a Duplicate DC matching a prior DC (address) is opened, an Adverse Delivery fee may be assessed for delivery and the PFI would be contacted.
Note: The funding for MAP HomeAssist, LPMI Reimbursement, and LMI Supplement Credit initiatives will be distributed on a first-come, first-served basis until the allotted funds are exhausted. MAP HomeAssist may not be combined with LPMI Reimbursement. MAP HomeAssist may be combined with the FHLBNY's Homebuyer Dream Program® (HDP®) grant but cannot be combined with HDP Plus and HDP Wealth Builder.
Key Contacts
Relationship Managers
(212) 441-6700
FHLBNY@fhlbny.com
MAP® Login
Fact Sheet
