ONE+Boston Program to Increase Discounts for Income-Eligible First-Time Buyers in Boston
The City of Boston, Massachusetts Housing Partnership (MHP) and Massachusetts Affordable Housing Alliance (MAHA) are pleased to announce an increase in the discounts for the ONE+Boston Program, a strategic initiative aimed at enhancing homeownership opportunities for income-eligible first-time buyers within the city. Leveraging funding from the Community Preservation Act (CPA) and the American Rescue Plan Act (ARPA), ONE+Boston will increase the interest rate discounts on 30-year fixed-rate mortgage loans through the Massachusetts Housing Partnership's (MHP) ONE Mortgage Program. This initiative will empower low- and moderate-income first-time buyers, enabling them to purchase market-rate as well as deed-restricted properties in Boston.
"I am pleased about this development in our ongoing efforts to make homeownership dreams a reality for the residents of Boston,” said Sheila Dillon, Chief of Housing. “Through the collaborative efforts of the City of Boston, Massachusetts Housing Partnership (MHP), and Massachusetts Affordable Housing Alliance (MAHA), we are increasing the discounts for the ONE+Boston Program. This strategic initiative is a testament to our commitment to empowering first-time buyers. Together, we are making Boston an even better place to call home."
Under the ONE+Boston Program, qualified borrowers below 80% of the Area Median Income (AMI) will now receive an interest rate reduction of two percentage points on their loans, while borrowers between 80% and 100% AMI will benefit from a one percentage point reduction. This financial support will be funded by the City of Boston and administered by MHP, making homeownership more accessible and affordable for Boston residents.
"In response to the most challenging home purchase market in decades, MHP is excited to partner with the City of Boston, MAHA, and our participating lenders to deliver yet another innovative financing solution for low- and moderate-income first-time homebuyers,” said Elliot Schmiedl, Director of Homeownership at MHP. “The program’s enhanced terms will help hundreds of families realize their dreams of owning a home, and help to build generational wealth for years to come."
“MAHA is so happy to see our members’ community organizing efforts continue to deliver concrete results for homebuyers. These deeply discounted mortgages will put the stability and security of homeownership within reach for many families who would otherwise be priced out. We are grateful to our amazing partners - the city of Boston, MHP, and participating lenders - for working with us to adapt to the high-cost housing market in Boston”, said Hillary Pizer, Associate Executive Director at MAHA.
To ensure transparency and compliance, the ONE+Boston Program will be governed by a program agreement between MHP and participating lenders, who will offer eligible ONE Mortgage loans at discounted interest rates. Lenders will also be required to repay MHP a portion of the MHP Discount Payment if applicable loans are satisfied within the first two years, ensuring that the program's benefits continue to serve the community. Eligible properties under the ONE+Boston Program include market-rate and deed-restricted single-family homes, condominiums, and two- and three-family homes, as long as they do not exceed the nationwide Fannie Mae loan limits.
To apply for the program, borrowers will follow the same process as for the ONE Mortgage Program, working with participating lenders. Lenders will submit funding reservation and pre-qualification requests through MHP's eS2 loan processing system, with MHP conducting a manual review to ensure program compliance.
Funding assistance through the ONE+Boston Program, including down payment and interest rate discounts, may not exceed $75,000 per borrower. This assistance is designed to complement the existing ONE Mortgage Program and help first-time homebuyers overcome financial barriers to homeownership.
To be eligible for the ONE+Boston Program, borrowers must qualify for MHP's ONE Mortgage Program, be current Boston residents, and be purchasing property within the City of Boston. Non-residents who are working in Boston or have been displaced from the city in the past two years due to high rental costs may also qualify.
Borrowers must meet underwriting requirements, including minimum credit scores and qualifying ratios, as specified by the ONE Mortgage Program guidelines.
About the Mayor’s Office of Housing (MOH)
The Mayor’s Office of Housing is responsible for housing people experiencing homelessness, creating and preserving affordable housing, and ensuring that renters and homeowners can obtain, maintain, and remain in safe, stable housing. The department develops and implements the City of Boston’s housing creation and homelessness prevention plans and collaborates with local and national partners to find new solutions and build more housing affordable to all, particularly those with lower incomes. For more information, please visit the MOH website.
About the Massachusetts Housing Partnership (MHP)
MHP is a statewide public nonprofit affordable housing organization that works in concert with the Governor and the Executive Office of Housing and Livable Communities (EOHLC) to help increase the supply of affordable housing in Massachusetts. For more information, visit www.mhp.net.
About the Massachusetts Affordable Housing Alliance (MAHA)
MAHA is a nonprofit organization that provides comprehensive first-time homebuyer and homeowner education programs, civic engagement, and community organizing in order to break down the barriers facing first-time and first-generation homebuyers. Since 1985, our campaigns have resulted in affordable mortgages for over 26,000 low- and moderate-income homebuyers and over $10 billion in public and private investment in affordable housing. To learn more, visit www.mahahome.org.
