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vi. Approval of first mortgage by a financial institution vii. Attendance and completion of County's Homebuyer's Educational Workshop (receiving the Homebuyer's Educational Workshop Certificate). g. Sponsor Selection Criteria: N/A h. Additional Information: i. Geographic Area Purchase assistance loans may be made anywhere in the county, including all municipalities located within the county. ii. Housing Unit Classification All housing units shall be owner -occupied single family or condominium residences. iii. Purchase assistance loans can be given in combination with a rehabilitation or impact fee loan, for purchase of existing homes or combination with an impact fee/capacity charge loan for construction of a new unit. iv. As structured, the program does not require an applicant to provide a minimum monetary contribution towards the down payment or closing costs. This program policy, however, does not exempt an applicant from a financial institution's minimum monetary contribution requirement, if applicable. v. No owner financing is allowed. All purchase assistance applicants must receive their first mortgage from a financial institution. vi. Except as otherwise provided for herein, SHIP purchase assistance funds shall not be provided to any household where for the household's first mortgage that projected monthly housing cost, including mortgage principal, interest, taxes, and insurance, will exceed 30% of the household's gross income, or where the household's total debt will exceed 41% of the household's gross income. It is not, however, the intent of this plan to limit an individual household's ability to direct more than 30% of its income for housing if the first institutional mortgage lender is satisfied that the applicant household can afford mortgage payments in excess of the 30% benchmark. For that reason, the monthly housing cost to gross income ratio (front end ratio) may be up to 35% as long as the back end ratio does not exceed 41%. In such cases, the first mortgage lender must inform the county in writing of its determination. This determination must be based on specific characteristics applicable to the applicant such as the applicant' s debts being short term, the applicant having a good history of debt management, or other pertinent reasons. These requirements apply to all income categories. With the exception of very low and low income Habitat for Humanity applicants, a household's monthly housing cost to income ratio (front end ratio) shall 18 CIIV