More Money Available for Rural Development| 5/22/2012
"North Dakota Housing`s program helps alleviate an obstacle to financing construction of affordable single-family housing in rural areas," said Gov. Jack Dalrymple. "This type of development is an important part of a housing strategy for these communities."
"Rural lenders may be reluctant to assume the risk of speculative construction lending," said Attorney General Wayne Stenehjem. "The guarantee program helps mitigate this perceived risk."
NDHFA will now share in any potential net loss for a construction loan up to $187,000. This allows for a guarantee on a home valued up to $220,000. The previous guarantee was based on a home price not to exceed $160,000.