CASH ASSISTANCE: This program includes a 4% cash assistance payment for first time homebuyers which can be applied at closing to a portion of the down payment, closing costs and prepaid items and other loan expenses. The interest rate of the mortgage loan is obtained through the Program and is fixed for the 30-year term. In 2001, the interest rate was 6.875%. The mortgage rate for loans in target areas with NO cash assistance was 6.25%.

PRODUCT TYPE: FHA, VA, Farmers Home Administration (USDA - RS) and conventional insured loans may be utilized with this program. Your mortgage loan will be assumable ONLY by a qualified first-time buyer who meets the program requirements. Funds for this program are allocated to a participating lender. Interested borrowers must contact a participating lender.

ELIGIBLE PROPERTY: Single family detached, condominium, townhome, and modular or manufactured housing that is permanently attached to land and duplexes. The property must also be located in a city and county cooperating in the program. In Johnson County, cooperating cities in 2001 included: DeSoto, Edgerton, Fairway, Gardner, Leawood, Merriam, Mission, Olathe, Overland Park, Prairie Village, Roeland Park, Shawnee and Spring Hill. In Leavenworth County, cooperating cities were: Lansing, Leavenworth and Linwood. In Miami County, the cities were: Osawatomie, Paola and Spring Hill. In Wyandotte County, the cities included: Bonner Springs, Edwardsville and Kansas City.

PREVIOUS OWNERSHIP REQUIREMENTS: Borrowers must be first-time buyers unless the home being purchased is in a Target Area. A first-time buyer is someone who has not had an ownership interest in a primary residence for the past three years. The buyer must also occupy the home within 60 days of closing.

MAXIMUM SALES PRICE: Sales price limitations apply to this program. For 2001, the purchase price limits for homes in the Kansas City MSA (Leavenworth, Wyandotte, Johnson and Miami Counties) were as follows: New Homes in a Non-Target Area: $126,020, Target Area: $154,030; Existing Homes in a Non-Target Area: $92,070, Target Area: $112,530.

MAXIMUM INCOME LIMITS: Income limitations apply to this program. The total gross household income for all residents living or intending to live in the residence, age 18 and older, must be within the income limits of the program. In 2001, the Kansas City MSA (Johnson, Leavenworth, Miami and Wyandotte) limits were as follows: For families of 1-2 persons in Non-Target Areas: $62,200; 3+ Persons: $71,530; in Target Areas, the limit for 1-2 Persons was $74,640; 3+ Persons was $87,080.

MINIMUM BORROWER CONTRIBUTION: Varies per loan product.

CREDIT HISTORY GUIDELINES: Varies per loan product.

QUALIFYING RATIOS (Housing Expense / Total Debt Obligations): Varies per loan product.

CASH RESERVE REQUIREMENTS: Varies per loan product.

MORTGAGE INSURANCE: Varies per loan product.

EDUCATION / COUNSELING:

RECAPTURE TAX: A potential recapture tax does apply to this program.

PARTICIPATING LENDERS: Ameri-National Mortgage (Ed Casey), North American Savings Bank (Royal Scott)

WEB LINK: kansashomebuyer.org

QUESTIONS: George K. Baum & Company, 316.264.9351; Ranson Housing Compliance, L.L.C., 316.263.4991, ecasey@anmco.com, 913.253.0130, rscott@nasb.com, 913.681.6622.