Intra-family Mortgage Loan Standards

Last Revised on April 30, 2015

National Family Mortgage allows clients to document Intra-family Mortgages and Deeds of Trust, and on Single Family Homes or Condominiums in all US states.

Transactions in the following US states may only be completed in conjunction with a local attorney, title company, or escrow company: AK, AL, CO, DC, DE, GA, HI, IA, KS, LA, MA, MD, ME, MT, NC, ND, NY, OH, OK, RI, SC, SD, TN, VT, WV, WY. (This means the borrower’s home being mortgaged is in one of these states.)

National Family Mortgage requires that all clients who wish to document an Intra-family Mortgage through our system adhere to the following standards:

At least one lender and one borrower must be an “Immediate Family Member”, meaning, a parent, child, grandparent, grandchild, sibling, spouse, aunt, uncle, niece, nephew. This includes step and adoptive relationships.

Intra-family loan interest rate must meet or exceed the appropriate IRS Applicable Federal Rate (AFR), without exceeding 6.00%.

Intra-family loan structure must be Amortized, Amortized with Balloon, or Interest-Only.

Intra-family loan repayment term (or amortization period) must be between one and thirty years.

Intra-family loan repayment schedule requires monthly payments, due on the first of every month. (With the exception of our Caregiver Mortgage®, as no monthly payment is required.)

Intra-family loan payment grace period must be 15 days.

Intra-family loan late payment fee charged to the borrower shall be between 1.00% – 4.00% of the borrower’s standard monthly payment amount.

National Family Mortgage does not allow clients to document transactions involving:
– Cooperatives
– Properties Held as Tenants In Common
– Multi-Family Homes
– Manufactured Homes
– Mobile Homes
– Vacant Land Mortgages
– Wrap-Around Mortgages
– Lease-to-Purchase Agreement

State Mortgage Recording Taxes

In addition to National Family Mortgage fees for service, the following states require various mortgage taxes be paid at the time of country recording:

Alabama, Florida, Georgia, Hawaii, Kansas, Maryland, Minnesota, New York, Oklahoma Tennessee, Virginia.

It is the client’s responsibility to pay all state mortgage taxes required for proper county recording. These taxes only apply when the borrower’s home being mortgaged is in one of these states. Please see estimated recording taxes below:

Alabama

Recording Tax

.15% of mortgage principal

Florida

Documentary Stamp Tax

$0.35 per $100.00 of mortgage principal

Intangible Tax

$0.20 per $100.00 on the amount financed

Georgia

Intangible Tax

$1.50 per $500.00 of mortgage principal

Hawaii

Hurricane Trust Fund Fee

$1.00 per $1,000.00 of mortgage principal

Kansas

.26% of mortgage principal

Maryland

Recording Tax

Allegany County
$3.25 per $500.00 of mortgage principal
First $30,000 exempt if property is purchaser’s principal residence

Anne Arundel County
$3.50 per $500.00 of mortgage principal

Baltimore City
$5.00 per $500.00 of mortgage principal
First $22,000 exempt if property is purchaser’s principal residence

Baltimore County
$2.50 per $500.00 of mortgage principal
First $22,000 exempt if property is purchaser’s principal residence

Calvert County
$5.00 per $500.00 of mortgage principal

Caroline County
$5.00 per $500.00 of mortgage principal
First $25,000 exempt if property is purchaser’s principal residence.
First $75,000 exempt if property is purchaser’s principal residence and
they are first time home buyer

Carroll County
$5.00 per $500.00 of mortgage principal

Cecil County
$4.10 per $500.00 of mortgage principal

Charles County
$5.00 per $500.00 of mortgage principal

Dorchester County
$5.00 per $500.00 of mortgage principal
First $30,000 exempt if property is purchaser’s principal residence

Frederick County
$6.00 per $500.00 of mortgage principal

Garrett County
$3.50 per $500.00 of mortgage principal

Hartford County
$3.30 per $500.00 of mortgage principal
First $30,000 exempt if property is purchaser’s principal residence

Howard County
$2.50 per $500.00 of mortgage principal

Kent County
$3.30 per $500.00 of mortgage principal

Montgomery County
$3.45 per $500.00 of mortgage principal up to $500,000
$5.00 per $500.00 of mortgage principal for all amount exceeding $500,000
First $50,000 exempt if property is purchaser’s principal residence

Prince George’s County
$2.50 per $500.00 of mortgage principal

Queen Anne’s County
$4.95 per $500.00 of mortgage principal

St. Mar’s County
$4.00 per $500.00 of mortgage principal
First $30,000 exempt if property is purchaser’s principal residence

Somerset County
$3.30 per $500.00 of mortgage principal

Talbot County
$3.30 per $500.00 of mortgage principal
First $50,000 exempt if property is purchaser’s principal residence

Washington County
$3.80 per $500.00 of mortgage principal
First $50,000 exempt if property is purchaser’s principal residence

Wicomico County
$3.50 per $500.00 of mortgage principal

Worcester County
$3.30 per $500.00 of mortgage principal
First $50,000 exempt if property is purchaser’s principal residence

Minnesota

Recording Tax

$0.23 per $100 of mortgage principal

$0.24 per $100 of mortgage principal (Hennepin County)

New York

Recording Tax

$ .75 per $100 of mortgage principal
Chemung, Chenango, Jefferson, Madison, Montgomery, Ontario, Otsego, St. Lawrence, Tioga, Tompkins, Ulster

$1.00 per $100 of mortgage principal
Allegany, Cayuga, Clinton, Delaware, Erie, Franklin, Fulton, Livingston, Monroe, Niagara, Oneida, Onondaga, Orleans, Oswego, Saratoga, Schuyler, Seneca, Washington

$1.05 per $100 of mortgage principal
Dutchess, Nassau, Orange, Putnam, Suffolk

New York City counties of New York, Bronx, Kings, Queens, and Richmond:
– All mortgages securing less than $500,000 – $2.05 per $100 of mortgage principal
– Mortgages of one-, two-, or three-family houses and individual residential condominium units, securing $500,000 or more – $2.175 per $100 of mortgage principal
– All other mortgages securing $500,000 or more – $2.80 per $100 of mortgage principal

Other counties and cities imposing a local tax
Albany County $1.25 per $100 of mortgage principal
Broome County $1.00 per $100 of mortgage principal
Cattaraugus County $1.25 per $100 of mortgage principal
Chautauqua County $1.25 per $100 of mortgage principal
Columbia County $1.25 per $100 of mortgage principal
Cortland County $1.00 per $100 of mortgage principal
Essex County $1.25 per $100 of mortgage principal
Genesee County $1.25 per $100 of mortgage principal
Greene County $1.25 per $100 of mortgage principal
Hamilton County $1.00 per $100 of mortgage principal
Herkimer County $1.00 per $100 of mortgage principal
Lewis County $1.00 per $100 of mortgage principal
Rensselaer County $1.25 per $100 of mortgage principal
Rockland County $1.30 per $100 of principal
Schenectady County $1.25 per $100 of mortgage principal
Schoharie County $1.00 per $100 of mortgage principal
Steuben County $1.25 per $100 of mortgage principal
Sullivan County $1.00 per $100 of mortgage principal
Warren County $1.25 per $100 of mortgage principal
Wayne County $1.25 per $100 of mortgage principal
Westchester County $1.30 per $100 of mortgage principal
Yonkers (city) $1.80* per $100 of mortgage principal
Wyoming County $1.25 per $100 of mortgage principal
Yates County $1.00 per $100 of mortgage principal

* Natural Person Affidavit reduces tax by $0.25 in each county

Oklahoma

Recording Tax

$0.10 per $100 of mortgage principal

Tennessee

Recording Tax

.115% of mortgage principal

Virginia

State Recording Tax
$0.25 per $100.00 of mortgage principal

County Recording Tax
1/3 of state tax amount