Chapter 76: Teachers

Rule 76.4 Housing. The Mississippi Employer-Assisted Housing Teacher Program is a special

home loan program that is available to licensed teachers who render services in geographical

areas of the state that are designated by the Mississippi Board of Education as having a critical

who is assigned to an instructional area of work as defined by the State Department of Education

the equivalent of a minimum of three (3) normal periods per school day.

1. Down payment (limited to 2% of the sales price)

2. Lender Loan Origination

3. Teacher Grant Program Administrator

4. Attorney

11. Private Mortgage Insurance Premium

The teacher's house must be situated in the county in which the school district, or any portion of

the school district, is located.

The amount loaned to any teacher will be converted to an interest-free grant on the basis of one

(1) years’ service in a geographical area of the state that is designated by the Mississippi Board of

Education as having a critical shortage of teachers for one-third (1/3) of the amount of the loan.

Any teacher who does not render three (3) years of service in a geographical area of the state that

is designated by the Mississippi Board of Education as having a critical shortage of teachers will

be liable to the Department of Education for one-third (1/3) of the amount of the loan for each

for the program.

The teacher executes a contract for the purchase of a house in the county in which the school

The teacher makes a loan application with one of the approved participating lenders as

determined by Fannie Mae (Union Planters Bank, Deposit Guaranty Bank, Trustmark Bank).

executed by the teacher at closing.

After closing, the lender will send the administrator the signed promissory note. Notes.

The program is available to teachers of any income level

The loan must be less than the Fannie Mae limit of $227,150. The loan is not limited to first-time

home buyers.

MISSISSIPPI EMPLOYER-ASSISTED HOUSING TEACHER PROGRAM LOAN

AGREEMENT

Date of Agreement:

Loan Amount up to $6,000.00:

Beginning School Year:

This Agreement is made and entered into upon the above stated date by and between named

Teacher ("Teacher") and the Mississippi State Department of Education ("Department"),

For purposes of this agreement “School District” or “District” shall mean any school district

that has been designated by the State Board of Education as a geographical area where there

Annotated ("Program"). Department has agreed to lend to Teacher the above stated

Loan Amount pursuant to the terms of the Program, of which the Teacher is aware,

and upon the terms and conditions herein stated.

acquiring a residence within the County in which the District or any part of the

the commencement of the Beginning School Year or the date of this Agreement

above stated.

Teacher shall receive a grant for each year of service rendered as a teacher in the

three (3) consecutive years commencing with the Beginning School Year and that

located so long as that school district has been designated by the State Board of

Education as a geographical area where there exists a critical shortage of teachers. In

the event of this occurrence the teacher shall still be considered as being in

compliance with this agreement and the years of service in each of the school

districts served shall be added together in determining that three consecutive years

hereof.

service as a teacher to the District may result in taxable income to Teacher for

federal and/or state income tax purposes, and further acknowledges that liability for

any and all taxes due upon such taxable income will be the sole responsibility and

to Teacher.

consecutive school years commencing with the Beginning School Year above stated;

(b) failure of Teacher to continuously reside in the residence acquired with the use of

the Loan Amount for three consecutive school years commencing with the

Beginning School Year above stated; (c) any breach of any condition of this

Agreement by Teacher; (d) breach of any condition under the Program by the

Teacher.

accrue upon the unforgiven and unpaid portion of the Loan Amount as of the date of

this Agreement and continuing until paid in full. The interest rate shall be the

Stafford Loan rate in effect upon the occurrence of an Event of Default, as said rate

10. Actions upon Default. Upon the occurrence of an Event of Default, the unforgiven

and unpaid portion of the Loan Amount together with all interest accrued from the

11. Collection Costs. If Teacher does not pay the sums due the Department within three

Department may employ an attorney or attorneys for the collection of the sums due,

and in addition to the unforgiven and unpaid portion of the Loan Amount together

with interest accrued and to accrue thereon, Teacher agrees to pay all costs of

collection, including, but not limited to, reasonable attorneys' fees and court costs.

12. Duties of the District. By its execution hereof, the District agrees that this

Agreement has been fully approved by order duly entered upon the minutes of its

board of trustees, and that it’s President has been duly authorized to execute same.

District further agrees to notify Department in writing within three business days of

the occurrence of any of the following: (a) Teacher ceases to render service to the

District as a teacher at any time during the term hereof; (b) Teacher ceases to reside

in and occupy the actual residence purchased with the use of the