A Link Home Loan is a contract for deed (otherwise known as an installment contract or land contract or seller financing agreement) in which Trio finances a home for a customer using what's called a Wraparound Mortgage. A wraparound mortgage is a home loan that allows a seller (Trio and its affiliates) to maintain a mortgage while a buyer (you, the customer) obtains another mortgage which "wraps" around the seller's original mortgage. As a type of secondary mortgage financing, wraparound loans mean that the customer will make monthly payments directly to Trio. Trio guarantees payment on the original mortgage as part of its service to the customer. Link Home Loans are legally structured as an installment contract or land contract and are secured by recording a Memorandum of Contract in the public record of the financed home. Ownership of the home is transferred to the customer when all required payments are completed under the Link Home Loan, or the contract is otherwise paid off in full by the customer.

A Link Home Loan can finance up to 100% of the FHA loan limit for a given market area, but no more than the appraised value of the home. A customer may purchase a home for more than the FHA loan limit, but the customer will have to fund the difference between the home purchase amount and the FHA loan limit as a down payment. You can look up your market area’s loan limit on this FHA link: FHA Mortgage Limits | HUD.gov / U.S. Department of Housing and Urban Development (HUD).

Payments on the Link Home Loan cover the Trio's monthly mortgage payment(s) plus the costs of servicing, plus a risk sharing contribution. Typical monthly payments include principal, interest, FHA required mortgage insurance, property taxes, hazard insurance, servicing and risk sharing.

Most Link borrowers are not required to make a down payment. However, when program underwriters determine that a customer's credit, job history or housing history is uncertain, a down payment may be required. If a down payment is required, it is typically between 3% and 5% of the home purchase price.

Borrowers are responsible for paying the costs to close the loan, whether for the home purchase or refinancing, as well as administrative fees to Trio. Administrative fees include an origination fee of 0.5% of the purchase price, $1,295 program fee and $375 for closing and recording. All Link Home Loans include both hardship payment protection and post-purchase counseling from a national HUD approved agency. Costs for these services are included in the costs to close the loan for the home purchase.

Trio’s affiliate, Trio Residential LLC, is the servicer on the Link Home Loan. All monthly payments except your first, will be paid to Trio Residential LLC via electronic payment (ACH). An ACH payment form is included with your signing package at closing. To access your payment portal go to mylinkloan.com and select 'My Payment'. Your first monthly payment and prorated costs will be paid when you sign your Link loan agreement.

Link Home Loans provide 100% financing up to the appraised value of the home purchased (up to a maximum of the area FHA loan limit). Financing terms include either a 20 or 40 year term, with the 40 year being fully amortizing and the 20 year having a 5 year interest only period with a balloon payment after 20 years. Interest rates depend upon customer qualification and are between 1.25% and 2.5% above Trio’s corresponding FHA loan. This interest rate premium covers the customer’s FHA required mortgage insurance, and compensates Trio assuming the risk of the original mortgage. Any second mortgage obtained for the customer will have an interest rate between 3% and 6% with a 15 or 20 year term.

Yes, all Link Home Loan payments are reported to the three major credit bureaus. On-time payments and late payments plus the total outstanding loan obligation are reported each month.

Link Home Loans are intended to be used for owner occupancy, but you can own another home and qualify. You will need clean mortgage payment history and meet higher qualification standards. Additional down payment funds will be required based on your application, the location of the home and home price. You cannot use the Link financed home for investment purposes or as a long-term rental.

Yes, all Link Home Loan payments are reported to the three major credit bureaus. On-time payments and late payments plus the total outstanding loan obligation are reported each month.

Link Home Loans are intended to be used for owner occupancy, but you can own another home and qualify. You will need clean mortgage payment history and meet higher qualification standards. Additional down payment funds will be required based on your application, the location of the home and home price. You cannot use the Link financed home for investment purposes or as a long-term rental.

A Wraparound Mortgage is defined as a secondary financing arrangement in which a lender, who is often the seller, leaves their loan intact and gives the borrower a second, larger loan. The total amount of a wraparound mortgage includes the previous mortgage's unpaid amount plus the additional funds required by the borrower to purchase the home. The borrower makes payments on the larger loan amount to the secondary lender, who continues to make payments on the original loan. Link Home Loans are legally structured as an installment contract or land contract and are secured by recording a Memorandum of Contract in the public record of the financed home.

Property taxes and interest paid by a Link Home Loan customer may be deductible to the customer. Be sure to ask your tax professional.

During the first 2 years, the customer can assume Trio's underlying FHA loan. The customer may be required to obtain a second mortgage if necessary to fully payoff all amounts owed to Trio. After 2 years, the customer can either assume the underlying FHA loan or use any other form of financing. If a Link Home Loan is refinanced or paid off prior to during the first 3 years, a non-use fee of 2% of is added to the payoff amount to reimburse Link for the initial mortgage insurance premium paid by Link but not included in the principal balance of the Link Home Loan.

Link Home Loans require the customer to maintain property hazard insurance with Trio as the named insured, mortgage insurance, and renter's insurance. Like any FHA home mortgage, the cost of property hazard insurance (sometimes called homeowner's insurance) and mortgage insurance are included in the customer’s monthly payment. The cost of these policies may increase each year at the discretion of the insurer. The customer's renter's insurance policy must cover the contents of the customer's home and loss of use in the event of significant property damage. Customers are responsible to pay all deductibles and related administration fees should a claim be filed.

Maintaining your home is important for the health and safety of your household as well as maintaining property values. A home warranty from a qualified third party is required to be in place and paid for by you. A home warranty covers many home repairs that are not covered by hazard insurance policies. For a service fee generally ranging from $75 to $100, you can have many typical plumbing, electrical and other items repaired. Trio recommends national providers such as First American Home Warranty and American Home Shield. You are required to provide proof of coverage upon renewal each year.

All Link Home Loans include hardship counseling and payment protection provided by HPPC. HPPC offers economic support coverage in case of a financial hardship, such as loss of income, reduction in income, disability, death, or qualified impact due to a natural disaster. Costs for HPPC is included in the costs to close the loan for the home purchase and then in the monthly payment beginning in the 2nd year. See your contract for further details.

As the buyer of the home, your name and the name of those over 18 with qualifying income are included on the Link Home Loan. The counterparty seller on the Link loan agreement is one of Trio's affiliated companies.