The following is a summary on how to refinance your first mortgage or to obtain a second mortgage under the restrictions of your property.

Before you may close on a new first or second mortgage, the Monitoring Agent named in the deed restriction and your town/city must review your written request to refinance. The Monitoring Agent must issue a written approval for the refinancing, which may be recorded with the new loan.  

Generally the process starts with a letter from the Homeowner to the Town and the Monitoring Agent requesting approval to refinance or obtain a second mortgage. The letter should state the amount of the refinance or second mortgage requested and the reason for the request (i.e., better interest rate, cash out, etc.). The letter should also include your existing mortgages, liens, or Home Equity lines, what their outstanding balances are, and which will be paid off with this new loan. If your home has a discount rate method, please follow these DHCD instructions -- you will be required to obtain an appraisal and list the condominium fee, if applicable. If your home does not use a discount rate method, please follow these DHCD instructions. In addition, general DHCD information is available here.

The commitment letter (listing the terms of the new loan) from your lender is required, and must conform to any applicable loans standards. See the information on LIP units in the guidelines.

Contact your Monitoring Agent or the RHSO for more information. For LIP Units, contact DHCD (Bertha Borin by email or call 617-573-1309). For CHAPA 40B units, contact CHAPA (Elizabeth Palma-Diaz by email).