Res 2009-074 - Laserfiche WebLink

Home Browse Search

• 4. APPLICANT ELIGIBILITY A. The applicants' gross annual household income may not exceed eighty percent (80%) of the area median income adjusted for family size as established by the U. S. Department of Housing and Urban Development. B. Applicants must meet the loan underwriting standards of the proposed first lien mortgage lender. Housing is considered affordable when a family pays no more than 30% of their income for housing costs. Maximum allowable top and bottom qualifying ratios are 33% and 43%. C. The applicant cannot have had ownership interest in a principle residence at any time within the past three (3) years ending on the date of the Program application. Exceptions to this requirement may be made under the following circumstances: • a displaced homemaker or divorced single head of household. A displaced homemaker is defined as an adult who has not, within the preceding two years, worked on a full-time basis as a member of the labor force for a consecutive twelve-month period and who has been unemployed or underemployed, experienced difficulty in obtaining or upgrading employment and worked primarily without remuneration to care for his or her home and . family. • a single parent who owned a home during the past three years but deeded their share of the marital homestead to an ex-spouse in a divorce settlement is considered a first-time buyer. an individual who owns or owned, as a principal residence during such three- year period, a dwelling unit whose structure is: (a) not permanently affixed to a permanent foundation in accordance with local regulations, or (b) not in compliance with local or other applicable codes, and cannot be brought into compliance with such codes for less than the cost of constructing a permanent structure. D. The total household liquid assets are limited to a verifiable total not to exceed $5,000 above the amount to be invested for down-payment and closing costs in checking or savings or any other form of liquid account (i.e., certificate of deposit, money market funds, mutual funds, stocks, etc.) E. Total unimproved real estate assets are limited to $10,000 in real property at the time the application is submitted. (NOTE: property that will be used as the project homestead site will not be included in the calculation of real estate assets.) F. The applicant(s) must attend a Homebuyer Education Course approved by the City. G. All residents of the home must be citizens or legal residents of the United States. 4/09 Revised First-Time Homebuyer's Program Page 3