Title
A RESOLUTION CONCERNING HOUSING AND COMMUNITY DEVELOPMENT ANNUAL ACTION PLAN: FY 2014 for the purpose of amending the Annual Action Plan for Housing and Community Development: FY 2014 to restructure the existing “My HOME” program for: FY 2011, FY 2012, FY 2013, and FY 2014
Background
This legislation will amend the Annual Action Plan for Housing and Community Development: FY 2014 and approve the restructuring of the existing “My HOME” program for: FY 2011, FY 2012, FY 2013, and FY 2014. This resolution requires a minimum of one public hearing under the “County Citizen Participation Plan: FY 2011-2015” because there is a meaningful change in the description of the program.
The “My HOME Program will assist income eligible first time homebuyers to purchase eligible residential properties by providing homeownership assistance as needed for mortgage principle reduction, down payment and/or closing cost assistance.
The restructuring proposal will change the current amount of homeownership assistance from 5% of the purchase price to the following tiered structure:
1. Up to $20,000, as needed for households with an annual income between 50%-80% Annual Median Income (AMI).
2. Up to $60,000 as needed for households with annual incomes at or below 50% of AMI.
The Acquisition and Rehabilitation Program provides funding to developers to acquire, rehabilitate and sell residential properties to income eligible low-income households. The New Construction Program provides subsidies to assist a developer to stimulate construction of new affordable housing for income eligible low-income households.
Financial assistance for homebuyers through these programs, may be in the form of grants, deferred-payment loans, 0% or below-market-rate loans, loan guarantees to mitigate the risk to a lender, or a development subsidy to allow a home to be offered below the market rate to increase the home’s affordability for income eligible households.
Applicants must com...
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