  Claire Member Username: Claire Post Number: 4 Registered: 01-2009 |
Is anyone familiar with the Neighborhood Stabilization program to purchase foreclosed properties? | ||
Stosh Member Username: Stosh Post Number: 66 Registered: 01-2009 |
http://www.oakgov.com/chi/asse ts/docs/NSP/newreleasensp2-09. pdf | ||
Blueidone Member Username: Blueidone Post Number: 495 Registered: 03-2007 |
I am sort of familiar with Wayne County's NSP program as the company I work for just submitted a proposal. Do you have a specific question, or do you just want to know how it works? | ||
Claire Member Username: Claire Post Number: 5 Registered: 01-2009 |
yes, I am wondering how it works. My husband was recently unemployed and as a result we are within the income limits. It sounds like a wonderful program. We are looking to purchase a home. My questions are how long does the process take? It is first come/first served. Do you think it will be a large number of applications? This is new for oakland county I think. How long has Wayne County had it? Any info would be appreciated. | ||
Ccbatson Member Username: Ccbatson Post Number: 19061 Registered: 11-2006 |
A horrible idea along the lines of what gave us this problem on a national level. | ||
Blueidone Member Username: Blueidone Post Number: 496 Registered: 03-2007 |
Claire: The program has just begun. The first thing that has to happen is a developer goes in and buys up foreclosed homes. Then they have to be rehabilitated to meet certain standards. Then they will be available for sale or rent depending on the developer's plan. They have to be sold or rented to lower income families...there is a set formula. If they are being sold, the buyers must have credit worthiness and demonstrate ability to pay. The prices will be low and down payments will also be low. Our company just submitted a proposal to purchase and rehab 20 homes in a suburb in Wayne County. If our proposal is accepted by April 15th, we are commited to having homes ready to sell by October. I don't know how long Oakland County has had their program in place...but I do know that Wayne County just started, so I doubt that homes will be available anytime soon. This program was part of the Stimulus Package. The thought is by buying up and rehabbing foreclosed homes, the property values will stabilize and so will the mortgage market. Whatever department is listed on the Oakland County website would be the one to contact. In Wayne its the Community Development or something like that. If you send your e-mail address to corneroffice2 at aol dot com, I will ask my boss next week how people go about applying for housing under the program. | ||
Stosh Member Username: Stosh Post Number: 67 Registered: 01-2009 |
From what I read, I think that the OC's program is only geared toward homeowners. That's good. That's what stabilizes neighborhoods. Rentals, not so much. | ||
Claire Member Username: Claire Post Number: 7 Registered: 01-2009 |
yes, I think so too | ||
Blueidone Member Username: Blueidone Post Number: 497 Registered: 03-2007 |
They do prefer the homeownership side. But there are those people who cannot purchase home due to credit or down payment problems, and they need assistance too. In the language of the program documents, stabilization means getting the vacant foreclosed homes rehabbed and occupied. | ||
Stosh Member Username: Stosh Post Number: 68 Registered: 01-2009 |
Yes that is the goal of the program. However, landlords are not the beneficiaries of this program. There are plenty of provisions for low income people with no down payment. Credit problems I can't speak for. | ||
Ccbatson Member Username: Ccbatson Post Number: 19093 Registered: 11-2006 |
Why is a "program" (meaning government involvement) needed? The best, and only hope is for a private solution. Public action will only worsen the problems. | ||
Claire Member Username: Claire Post Number: 8 Registered: 01-2009 |
Public Auction?????????? | ||
Ccbatson Member Username: Ccbatson Post Number: 19120 Registered: 11-2006 |
Better....no reserve and privatized. | ||
Gingellgirl Member Username: Gingellgirl Post Number: 247 Registered: 04-2007 |
Claire - Sorry for the delay. I had to wait until today to access this information at work. Oakland County Community and Home Improvement (oakgov.com/chi) held a community forum on Saturday and and overflow crowd of more than 400 attended the session. Here is information on how the Oakland County Neighborhood Stabilization Program works: You CAN Afford Your Own Home Announcing “There’s No Home Like My Own” The Oakland County Home Buyer Program Homebuyer assistance and home improvement services are available to help you purchase and improve a vacant foreclosed single family home or condominium in Oakland County. Through this program, your monthly mortgage costs could be less than what you now pay for rent. With Oakland County’s assistance, even very low income families may be able to afford a home. Homebuyers with incomes at or below 120% of Area Median Income (AMI) are eligible for assistance. For example, a family of four earning up to $83,900 per year is eligible under this program. (See chart - below). Oakland County can provide you with deferred no-interest loans for down payment assistance, closing costs, home improvements or other financing. The home must be purchased as your primary residence. You must prequalify for a fixed rate mortgage loan from a lending institution. This loan represents 51% of the purchase price. Oakland County will finance the remaining 49% of the purchase and rehabilitation costs up to $100,000. You must also provide $2,000 to initiate the purchase. Payment on the down payment and home improvement loans is deferred until the property changes ownership. You only have to pay on the conventional mortgage obtained from your lender. To put it simply, you’re making half the payments, or getting twice as much house for your money. Oakland County is by your side through every step of the home buying process. Before you even begin the process, we’ll provide free homebuyer counseling before the purchase: figure out how much you can afford, know your rights, shop for a loan, learn about homebuying programs, shop for a home, make an offer, get a home inspection, shop for homeowners insurance, and sign papers. You’ll have to negotiate a price on the foreclosed property. Foreclosed home purchases must be discounted 15% from the as-is appraised value. Oakland County will provide free property as-is and after rehabilitation appraisals. If home improvements are required, the Oakland County Community & Home Improvement Division will coordinate the work for you. Oakland County will complete work specifications and cost estimates, bid the contract to the lowest responsible bidder, oversee the work and issue contractor payments. The home improvements will be completed, on average, within 120 days. The 2009 Oakland County Home Ownership Drive covers properties in select Oakland County communities. For a complete list, check the website listed below or call Community & Home Improvement for details. Contact Farmington Hills, Pontiac, Royal Oak, Southfield, or Waterford directly to inquire about home buying assistance programs in their communities. Funding for this program is provided by the U.S. Department of Housing and Urban Development’s (HUD) Neighborhood Stabilization Program (NSP). Call Oakland County Community & Home Improvement (248) 858-1529 or visit the website at oakgov.com/chi Equal Opportunity Programs/Activities Department of Housing and Urban Development Income Categories NEIGHBORHOOD STABILIZATION PROGRAM Family Size 120% of Area Mean Income (AMI) 1 $58,700 2 $67,100 3 $75,500 4 $83,900 5 $90,600 6 $97,300 7 $104,000 8 $110,700 Good luck , Claire! | ||
Ccbatson Member Username: Ccbatson Post Number: 19135 Registered: 11-2006 |
Look at the complexity....in a free market, the price is what the buyer is willing to payer, and the seller is willing to accept amongst the prospective buyers (competitive bids). | ||
Claire Member Username: Claire Post Number: 9 Registered: 01-2009 |
Thank you so much. My husband recently was laid off. His first unemployment check should come this week. I have everything else completed and ready to turn in. With the interest that great, I am anxious to get my application in. Should I submit without his unemployemnt check and just submit my check stubs? | ||
Gingellgirl Member Username: Gingellgirl Post Number: 248 Registered: 04-2007 |
Claire, bring everything with you and let the housing counselor sort out what is best for you. They're here to work for you. Good luck! | ||
Ccbatson Member Username: Ccbatson Post Number: 19156 Registered: 11-2006 |
That is mighty fast...recently laid off awaiting the first unemployment check and already in need of assistance for housing? Something else must have been going on leading up to this. | ||
Gingellgirl Member Username: Gingellgirl Post Number: 249 Registered: 04-2007 |
Everybody deserves a place to live in dignity, no matter what life throws at you. | ||
Claire Member Username: Claire Post Number: 10 Registered: 01-2009 |
Thanks Gingellgirl. | ||
Ccbatson Member Username: Ccbatson Post Number: 19166 Registered: 11-2006 |
Deserves? As in a right? No Ma'am, it should not work like that. |
