Homeownership Program
The program helps Housing Choice Voucher holders afford a home, by allowing them to apply their rent and their housing subsidy (called a Housing Assistance Payment) towards mortgage payments. In addition, the program provides homebuyer education, credit counseling and other services to help Housing Choice Voucher families navigate the process of home buying and realize the American dream of homeownership.
Eligibility
Any Section 8 Housing Choice Voucher program participant in good standing with AMHA and with full-time employment (30 hours per week and continuously employed for at least one year) is eligible for this program. All lender requirements are independent of HUD and PHA requirements.
Repairs
An inventory list of repairs shall be made available to the resident. Repairs shall be made by the owner prior to purchase and my not be paid for by the buyer, unless the buyer and seller agree to negotiate a lower price for the home considering repairs are not made prior to closing.
Mandatory Requirements
AMHA reviews the following to determine a family’s eligibility for the program:
The average monthly estimate for mortgage principal and interest, insurance, and real estate taxes does not exceed 35% of the family’s adjusted income.
No member of the family is a current homeowner or maintains present ownership interest in any residence.
No family member has previously received homeownership assistance and defaulted on the mortgage.
Eligible Properties
Each family is responsible for finding its own eligible property for purchase. However, the structure must be either already under construction or previously existing, and pass two inspections. Two physical assessments will be made of each home; the HQS (Housing Quality Standards) to be completed by a qualified person appointed by the Housing Authority, and another inspection to be completed by an independent contractor.
Occupancy Requirement
The family must live in the house during the term of the mortgage. The property cannot be leased or sublet.
Criteria
- Income: The family must have a sufficient and on-going source of income.
- Credit Worthiness: The family must have the potential to obtain financing in a reasonable period.
- Maintenance: The family must have the ability to provide the required routine maintenance after purchase.
- Mandatory Training: Homeownership classes will be made available to potential home buyers. These classes are a collaborative effort with the City of Lima, West Ohio Community Action Partnership (WOCAP), and Allen Metropolitan Housing Authority (AMHA). Applicants must attend and complete the classes. If classes are missed, they must be made up in the next series of classes. Upon completion of the classes, the applicant will receive a certificate.
If you need more information about this program and/or interested in pursuing homeownership, please contact Sean Walt, AMHA Occupancy Specialist at 419-228-6065.