Ro Troia

Boulder Colorado Committed to Affordable Housing

The city of Boulder is committed to offering housing to people that could NOT afford a home in today’s market.  Boulder offers home ownership to those with low or moderate incomes.  In order to make home ownership possible to people of lesser means, Boulder offers assistance.  To qualify for the various programs, incomes and assets must be below specified levels for each program.   Click income levels to find out more.

Other than income being the most important qualifier there are other qualifications:

1. Applicant must complete the city’s Orientation program and Homebuyer Class Series
2. You must work at least 30 hours per week, unless retired or disabled.
3. You must have a one year work history.
4. You must be able to contribute $2,000 for a down payment or towards closing costs.
5. You must be able to secure a first mortgage.
6. Debt to income ratio should not exceed 42%.
7. Your assets cannot exceed $50,000 for one person and add on $10,000 for each additional family member.
8. Home must be owner occupied.
9. The number of bedrooms may only exceed the number in the household by a factor of one.
10. You cannot own another property.
11. There are resale restrictions.

The programs are as follows:

Homeworks Program

To make sure that homes fit the needs of low to moderate income levels, homes are build by developers as a requirement of Inclusionary Zoning.  Homes are sold at below market prices and these homes are generally classified as permanently affordable.  Resale prices are restricted which keeps the homes affordable in the future.   To purchase any of these homes you must complete an Income Certification Application.

There are two programs for Down Payment Assistance.

The H2O program, which stands for; House to Home Ownership.  This is essentially a deferred loan program, which means you can borrow up to $50,000 and not make any payments for up to 15 years.  When you sell the home or if you reach 15 years the loan is due in it’s entirety plus 15% appreciation.  If you only own the home for 2 years the 15% is waived.  There is no resale restriction.  For more information you can download the H2O Brochure.

With the “First Home” program, the city of Boulder will provide up to 20% or a maximum amount of $56,000 towards the purchase of a home.  For families of 3 or more, then the amount is increased to $90,000 even if this exceeds 30% of the purchase price for a 3+ bedroom home.   These purchased homes become classified as “permanently affordable” and at resale the sale is the price minus the amount of the grant.  Essentially the grant becomes an investment of the property by the city.   Please read, First Home Conditions and Requirements,

The 3% Solution program is basically a grant that can be used in conjunction with the Homeworks program or on properties purchased with Thistle Community Land and Trust if within Boulder city limits.  This 3% grant is solely for persons that DO NOT qualify for the CHFA (Colorado Housing Finance Authority.)  Persons must be denied CHFA assistance before applying for the 3% grant.  The grant is invested in the property so that when a person decides to sell the property the 3% is deducted from the starting sale price.  You may not have more than $12,500 in assets.   Here is more information on CHFA loans.

The benefits of all these programs are huge, your chance to own instead of renting, tax benefits, possible equity, and having control over your own property.

I know this is a lot of information, but it’s good information and if you need help then ask your Realtor for assistance.  I have only touched the surface of all the details involved with all these great programs, if you are interested, then I urge you to investigate thoroughly all the resources available through the city of Boulder, Co.

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This entry was posted on Wednesday, December 10th, 2008 at 2:58 pm and is filed under Buyer's Corner, Colorado Round Up, First Time Buyers, Focus on Boulder. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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