habitat for humanity
DESCRIPTION
Habitat for Humanity. Habitat is an ecumenical Christian housing ministry dedicated to selling affordable houses to qualifying partner families. Habitat for Humanity. Home Ownership is filled with • Joys • Responsibilities. Brookings Area Habitat for Humanity. You can buy a home! - PowerPoint PPT PresentationTRANSCRIPT
Habitat for Humanity
Habitat is an ecumenical Christian housing ministry dedicated to selling affordable houses to qualifying partner families
Brookings Area Habitat for Humanity
You can buy a home!Affordable– Habitat does not make a profit
Habitat charges NO INTEREST
Solid, reliable program – building homes
since 1995
Affordable housing is our priority
House Selling Price will be approximately:3 Bedroom $55,000 (approximately $325/mo)
4 Bedroom $60,000 (approximately $375/mo) including property taxes and homeowner’s insurance
Partnership is key to successHabitat will:
• Build a house with you
• Sell you the house with a no interest loan
• Provide opportunities for you to learn the skills you will need to own a home
How does Habitat for Humanity work? • Meet Eligibility Requirements• Pay $700 deposit for down payment and closing
costs
• Attend Workshops• Build a Home -- Sweat Equity• Make House Payments• Fund for Humanity• Building Equity• Second Mortgage
How does Habitat for Humanity work?
• Specific House Design Criteria modest size, simple design, sale price includes cost of all materials including in-kind donations. Most of the labor is donated.
• Application Process – documents and a home visit
• 3 Selection Criteria– Need– Ability to Pay– Willingness to Partner
• Sweat Equity• Attend Workshops
Eligibility Criteria• Income Guidelines
• Application
• Home Visits
• Notification
• Number of families selected
based on greatest need and Habitat’s construction capacity
Need Criteria
• Below Upper Income Limit (less than 70% of average
median income)
• Overcrowded Living Conditions
• Substandard Living Conditions
• Cost Burdened
Ability to Pay• Minimum Income Guideline
• Debt to Income Ratio
• No Liens or Judgments
• Consistent Payment History
• Able to Save for Closing Costs
Sweat Equity -- 300 to 500 hours
Assist with Construction Attend Workshops:Homebuyer Express/CCCSOthers as available
Perform Other Sweat Equity TasksAttend budget counselDevelop budget for homeownership
Willingness to Partner
Habitat for Humanity House Design
• Habitat is not a custom home builder
• Square footage: 925 to 1100 square feet
• No garages or car ports
• One bathroom
• No dishwasher or central air
• You may not have a choice about the location
• You may not have a choice about floorplan
• No basement unless necessary
After the closing
• Set goals for improvements/additions
• Prioritize their level of need• Save carefully and wisely• Improve your home as you can
afford it• Enjoy this beautiful home of your
own!
You may be asking yourself…How many hours a week will I commit
to working with Habitat?
Who might help?
Am I willing/able to wait 10 to 18
months to move into my home?
Home Ownership and Habitat
Payments
Down Payment $700 in advance
Mortgage Payments $$250 - $300(including taxes and insurance)
Mortgage length depends on your ability to pay at time of closing — 15 to 30 years
Prepare formoving costs including utility hook-ups,lawn mower, lawn/garden tools, household items.
You may be asking yourself…
Am I willing and able to save
$75-100 a month now to pay
the required deposit on time?
Mandatory Workshops/Meetings• Partnership Agreement and Basic House Description
• Budgeting and financial management
• What it means to be a homeowner
• How to maintain your home
• Frequent meetings with your sponsor and Building
Committee
• Preparing for the Closing and Understanding Your
Mortgage
Home Ownership and Habitat
Building a Home
With friends and family
With community volunteers
With lots of instruction and help
Debt-to-income Ratio How much money do I owe?
• School loans• Car loans• Credit cards• Other misc. bills
• Department store cards
• Medical bills
Compare Debt to Income Level
Example:Monthly net income (after taxes, ins., etc.) = $900Debt payments per month = $ 95Mortgage Payment (max 28%) = $250Debt to income ratio = 38%
Acceptable ratio is 40%
How to Apply
• Complete application today• Provide all documentation in
one week• Expect home visit in two to
three weeks• Notification of acceptance in six
weeks
Please Know that…
Some families apply 3 or 4 times before they become eligible.
We WANT to work with you. If you are not accepted the first time, please come back!!
Next Steps
Make sure:
• Your name is on the sign-in sheet.
• You fill out an application.
• The application and ALL paperwork is in the Habitat office by June 21.
• We can reach you by telephone!