Financing Guidelines Print

The financing guidelines presented on this page apply to applicants wishing to enroll in HCD's CDBG/HOME-funded programs.  A list of HCD programs can be found under the Housing section.  Applicants to HCD programs must meet specific eligibility requirements as presented in Affordable Housing Program, Subrecipient and Homebuyers' Financing Guidelines, February 2009 Revision. 

Applicants to HCD programs frequently ask about the following topics.  For more specific answers, please Contact Us.

Application Selection Process

Applications for funding will be considered based on the following criteria:

  • First-time homebuyers
  • In the order of City approval (first come-first served)
  • In the order the request for financing is received from the Developer by the City
  • The date of approval
  • The time the application was received by the City 

Legal Separation

An applicant that is legally separated will be subjected to the same underwriting criteria as a married person; therefore, both signatures (husband and wife) shall be required on City loan closing documents.

Qualified Aliens

The client and household must be a Qualified Alien to participate in the City's Affordable Housing Program.  Qualified Aliens, defined in Section 431 of the Personal Responsibility Work Opportunity Reconciliation Act of 1996 (PRWORA), as amended, include:

  • Aliens lawfully admitted for permanent residence under the Immigration and Nationality Act (INA), 8 USC 1101 et seq.;
  • Refugees, admitted under Section 207 of the INA;
  • Aliens granted asylum under Section 208 of the INA;
  • Cuban and Haitian Entrants, as defined in Section 501(e) of the Refugee Education Assistance Act of 1980;
  • Aliens granted a parole for a least one year under Section 212(d)(5) of the INA;
  • Aliens whose deportation is being withheld under (1) Section 243(h) of the INA as in effect prior to April 1, 1997; or (2) Section 241(b)(3) of the INA amended;
  • Aliens grated conditional entry under Section 203(a)(7) of the INA in effect before April 1, 1980;
  • Battered aliens, who meet the conditions set fort in Section 431(c) of PRWORA, as amended
  • Victims of a severe form of trafficking, in accordance with Section 107(b) of the Trafficking Victims Protection Act of 2000, P.L. 106-386.

Income

Income shall mean third party verifications of all owners' income.  If a spouse is not listed on the warranty deed, that spouse's income will be verified.  Annual anticipated income includes:

  • Wages, salaries, tips, commissions, etc.,
  • Self-employment income from owned non-farm business, including proprietorships and partnerships,
  • Farm self-employment income,
  • Interest, dividends, net rental income or income from estates or trusts,
  • Social Security or railroad retirement
  • Supplemental security income, Aid to Families with Dependent Children, Retirement, survivor or disability pensions,
  • Any sources of income received regularly including Veteran's payments, unemployment compensation, child support and alimony, and income form assets (see document for complete list)
  • Actual income from assets if total assets are $5,000.00 or less.
  • If assets are more than $5,000.00, the greater of actual income from assets or total assets times current passbook rate.  The current passbook rate is 2%.

Please also see the Definition of Income document

Equal Housing Opportunity Symbol

 

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