The county’s goal is to turn potential foreclosed, vacant eyesores into affordable housing, thereby strengthening neighborhoods.
For the purchase of vacant, foreclosed homes ONLY, the county will fund up to 49% of the purchase price, repair costs and closing costs with a zero percent, deferred payment loan. The home buyer MUST get a mortgage for the other 51%. The county’s loan is not due & payable until the home is sold or transferred.
The program is targeting first-time homebuyers, so if you already own a home, don’t bother applying. Homes must also be purchased in one of 43 targeted municipalities in Oakland County.
There are also income limitations to be eligible. Examples - $58,700 for a single person, $83,900 for a household of 4. As required by HUD, three million of the five million total, will be reserved for low income households. Examples - $24,450 for a single person, $34,950 for a household of 4.
An Oakland County Home Improvement technician must be included in the transaction to estimate and approve repairs. All work must be done by county approved contractors. The county will also control and pay for the appraisal, to confirm the “as-is” and after repaired values.
This is a great opportunity for first-time homebuyers. The county has designed the program to assist those that need the most help and also to make sure those approved stay in their homes and become anchors for neighborhoods.
It’s only expected that about 100 homebuyers will be able to take advantage of the program before funds run out, but the county is hoping President Obama’s initiatives lead to further funding. Approvals will be granted on a first-come basis, but you must turn in a complete package or you’ll go back to the end of the line.
There are many other requirements and details for the program tat aren’t covered here, so please go to www.oakgov.com/chi. Applications are also available there.