There is a cool program in Longmont; it’s a city ordinance in fact, to help income qualified buyers get into nice properties in Boulder county.  “Through the Community Housing Program, the City, in cooperation with housing developers, makes brand new homes available for sale at affordable prices. The savings is passed on to income eligible buyers. Once purchased, a Covenant is placed on the property to keep it affordable for a minimum of 10 years …” so says the city literature on this matter.

 

I’m working with a buyer, a second year school teacher who deserves any and every break he can get on housing given the salary schedule of St. Vrain Valley. When I discovered this program I knew he would be a perfect fit.  By “income qualified” that means, income limits for 1 person is in the ballpark of $43k and for 2 people it’s about $49k. Any first year teacher, police officer, fire fighter or other halo worthy (in my opinion) civil servant would certainly be under these income caps. The other thing that is imperative to qualify is that you need good credit. This is NOT a subprime program. Not that ANYBODY is offering those anymore, anyway …

 

There are several hoops to jump through for the buyer I am learning:

• Application- The application packet is volumous, of course – tax returns, w-2s, (name of first born child, OR your favorite boy and girl names in case you’re not in the position of having had to actually attach a name to any particular infant just yet.)
• Class - You must be prepared to devote an entire Saturday to a mandatory Home Ownership “And is it right for you??” Class - but thankfully the class is free AND lunch is provided.
• Advisor Meeting - As a final step you must meet with a personal Housing Counselor, one on one, and earn your certificate of eligibility. This certificate verifies that your budget will logically support the new mortgage you’re seeking. (Something some lenders don’t always seek to do.)
• Contribution – Also, you need to be able to bring at least one grand to this deal. Conveniently, that is roughly what you would need for earnest money on most of these properties anyway. (If you’re a first time buyer, there is down payment assistance beyond that, but remember the $1000 is mandatory.)

 

Anyway, one big deal to remember if you’re going to look into this type of purchase is that there are significant covenants placed upon the ownership of this type of property. That is something I’ll talk about in another post.

 

Enough info is enough for now. If you think you’re “income qualified” and are ready to ditch the black hole of renting, give the Community Housing Program a look. Contact person for the City of Longmont is Molly McElroy, 303.651.8530 - she’s super accessible and ready with useful info.  

 

Or call me – 720.291.1801! I’m looking to become the resident expert on this highly needed, perhaps under-utilized, city program! More to follow …