The Homeownership Voucher Program is offered to eligible Mid Columbia Housing Authority Section 8 rental voucher participants.

The program allows first-time homeowners to use their housing assistance payment (HAP) to meet their monthly homeownership expenses such as mortgage payments, utilities, maintenance and upkeep of the property.

Section 8 Housing Choice Voucher participants who wish to join the program must meet certain eligibility requirements. Once Section 8 participants have been deemed eligible to participate, they will be required to take a homeownership education course and participate in individual one-on-one counseling.

In addition, participants will be required to find their own home and secure their own mortgage financing through a lender.

FAMILIES THAT QUALIFY

Participating in the Homeownership Voucher Program is completely voluntary.  If a family is interested in the homeownership option they must:

ü      Have completed an initial one year lease term

ü      Be a first-time homeowner (not having owned title to a principal residence in the last three years).

ü      Have no ownership interest in a residential property.

ü      Be in full compliance with Section 8 and not committed any violation of Family Obligations for the past year.

ü      Have an annual income for at least one adult family member of federal minimum hourly wage multiplied by 2000 hours (except elderly or disabled)

ü      Have at least one or more adult family members employed full time (at least 30 hours a week or more)

ü      Satisfactorily complete MCHA´s first time homebuyers training course and enroll in MCHA´s housing counseling program.

ü      Not defaulted on a Mortgage loan.

ü      Sign a Family Obligations Statement with MCHA.

HOMES THAT QUALITY

MCHA reserves the right to determine if the home selected by the family is eligible for participation in the program. To be eligible the home:

ü   Must already exist or is under construction at the time the Contract of  Sale is signed.

ü   Be located in the Oregon counties of Wasco, Hood River and Sherman or the Washington counties of Klickitat or Skamania.

ü   Pass both an initial Housing Quality Standards (HQS) inspection and be inspected by a licensed home inspector (At the family´s expense) and meet any other requirements that the lender may have.

FINDING A HOME

MCHA does not provide help in searching for a home to buy.  However, we will explain the search process to you, including working with realtors, identifying neighborhoods, and deciding what kind of home best meets your family´s needs.

Please remember that you will have a limited time, 180 days, to locate a home and to obtain financing from the date the family´s eligibility is determined.

PRE-ASSISTANCE HOMEOWNERSHIP COUNSELING

Participating families must attend and satisfactorily complete an initial orientation session and a first ?time homebuyers training course.  They must also agree to participate in on-going homeownership counseling after they purchase a home.

MORTGAGE FINANCING

Participating families monthly assistance payments (HAP) will go to wards their mortgage payments.  MCHA anticipates that the mortgage lender will consider the voucher assistance when underwriting the loan; however, the underwriting standards of the individual lender and/or financing program will apply.  However, the HAP may not be used to assist with financing costs such as down-payment or closing costs. Also, MCHA reserves the right to determine affordability of financing as well.

Families will be responsible for securing their own mortgage financing.  MCHA will help by developing partnerships with lenders to assist the family in obtaining financing, but MCHA may not require the family to use a certain lender. MCHA will require lenders to comply with FHA or with generally accepted mortgage underwriting standards.

And remember, when seeking a loan, lenders are going to look at your:

ü      Credit and Debt

ü      Savings

ü      Income and Employment History

And finally, MCHA reserves the right to determine affordability of financing on a case-by-case basis.

FAMILY SHARE

The family is responsible for a down payment of at least 3% of the purchase price, where 1% of the purchase price comes from the family´s own resources (meaning no gifts or grants).

The family is responsible for all homeownership expenses not covered by the housing assistance payment (HAP).  For instance, if the monthly homeownership expenses exceed the payment standard, the family is responsible for paying the difference in addition to the required Total Tenant Payment (TTP).

HOMEOWNERSHIP ASSISTANCE PAYMENTS

MCHA will make the monthly homeownership housing assistance payment (HAP) directly to the lender unless the lender requests another arrangement.

MCHA will pay homeownership assistance payments (HAP) only while the family resides in the home. The amount of these monthly homeownership assistance payments will be the lesser of:  1) the Section 8 payment standard minus the Total Tenant Payment (TTP) or 2) the monthly homeownership expenses minus the TTP.

MCHA will annually re-examine the family income and composition and make appropriate adjustments to the amount of the monthly assistance payments.

DENIAL OR TERMINATION OF ASSISTANCE

Homeownership assistance payments can be denied or terminated for:

ü      Failure to comply with the basic voucher program requirements.

ü      Failure to comply with the Homeownership Program Family Obligations.

ü      Mortgage Default.

If the family defaults on their home mortgage loan, they will be terminated from the Section 8 Rental Voucher and Homeownership Program but may re-apply for the Section 8 Rental Voucher Program.

TERM OF ASSISTANCE

There is no time limit for elderly and disabled households. For all other families, there is a mandatory term limit of 15 years if the initial mortgage for the home is 20 years or longer. For all other cases, the maximum term of homeownership assistance is 10 years.

WE ARE HERE TO HELP

MCHA is holding Orientation meetings to explain the homeownership program and to help families determine if they are eligible for this unique opportunity.

For those families that are ready to purchase a home now, our Homeownership Counselors will help in preparing documents that you will need in order to be pre-approved by a lender for a mortgage loan.  For those families that want to purchase a home in the future we will help them create a plan to achieve that dream

To find out when our next Orientation Session will be held or to schedule a meeting with our Homeownership Counselor please call us at: 541.296.5462.  Toll free in Oregon and Washington 1.888.356.8919 or write us at 312 Court Street Suite 419, The Dalles Oregon 97058