Docstoc

Flagstaff Home Equity Loans

Document Sample
Flagstaff Home Equity Loans Powered By Docstoc
					          Izabel Homes – Permanently Affordable Homes Application Process

Thank you for your interest in purchasing a home in the Izabel Homes development. This partnership between
the City of Flagstaff, BOTHANDS, Inc. and Loven Contracting will create affordable single-family hom es for
households earning no more than 80% of the Area Median Income.

THE HOMES AVAILABLE THROUGH THIS APPLICATION PROCESS ARE PART OF THE CITY OF
FLAGSTFF COMMUNITY LAND TRUST PROGRAM AND ARE RESTRICTED TO LIMIT THE AMOUNT OF
EQUITY AVAILABLE TO THE OWNER AND ALL FUTURE OWNERS UPON TRANSFER, MORTGAGE,
REFINANCE OR OTHER TRANSACTIONS DEALING WITH THE PROPERTY. THIS IS INTENDED TO
MAINTAIN PERMANENT AFFORDABILITY AS A LONG TERM BENEFIT TO THE COMMUNITY.

Homes will be sold to households earning less than 80% of the Area Median Income (AMI). Please refer to
chart on page seven of the application to determine if you may qualify.

A description of the unit is attached below for your review. NOTE: resale price of units will not be equal to
market appreciation.

If interested in purchasing a permanently affordable home please provide:

      Application – FULLY COMPLETE THE ATTACHED APPLICATION & PROVIDE THE REQUIRED
       DOCUMENTS
      Evidence of lender pre-qualification from an approved lender – APPLICATIONS WILL BE DEEMED
       INCOMPLETE WITHOUT LENDER VERIFICATION OF PRE-QUALIFICATION
      Request for Verification of Employment – SIGN ONLY AND RETURN WITH APPLICATION – DO NOT
       HAVE YOUR EMPLOYER COMPLETE.
      Application Fee – BOTHANDS REQUIRES APPLICANT TO PROVIDE A MONEY ORDER FOR THE
       APPLICATION FEE WITH THE COMPLETED APPLICATION OF $15 PER ADULT OVER 18 YRS
       OLD IN THE HOUSEHOLD; THIS WILL PAY FOR BOTHANDS TO RUN A CREDIT REPORT FOR
       EACH INDIVIDUAL. BECAUSE BOTHANDS IS A NONPROFIT ORGANIZATION THE INQUIRY
       WILL NOT IMPACT THE APPLICANTS’ CREDIT SCORES.

Completed Applications will be received in person at:

                                                BOTHANDS, Inc.
                                Attention: Izabel Homes Eligibility Determination
                                                2304 N. Third St.
                                               Flagstaff, AZ 86004

Applicants will go through two rounds of screening. The first round will determine whether the household meets
basic eligibility criteria to purchase the home. For that screening BOTHANDS will determine the following: (1)
household size, (2) household income, (3) household income as a percentage of area median income, (4)
whether all members of the household are legal permanent residents. The second round of screening will
evaluate the applicant’s ability to purchase the home – can the client get to the purchase price through a
combination of buyer contribution, mortgage and available financial assistance. For this determination, the
mortgage must meet BOTHANDS’ guidelines for affordability.
Should the applicant be determined eligible and able to purchase (both levels of screening identified above)
he/she will be included in a lottery to select households for the option to purchase.
In order to purchase an Izabel Home, all adult members of the household must complete homebuyer
education through an approved homebuyer education provider prior to signing a purchase contract.
Workshops are available in Flagstaff monthly at BOTHANDS. A schedule of upcoming workshop dates is
available at www.bothands.org/services_homebuyer_education.html.



                                                                                                                1
CITY OF FLAGSTAFF IZABEL HOMES                                                                 BOTHA NDS Us e Only
                                                                                            Date Received:
ELIGIBILITY APPLICATION                                                                     Time:
THIS IS AN ELIGIBILITY APPLICATION, IT DOES NOT GUARANTEE                                   Staff:
THE PURCHASE OF A UNIT

        Original forms must be submitted to the address below; faxes/electronic copies will not be accepted:

In Person:
BOTHANDS, Inc.
Attention: Izabel Homes Eligibility
2304 N. Third St.
Flagstaff, AZ 86004

HOUSEHOLD INFORMATION

Applicant name:                                     Co-Applicant name:
Current Address:

City:        State:      Zip code:

Home Phone:                               E-mail:                                 Cell Phone:

May we contact you at work?           Y        N          Work Phone:

Marital Status / Check one:          Single           Married          Divorced       Separated    Widowed

List dependents that applicant or co-applicant have legal custody of (use back for additional dependents):
   Name:                                     Age:           M / F:         Relationship:
1.
2.
3.
4.

Are applicants over 18?        Yes            No

Are applicants US citizens or lawfully admitted permanent residents?                Yes      No

What do you currently pay in rent? $

Have you owned a home in the last 3 years?                Y        N
If so, what is the address?        Date sold:

List all assets including real estate or land, stocks, bonds, IRA, employee plans:

Checking $              Savings $                   Cash Value $

IRA $                   Other $                     Other $               Other $




                                                                                                                     2
EMPLOYMENT INFORMATION

APPLICANT

Employer:                                  Job Title:

Address:

Hours per week:                            Start Date:

Gross monthly income: $

How are you paid?       Weekly         Bi-weekly        Monthly

Secondary Employer:                                Job Title:

Address:

Hours per week:                            Start Date:

Gross monthly income: $

How are you paid?       Weekly         Bi-weekly        Monthly

Previous Employer:                         Job Title:             Duration of Employment:



CO-APPLICANT

Employer:                                  Job Title:

Address:

Hours per week:                            Start Date:

Gross monthly income: $

How are you paid?       Weekly         Bi-weekly        Monthly

Secondary Employer:                                Job Title:

Address:

Hours per week:                            Start Date:

Gross monthly income: $

How are you paid?       Weekly         Bi-weekly        Monthly

Previous Employer:                         Job Title:             Duration of Employment:


If there are other adult household members receiving any form of income, please attach a separate sheet with
                                      their current income information.

                                                                                                           3
Please list other monthly income:

Alimony: $                          Applicant:            Co-Applicant:

Disability: $                       Applicant:            Co-Applicant:

Unemployment: $                     Applicant:            Co-Applicant:

Other: $                            Applicant:            Co-Applicant:



DEBT INFORMATION: To whom does your household owe money?
(Include money owed to governmental and other entities for past housing, student loans, back taxes, credit
cards, car payments, medical bills, etc.)

  Company:                                       Monthly Amount:               Balance:
1.
2.
3.
4.

                           **PLEASE ATTACH ADDITIONAL LIST IF NECESSARY**

REALTOR AND MORTGAGE INFORMATION: If you have contacted or are working with a Realtor and/or
Lender, please furnish the following information:

Realtor’s Name:
Name of Real Estate Company:
Phone Number:

Lender’s Name:
Name of Company/Bank:
Phone Number:

How long have you lived in Flagstaff?            years

Have you attended a City of Flagstaff-approved homebuyer education?             Yes       No
If yes, offered by whom?                     Date of completion:

Have you applied for homebuyer assistance with a HUD accredited program?               Yes     No
If yes, what is the name of the program?            Where is it located?

Have you been approved for homebuyer assistance?             Yes          No

If I do not qualify for this program, would you like to be kept on our mailing list?   Yes     No

Would you like to be notified of other affordable homeownership opportunities in Flagstaff?
                                                                                   Yes      No




                                                                                                             4
If you answer YES to any of the following questions, attach a separate letter of explanation for each one.
1. Are there any outstanding judgments, liens or taxes against you?                   Y       N
2. Are there any unpaid debts from any other residence you have owed?                 Y       N
3. Have you had property foreclosed upon in the last 3 years?                         Y       N
4. Are you party to a lawsuit?                                                        Y       N
5. Are you a co-signer/endorser of a loan or note?                                    Y       N
6. Do you currently have accounts in collection?                                      Y       N
7. Do you currently have past due accounts? (rent, utilities, telephone)              Y       N
8. Do you have any outstanding medical bills?                                         Y       N
9. Are you obligated to pay alimony, child support, or separate maintenance?          Y       N
                                                                                   Monthly $
10. Have you ever declared bankruptcy?                                                Y       N
                                           Type          Date filed        Date Discharged

Identify below any special modifications required for the accommodation of physical challenges.



I/We hereby certify that all the statements I have made on this application are true to the best of my
knowledge. I understand that any false statements are unlawful and can be cause for disqualification. I
understand all information will be held in confidence by the City of Flagstaff and its representatives and
that a credit report may be requested to verify the information provided.

I/We authorize the agency to obtain verification from any source named in this application and further, to
check my/our credit and employment history and to inquire about me/us.

I/We hereby give permission to BOTHANDS to examine personal documents of mine/ours and to inquire
into my/our financial affairs in order to determine my/our qualification for assistance under any of the
housing programs provided by BOTHANDS and to determine our financial ability to purchase a home in
the Izabel Homes development.

I/We hereby give permission to BOTHANDS to run my/our tri-merge credit report for the purpose of
determining our financial ability to purchase a home in the Izabel Homes development.


Applicant                                                                   Date



Co-Applicant                                                                Date




    Attach additional information if necessary. If you have any questions, please call: (928) 214-7456
                                   City of Flagstaff TDD (928)-774-5281
                                            Arizona Relay (7-1-1)
 PERSONS REQUIRING SPECIAL HEARING, VISUAL, MOBILITY OR OTHER ACCOMMODATIONS MAY
                         CONTACT (928) 214-7456 TO MAKE ARRANGEMENTS



                                                                                                             5
               Flagstaff Permanent Affordability Program Eligibility Application Disclosure Form
                             Please complete and initial the following items:

____I/We certify that our household is ______ persons and the use of this home will be my/our primary
   residence.

____I/We certify that our annual total household income is $____________ as documented herein, and does
   not exceed the income limits provided in the Application Package.     Income from all adult household
   members has been included.

____I/We have attached, as required, documentation that I/we have the financial means to purchase a
   Flagstaff Permanent Affordable unit.

____I/We certify that I/We have read the attached Application Rider Summary and understand the purchaser
   obligations described in that document or shall seek legal or other counsel for further explanation and
   understanding.

____I/We certify that the information in this application and in support of this application is true and correct to
   the best of my/our knowledge and belief.

____I/We understand that if I/We are selected to purchase a unit, I/We must continue to comply with conditions
   set forth in the ground lease agreement, which we will sign at the time of purchase; a copy of the ground
   lease is available for review on the BOTHANDS and City websites.

____I/We certify that no member of our family has a financial interest in the Izabel Homes development.

____I/We authorize BOTHANDS, Inc. to obtain verification from any source named in this Eligibility Application
   and further, to check my/our credit and employment history and to inquire about me/us.

____I/We understand that through the Land Trust model we will be purchasing the improvements (structure)
   and leasing the land through a 99-year renewable land lease. We understand that we will be obligated to
   pay a monthly lease fee of at least $30 upon the purchase of our home and that this lease fee may be
   adjusted throughout our ownership period as outlined in the ground lease document.

____I/We herby give permission to the City and BOTHANDS to examine personal documents of mine/ours and
   to inquire into my/our financial affairs in order to determine my/our qualification for assistance under any of
   the housing programs provided by BOTHANDS.

Please read each item below carefully before you sign.

1. I/We understand that this is a preliminary application and the information provided does not guarantee
housing. Additional information and verifications may be necessary to complete the application process.

2. I/We understand that I/We may submit only ONE application per household and submitting duplicate
applications will disqualify my household from the application process.

Your signature gives consent to BOTHANDS and its agents to verify information provided in this application.
Applicant agrees to provide additional information on request as needed. Application must be signed and
dated in order to be considered complete. Signed under the pains and penalties of perjury.

Applicant’s Signature_________________________________             Date _______________________

Co-Applicant’s Signature _______________________________ Date ________________________
                                   APPLICATION RIDER SUMMARY
                                 FLAGSTAFF LAND TRUST PROGRAM

                                                                                                                 6
                                 ELIGIBILITY APPLICATION RESRICTIONS

This summary is for informational purposes only; it is not a substitute for independent legal advice.
This document is intended to highlight some of the obligations a purchaser will have as set forth in the
City of Flagstaff Land Trust Ground Lease. Certain restrictions apply to each unit, which are
summarized below.

   1. Income and Assets: In order to purchase a home in the Izabel Homes project, buyers must not
      exceed the maximum allowable income for households at 80% Area Median Income (AMI) for the
      Flagstaff area, as determined by HUD. Applicants must meet income restrictions at time of closing. If
      income exceeds HUD allowable maximum at time of closing, the applicant will be disqualified and the
      unit will be offered to the next eligible applicant.

   2. Use Restriction: A Land Trust Program unit must be owner-occupied. Renting, subletting or using the
      unit as a secondary or commercial dwelling is not allowed except as outlined in the ground lease
      agreement.

   3. Right of First Refusal: If the owner of a Land Trust unit plans to sell the unit, they must give written
      notification to the City of Flagstaff prior to the sale of the unit. The City of Flagstaff has right of first
      refusal and will actively seek to match an eligible buyer to the unit for sale.

   4. Maximum Resale Price: A Land Trust Program unit must be sold to another eligible buyer at the price
      determined by the resale formula outlined in the Ground Lease document.

   5. Additional Requirements: The above list is meant as a summary only. If you are offered a Land
      Trust Program unit, the ground lease and other restrictions will be given to you for review prior to
      signing the purchase and sale agreement. You may want to have an attorney review these documents
      with you. The ground lease is available on the City of Flagstaff website at www.flagstaff.az.gov/housing.

                               I have read and understand the provisions above.


Applicant’s Signature __________________________________ Date_____________________


Co-Applicant’s Signature _______________________________ Date ____________________

                            2010 HUD Area Median Income (AMI) Guidelines

                                  House-hold Size                  80%
                                          1                       $35,800
                                          2                       $40,900
                                          3                       $46,000
                                          4                       $51,100
                                          5                       $55,200
                                          6                       $59,300
                                          7                       $63,400
                                          8                       $67,500




                                                                                                                 7
                                   BOTHANDS, Inc. Declaration of Income

Print Full Name, Applicant:
Print Full Name, Co-applicant:

BOTHANDS’ funding sources require you to report all income and assets, (including property), currently being
received, or that you know you will be receiving within the next 12 months, by all persons, related or unrelated,
who are living in, or temporarily absent from, your household. (Exception: If you are currently living at home
with parents, their income information does not need to be included if they will not reside with you in the home
you are applying to purchase.)

Do you or other household members have, or anticipate having, any of the following:

       YES     NO
                      Employment: ____ Full Time _____ Part Time (this includes temporary service)
                      Self-employed, includes odd jobs and babysitting
                      Unemployment benefits
                      Disability compensation (Workman’s Comp, State, etc.)
                      T.A.N.F. (Temporary Assistance for Needy Families)
                      Food Stamps
                      D.E.S. Child Support Payments (pass-thru)
                      Child Support, Alimony, Spousal Maintenance
                      Foster Child Support or Adoption Support Payments
                      General Assistance (G.A.)
                      Social Security (SSI or SSDI)
                      Veteran’s Benefits, Disability or Pensions
                      Pensions, Retirement Benefits or Annuities
                      Checking Accounts (bank, credit union or other financial institutions)
                      Savings Accounts (bank, credit union or other financial institutions)
                      Other Assets: 401K, IRA, mutual funds, stocks, bonds, certificates of deposit,
                      notes, etc.
                      Military Pay and/or Allowances
                      Insurance Settlements or Death Benefits
                      College Grants, Scholarships, Stipends or Work Study
                      Government Funded Programs (WIN, CETA, VISTA, etc.)
                      Real Estate or Income from Property and/or Business
                      Have you disposed of (sold) any assets in the last two years?
                      Do you have any other income or assets not listed above? If yes, explain below:


I/We certify the above information is full, true and complete to the best of my/our knowledge. I/We understand
that failure to accurately report ALL income and/or assets can result in a denial of homeownership as sistance.


Applicant Signature                                         Date


Co-applicant Signature                                      Date


Other Adult Member of Household, 18 yrs. or older           Date




                                                                                                                8
                 BOTHANDS, Inc. Credit Report Authorization & Privacy Disclosure Form

I authorize BOTHANDS, Inc. to obtain and review a consumer credit report through a credit-reporting agency
chosen by BOTHANDS. I understand and agree that BOTHANDS intends to use the consumer credit report for
the purpose of evaluating my financial readiness to purchase a home. I will allow BOTHANDS homeownership
partners to share my credit report among partners to further the goal of obtaining a home through BOTHANDS
and the City of Flagstaff’s Land Trust program.

In addition, in connection with determining my ability to obtain a loan, I

           authorize
           do not authorize

BOTHANDS to share with potential mortgage lenders my credit report and any information that I have
provided, including any computations and assessments that have been produced based upon such
information. These lenders may contact me to discuss loans for which I may be eligible.

My signature below authorizes the release of financial information to the credit reporting agency or any
mortgage lender, which I have supplied to BOTHANDS in connection with its provision of homebuyer
counseling.

Authorization is further granted to the credit reporting agency to use a photocopy reproduction of this form if
required to obtain any information necessary to complete my consumer credit report.

I understand that I may revoke my consent to these disclosures by notifying BOTHANDS in writing.

Applicant:                                            Co-Applicant:

Name:                                                 Name:

Social Security Number:                               Social Security Number:

Date of Birth:                                        Date of Birth:

Current Address:
City:         State:        Zip:
How many years at this address?

Previous Address:
City:         State:        Zip:
How many years at this address?




Applicant Signature                    Date           Co-applicant Signature               Date




                                                                                                                  9
10
11
                            BOTHANDS, Inc. Application Completeness Checklist

In order to ensure your application to determine eligibility to purchase an Izabel Home is complete, please
utilize the checklist below:


Application Documents To Complete:
   Completed and Signed Eligibility Application
   Completed and Signed Eligibility Disclosure Form
   Signed Application Rider Summary
   Completed and Signed Declaration of Income Form
   Completed and Signed Credit Report Authorization & Privacy Disclosure Form

Supporting Documents to Provide:

You must provide copies of these document for BOTHANDS to keep in your files. A copy machine will not be
made available to you. Documents will not be returned to you – do not drop off any original documents.

     Social Security Cards for all members of the household (adults & children)
     Photo ID copies for all adults in the household
     Tax returns for past two years
     W-2-s for all wage earners for past two years
     Pay stubs for the past two months for all wage earners 18 yrs old and older
     Three months of bank statements for all accounts (including retirement accounts)
     Documentation for any additional income, including child support, alimony social security, etc.
     Signed Verification of Employment for all employers for all members of household over 18 yrs. old
     Loan Status Report from an approved lender partner, verifying mortgage eligibility

Prime Lending
Erin Moore
2050 S. Woodlands Village Blvd., Ste. 2
Flagstaff, A Z 86001
(928) 779-9500

or

Wells Fargo Home Mortgage
Nancy Sullivan
1120 W. University Ave., Ste. 101
Flagstaff, A Z 86001
(928) 213-6014

     Application Fee: $15 for every adult member in the household,
         needs to be provided to BOTHANDS in a money order.




                                                                                                              12

				
DOCUMENT INFO
Description: Flagstaff Home Equity Loans document sample