1	Housing Authority of the City of North Las Vegas “Section 8 Housing Choice Voucher Homeownership Program”
2	The Objectives: To explain the basics of the Section 8 Homeownership Program; To present the benefits of the Program and the responsibilities of the participant. To enable you to make the correct decision whether to participate, if eligible.
3	Basic Purpose of the Homeownership Program To provide assistance to an eligible family towards the purchase of a home by subsidizing part of the family’s homeownership expenses.
4	Eligibility Requirements of the Program HUD (Department of Housing and Urban Development); and HACNLV (Housing Authority of the City of North Las Vegas).
5	HUD Eligibility Requirements: Eligible for the Section 8 Housing Choice Voucher Program; First time Homebuyer requirement; Minimum income requirement (except elderly and Disabled) - Federal minimum wage = $10,300.00; Minimum employment requirement - currently full time (not less than 30 hours per week) and continuously employed during the year; No previous default on a mortgage under the Homeownership Program; No ownership interest in a residence.
6	Housing Authority Eligibility Requirements: (in addition to the HUD requirements) No family caused violations of HUD’s Housing Quality Standards within the last one year period; Family is not within the initial one year period of a HAP contract; Family does not owe any money to the Housing Authority; Family has not committed any serious or repeated violation of a Housing Authority assisted lease within the past one year period.
7	Other Program Guidelines: (In addition to Eligibility) Complete pre-homeownership counseling; Unit must be eligible and pass two (2) inspections; Family monthly progress report to the HACNLV; Locate a home within 6 months after eligibility; Obtain Financing within 10 working days after locating home; Purchase the home within 90 days after locating a home. Proposed financing must be approved by HACNLV;
8	Other Program Guidelines (Continued) Minimum down payment – 3% of purchase price with 1% paid from family’s own resources; Maximum term of assistance – 10 years, if mortgage is less than 20 years; 15 years if mortgage is 20 years or longer (no minimum term if elderly or disabled). Recapture Requirement – HUD requires recapture during the first 10 year period. Recapture decreases at a rate of 10% each year thereafter. Must attend continuing post-homeownership counseling, if required by HACNLV.
9	Steps to Becoming a Homeowner Attend a Briefing by HACNLV; Complete Eligibility Procedures; Complete homeownership counseling with a qualified service provider of your choice; Pre-qualify with a lender of your choice; Locate a home to purchase; you may use a realtor of your choice; Execute a Purchase Agreement with Seller, submit agreement to HACNLV
10	Steps to Becoming Homeowner (Continued) Arrange for an independent inspection of the home, HACNLV will also conduct an inspection. Home must be approved by the HACNLV; Obtain your own financing; Housing Assistance Payment (HAP) Contract is executed between lender and HACNLV; Complete Home purchase; Move into your new home Homeownership assistance begins.
11	Ladder to Homeownership
12	Family Obligations During Assistance: Continuing homeownership counseling required by HACNLV after becoming a homeowner; Comply with the mortgage on the home; Unit must be the family’s only residence; Family composition must be approved, changes reported; Family cannot sub-lease or assign/transfer the unit Supply information required by HACNLV (example: recertification information); Notify the HACNLV before moving out of the house;
13	Family Obligations During Assistance: (continued) Notify the HACNLV if family defaults from mortgage. No family member may have any ownership interest in any other residential property; Must participate in the annual recertification. [HUD requires that before homeownership assistance begins the family must execute a “Statement of Family Obligations” agreeing to comply with all of the above.]
14	Sample Calculations of Homeownership Assistance: Family’s Monthly Adjusted Income = $2,000.00 Family’s Total Tenant Payment is 30% of MAI = $ 600.00 Family qualifies for a 4-br unit
15	Sample Calculations (continued) Voucher Payment Standard for 4-br = $1,288.00 Minus Total Tenant Payment (TTP) = ( 600.00) Homeownership Assistance = $ 688.00
16	Sample Calculations (continued) Principal & Interest on Mortgage = $ 800 Principal & Interest on Home Mortgage Insurance Premium = 30 Improvement Loan = 150 Taxes & Insurance = 200 Escrow Service Fee for Utility Allowance = 70 Mortgage Payment = 20 Allowance for Routine Repairs = 50 Allowance for Major Repairs = 100 Total Homeownership Expenses = $ 1,420 Minus: Total Tenant Payment (TTP) ( 600) Homeownership Assistance $ 820
17	End of Presentation……