MAIN SELECTION CRITERIA

•     Need for adequate shelter

•     Ability to pay for a Habitat home

•     Willingness to partner with Habitat

 

I- NEED FOR ADEQUATE SHELTER (One or more criteria must apply)

1. Current shelter has problems with the heating system, water supply, electricity, bathroom(s), kitchen, structure, handicap accessibility, etc.

2. Current shelter has an inadequate number of bedrooms as determined by

a) Number of persons in the household

b) Ages of household members

c) Sex of household members

3. The current neighborhood is unsuitable (unsanitary or unsafe as reported by the police department)

4. The applicant is unable to get a conventional or government-assisted mortgage loan to purchase a home.  (Applicants in the maximum range of income guidelines must provide proof of inability to receive other loans)

5. Current housing payment exceeds 30% of gross income and is unaffordable.

6. The maximum household gross income is less than 65% of the median family income as provided by HUD for Alexander County (exceptions may be made by the Family Selection Committee based on special circumstances.)

II- ABILITY TO PAY FOR A HABITAT HOME

1. The applicant must have a combined annual household income as shown in this chart that indicates the family size and income guidelines by the year.

2. The applicant must make a down payment of $1000.00 (At least $50/month with balance due on day of closing), or enroll in a First Time Home Buyer program.  See Down Payment Policy for more details.

3. The applicant has a source of verifiable, steady income (earned/unearned) for approximately 3 years.

4. Debt (fixed bills) and housing should not exceed 40% of a family's monthly income.  (Installment payments paid off in less than one year are not included.)

5. The applicant must have a satisfactory credit history.  Evidence of willingness to pay off bad debts and financial judgments must exist.  All financial judgments must be cleared prior to closing.  A repayment schedule, which is satisfactory to creditors and Habitat, must be established and implemented for all outstanding collections.  A current bankruptcy may affect your eligibility for a Habitat house.

6. Household income must not be threatened by home ownership, i.e. household income must not stop or substantially decrease if the applicant owns a home.

III- WILLINGNESS TO PARTNER WITH HABITAT

1. Applicant has been a resident of Alexander County for at least 1 year or worked in Alexander County for at least one continuous year.

2. Each applicant must participate in Habitat's educational program, which includes financial counseling, household management education, and homeowners' association meetings.  (25 hours for each homeowner is required)

3. To be considered for a house, an applicant MUST turn in all necessary paperwork within time limits.

4. Before board approval, applicant will ask neighbors, landlord, co-workers, pastors and friends to complete Habitat personal reference forms and return them to Habitat.

5. The applicant household will be checked to see if they take care of their current residence and they will be required to maintain their Habitat home upon occupancy.

6. Willingness and ability to contribute "sweat equity":

*Requirements for co-applicants are 500 total hours.  Requirements for a single applicant are 250 total hours and the amount of hours will be indicated by a parentheses (  )

a) Before work is started on applicant's house, applicant must work 50 (25) hours building other Habitat houses plus another 50 (25) hours either in construction or other Habitat projects.  Extended family may not help with these hours.

(b) 150 of the 250 hours (per applicant) must be spent on the applicant's home construction.  Half of those hours (75 hours per applicant) can be credited to extended family, friends, etc. (not to include Habitat employees, other Habitat families, Home sponsors, regular volunteers, etc.)

(d) Teenagers in the home are expected to contribute to the total amount.