January 25, 2013 | 3 views
Foreclosed homes to affordable housing
With a growing need for affordable housing, Nassau County Executive Edward P. Mangano announced a program that enables the county’s partners in the Neighborhood Stabilization Program to rehabilitate foreclosed houses with Federal funds for purchase by first-time home buyers.
County Executive Mangano stated, “With the use of Federal dollars, this program reclaims foreclosed homes, assists first-time homebuyers and helps stabilize residential neighborhoods by maintain home values. It’s a win-win for Nassau County.”
The funding for rehabilitation of four homes has been authorized by the County Legislature, thereby making these houses available to an income eligible family. Eligible homes are in “target areas” including Elmont, Valley Stream/North Valley Stream, Freeport, Uniondale, and Roosevelt. Federal Housing and Urban Development (HUD) program guidelines cite an eligibility income level of 120% of the area median income for interested homebuyers. Currently, a family of four can earn up to $129,000 and qualify for the program. Applications may be completed on the County’s Economic Development website - http://www.nassaucountyny.gov/agencies/OCD/nsp4a.php after viewing the available properties.
Once renovated, these homes may not be sold above the appraised value. The County may assist with the purchase price of the home, by subsidizing the purchaser with funds from the state’s Affordable Housing Corp. up to $40,000. Those applying may not exceed income limits; they must occupy the home as their primary residence for up to15 years (depending on the level of subsidy); must have no foreclosures in the last five years or bankruptcies in the last three years; and have the resources to qualify for a fixed rate mortgage.
Nassau County works with program partners to identify eligible foreclosed and abandoned homes. Under the first round of the Neighborhood Stabilization Program, the County’s program partners purchased 30 foreclosed homes ineligible areas. Thus far, 17 homes have been sold to eligible first-time home buyers while another 13 are in various stages of development and being readied for contracts.