homebuyer programs seminar - new castle county, delaware

Department of Community ServicesCommunity Development & Housing

Welcome

Down Payment Settlement (DPS) Assistance Program Update

Neighborhood Stabilization Program (NSP)

Inclusionary Housing ProgramsWorkforce HousingModerately Priced Dwelling Units

Delaware State Housing Authority

City of Wilmington Real Estate & Housing

Discussion

Closing Comments

Maximum Selling Price: $379,500

Maximum Income: 80% Area Median Income

Number inHousehold

Less than 80% of Area Median Income (AMI)

1 $50,480

2 $57,680

3 $64,880

4 $72,080

5 $77,920

6 $83,680

7 $89,440

8 $95,200

Purchase area is New Castle Countyexcluding the City of Wilmington

* Must be a first time homebuyer* Must be owner-occupied as principal residence

Maximum Loan Amount: $5,000

Terms: 8-year loanFirst 3 years, payments deferred$500 minimum cash requirementDebt-to-income (DTI) cannot exceed 52%20% liquid asset disqualifier

Interest Rate:

Resale Restrictions: Loan must be paid in full upon the sale of property; or transfer of ownership

Deferred payment loans offered to aid in covering normal and customary down payment and settlement costs.

0%

Home Inspection required• Property must be inspected by an ASHI, NAHI or InterNACHI

certified home inspector as a condition of the sale

• All homes built prior to 1978 must have a lead visual inspection. Repairs must be completed according to HUD guidelines

Housing Counseling requiredAll borrowers must be certified as having completed a Homeownership Education Program with a New Castle County recognized HUD approved housing counseling agency

Why NSP??

$189,900

Original Exterior Interior

COMING SOON!!

OVERVIEW GARDENS 46 Briarcliff Drive

Interior demolition is complete.Plans include 4BR, 2½ Baths

2 car detached garage

OAKMONT 85 Oakmont Drive

Interior demolition is complete.Out for bids

EDGEMOOR GARDENS48 S. Cannon DrivePlans approved.Going out to bid.

OVERVIEW GARDENS 9 Nieole Road

Just purchased by New Castle County

• Workforce Housing

• Moderately Priced Dwelling Units

Adopted in 2008 (Housing market crashed)

First Workforce Housing unit occupied in 2012

Voluntary Partnership with the local construction industry to include affordable homes in new communities.

This initiative does not use Federal, State or County funding.

Developers received density bonuses and relief from County Code if they agreed to provide affordable housing.

Workforce Housing is interspersed within the community. Units are indistinguishable from market rate homes.

Targets low (80% AMI) and moderate (120% AMI) income households.

Number inHousehold

Less than 80% AMI

Less than 120% AMI

1 $50,480 $75,7002 $57,680 $86,5003 $64,880 $97,3004 $72,080 $108,1005 $77,920 $116,7506 $83,680 $125,4007 $89,440 $134,0508 $95,200 $142,700

Unit Bedroom Size 0 1 2 3 4 5

Household Size 1 2 3 4 5 6

Annual Median Household Income for Household Size*

80% 80% 80% 80% 80% 80%$48,950.00 $55,950.00 $62,950.00 $69,900.00 $75,500.00 $81,100.00

Annual Housing Affordability Level** $14,685.00 $16,785.00 $18,885.00 $20,970.00 $22,650.00 $24,330.00

Monthly Housing Affordability Level $1,223.75 $1,398.75 $1,573.75 $1,747.50 $1,887.50 $2,027.50

Monthly Cost for Real Estate/School Taxes*** $196.31 $196.31 $196.31 $196.31 $196.31 $196.31

Monthly Cost for Homeowner' Insurance**** $45.71 $45.71 $45.71 $45.71 $45.71 $45.71

Monthly Maintenance Reserve (5%) $61.19 $69.94 $78.69 $87.38 $94.38 $101.38

Monthly Maintenance Association Fee***** $12.50 $12.50 $12.50 $12.50 $12.50 $12.50

Available for Mortgage Payment $908.04 $1,074.29 $1,240.54 $1,405.61 $1,538.61 $1,671.61

Interest Rate for Prevailing Rate-30 Year Fully Amortized Fixed Rate

Mortgage CalculationInterest Rate****** 4.06% Factor Per Thousand $4.84

FreddieMac March 28, 2019

Maximum Mortgage Loan Amount $187,612.09 $221,961.26 $256,310.43 $290,414.26 $317,893.60 $345,372.93

Maximum Sales Price$187,600.00 $221,900.00 $256,300.00 $290,400.00 $317,800.00 $345,300.00

Rounded Down to Nearest $100


Unit Household Size 1 2 3 4 5 6


120% 120% 120% 120% 120% 120%$73,440.00 $84,000.00 $94,440.00 $104,880.00 $113,280.00 $121,680.00

Annual Housing Affordability Level** $22,032.00 $25,200.00 $28,332.00 $31,464.00 $33,984.00 $36,504.00Monthly Housing Affordability Level $1,836.00 $2,100.00 $2,361.00 $2,622.00 $2,832.00 $3,042.00Monthly Cost for Real Estate/School Taxes*** $196.31 $196.31 $196.31 $196.31 $196.31 $196.31Monthly Cost for Homeowner' Insurance**** $45.71 $45.71 $45.71 $45.71 $45.71 $45.71Monthly Maintenance Reserve (5%) $91.80 $105.00 $118.05 $131.10 $141.60 $152.10Monthly Maintenance Association Fee***** $12.50 $12.50 $12.50 $12.50 $12.50 $12.50Available for Mortgage Payment $1,489.68 $1,740.48 $1,988.43 $2,236.38 $2,435.88 $2,635.38







There are deed restrictions and buyer’s agreements that impose restrictions on the home to ensure continued affordability (Most are 15 years)

⁻ Authorizes New Castle County to annually monitor for compliance

⁻ Limit future sales price of the home⁻ Limit future sales to income eligible qualified

buyers⁻ Restrict refinancing of the home⁻ Restrict the use of the home to owner

occupancy

Darley Green

The Estates at Goldsborough Farms

High Hook Farm

Ponds of Odessa

Preserve at Robinson Farms “Villas” at the Preserve at Robinson Farms (55+)

Spring Oaks

Located in Claymont, Delaware on Darley Road

Maximum Homeownership Price$296,316.29

Increases by 5% annuallySales Price excludes extras or premiums

*10 year affordability period*

107 Units Required120% AMI

Condos, Towns and Twins

LC HomesMontchanin Builders

Located in Townsend, Delaware on Fieldsboro Road

13 Units Required120% AMI (6)80% AMI (7)

Single Family Detached

Handler Homes is the builder.

WFH Unit available (80% AMI Buyer)for $295,446 – 4 BR, 2.5 Bath


Single Family Detached

Ryan Homes is the builder.

20 Units Required120 % AMI

Towns and Single Family Detached

Benchmark Builders

66 Units RequiredIncluding the Villas

80% AMI (33)Townhomes

Handler Homes is the builder.

66 Units RequiredIncluding the townhomes

120% AMI (33)55+ Community

Handler Homes is a builder.

Ryan Homes is a builder

Located in Middletown, Delaware on Dupont Highway


Townhomes offered

Five (5) year affordability period

Number inHousehold

Less than 100% ofMedian Income

1 $63,100

2 $72,100

3 $81,100

4 $90,100

5 $97,400

6 $104,600

7 $111,800

8 $119,000

NEW CASTLE COUNTYCOMMUNITY SERVICESINCOME GUIDELINESEffective April 14, 2017

SPRING OAKS

Landmark Homes

Ryan Homes

Adopted in 2014/2015

Mandatory and voluntary component

Required for all residential rezoningswith density increases proposing 25 or more dwelling units (doesn’t include Mixed Use Developments)

MPDUs are interspersed within the community. Units are indistinguishablefrom market rate homes.

Targets 75% AMI and 90% AMI income households.

Affordability period is ten (10) years.

Number inHousehold

Less than 75% AMI

Less than 90% AMI

1 $47,325 $56,7902 $54,075 $64,8903 $60,825 $72,9904 $67,575 $81,0905 $73,050 $87,6606 $78,450 $94,140




75% 75% 75% 75% 75% 75%$45,890.00 $52,460.00 $59,010.00 $65,530.00 $70,780.00 $76,030.00

Annual Housing Affordability Level** $13,767.00 $15,738.00 $17,703.00 $19,659.00 $21,234.00 $22,809.00

Monthly Housing Affordability Level $1,147.25 $1,311.50 $1,475.25 $1,638.25 $1,769.50 $1,900.75

Monthly Cost for Real Estate/School Taxes*** $196.31 $196.31 $196.31 $196.31 $196.31 $196.31

Monthly Cost for Homeowner' Insurance**** $45.71 $45.71 $45.71 $45.71 $45.71 $45.71

Monthly Maintenance Reserve (5%) $57.36 $65.58 $73.76 $81.91 $88.48 $95.04

Monthly Maintenance Association Fee***** $12.50 $12.50 $12.50 $12.50 $12.50 $12.50

Available for Mortgage Payment $835.37 $991.41 $1,146.97 $1,301.82 $1,426.51 $1,551.19










90% 90% 90% 90% 90% 90%$55,070.00 $62,970.00 $70,820.00 $78,650.00 $84,950.00 $91,250.00

Annual Housing Affordability Level** $16,521.00 $18,891.00 $21,246.00 $23,595.00 $25,485.00 $27,375.00Monthly Housing Affordability Level $1,376.75 $1,574.25 $1,770.50 $1,966.25 $2,123.75 $2,281.25Monthly Cost for Real Estate/School Taxes*** $196.31 $196.31 $196.31 $196.31 $196.31 $196.31Monthly Cost for Homeowner' Insurance**** $45.71 $45.71 $45.71 $45.71 $45.71 $45.71Monthly Maintenance Reserve (5%) $68.84 $78.71 $88.53 $98.31 $106.19 $114.06Monthly Maintenance Association Fee***** $12.50 $12.50 $12.50 $12.50 $12.50 $12.50Available for Mortgage Payment $1,053.39 $1,241.02 $1,427.46 $1,613.42 $1,763.04 $1,912.67







Ten (10) years

There are deed restrictions and buyer’s agreements that impose restrictions on the home to ensure continued affordability⁻ Authorizes New Castle County to annually

monitor for compliance⁻ Limit future sales price of the home⁻ Limit future sales to income eligible qualified

buyers⁻ Restrict refinancing of the home⁻ Restrict the use of the home to owner

occupancy

Camiorano Property Located on west side of Valley Road, north of Limestone Road Eleven (11) MPDUs Projected 1.5 years before construction

Cavaliers Country Club Located on the south side of Churchmans Road at Addison Drive 109 MPDUs Projected 2 years before construction

Brandywine Country Club Located on the west side of Shipley Road, south of Summerset Road 87 MPDUs Projected 3 years before construction

Crossings at Salem Located on east side of Salem Church Road, north of Route 40 198 MPDUs Currently INACTIVE

Village at LaGrange Located north side of Route 40 and west side of Glasgow Avenue 89 MPDUs Currently INACTIVE

www.newcastlede.gov/homebuyer

homebuyer programs seminar - new castle county, delaware

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