2008-04-15_Agenda - Laserfiche WebLink

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Green Desiqn Incentive: Any improvement that includes concepts of Green building such as energy efficiency, resource efficiency (including durability), indoor environment quality and water conservation may receive additional loan amounts up to $5,000 to cover the cost associated with the improvement. Improvements must be attached to the house excludes rain gardens and sprinkler systems. Loan Term: The maximum loan term is 10 years. Generally the term will be one year for every one thousand dollars borrowed. Loan Securitv: All loans will be secured by a mortgage in favor of the City. Debt - to - Income Ratio: Applicants must have the ability to repay the loan. Applicants who have a potential "debt - to - income ratio" in excess of 55% will be denied loan financing. Loan - to - Value Ratio: Applicants who have a potential "loan - to - value" ratio in excess of 115 % will be denied loan financing. Underwritinq Decision: Loans will be approved or denied by the Greater Metropolitan Housing Corporation through the HousingResource Center — NorthMetro (HRC). Loans will not be granted to properties with an existing reverse amortization mortgage, interest-only option mortgage or other negative amortization mortgage product or products. The underwriting decision is based upon review of a credit report and according to the following criteria which has been established by the City of Roseville. 1. No outstanding judgments or collections. 2. Property tax payments must be current. 3. No defaulted government loans. 4. Mortgage (or contract for deed) payments must be current. 5. Generally, no more than two 60-day lates on credit report. Any 60-day late requires a documented explanation and acceptable reasons; medical, unemployment, divorce. Underwritinq Process: HRC will have the final determination on applicant's eligibility. Appeals can be made to the City of Roseville. Eliqible Improvements: Interior and exterior repairs and improvements are all eligible. Decks, porches, retaining walls, skylights, garages, landscaping, and fences can be repaired, replaced or built as new construction. Contractors contracting for the work must be properly licensed by the City of Roseville. Permits must be obtained when required by ordinance. Ineliqible Improvements: This includes recreational or luxury improvements, working capital, payment for owner's labor, debt service or refinancing existing debts and other work items determined by HRC to be ineligible. Work bv Owner: Work can be performed on a"sweat equity" basis. Loan funds are for materials only, not for labor or tools. HRC will determine if the owner has the ability to properly complete the work within the program time requirement. Material must be purchased and installed prior to the disbursement of the loan proceeds. Under unusual circumstances, a partial advance will be provided to the borrower, a two-party check will be issued payable to both the borrower and the materials provider. When applicable, a Roseville Building Department permit must be obtained by the borrower. �., � . _„�:�� t �� ;�>- � �., ..�v _ti ��.. ,� , . . . ��.; � ° , :�_:� � �. . �: � �: ,.:., . � �� ,_t=�E� . w,�, d ., _ . .