Homeownership family2

 

 

 

The process from application to owning a home may take approximately 6-18 months.

Habitat is a long-term homeownership program and does not provide emergency housing. The following are general guidelines for eligibility to purchase a Habitat home.

You may be eligible to purchase a Habitat home if you meet these 3 mandatory guidelines:

  1. Need
  2. Ability to pay
  3. Willingness to partner with Habitat

Housing Need

Applicants should have a housing need such as living in overcrowded conditions or unsafe environments, having high housing costs, or being unable to qualify for a traditional home loan. If qualified financially, applicants will receive a home visit to further evaluate their housing need. Applicants should not have owned a home in the last three years nor had a foreclosure in the last four years. Lakeway Area Habitat for Humanity  serves those living or working in Grainger and Hamblen counties for at least 12 months.

For Habitat affiliates in other areas, visit www.habitat.org.

Willingness to Partner

Applicants must be willing to attend classes and volunteer with Habitat to earn “sweat equity” hours.  Once individuals are qualified as a Partner Family, they are required to work a minimum of 400 “sweat equity” hours for a two-partner family or 300 sweat equity hours for a single-partner family. The sweat equity hours consist of construction hours, working at the Recycling Hope Thrift Store, and classes such as budgeting and home maintenance.

After completing their sweat equity hours, the family is eligible to buy a Habitat house with a 20-30 year no-interest loan. The amount of the loan is based on the affordability of the family. The cost is much lower than a typical house because volunteers donate much of the construction labor. This also makes the monthly payments very affordable. Mortgage payments are used to support Habitat programs in Hamblen and Grainger Counties.

A Habitat home is a simple, decent, low maintenance, energy efficient house. There are no frills and no basement. Central heat and air are included.

Ability to Afford Homeownership

Applicants must prove their ability to afford the monthly mortgage and household expenses. Applicants must also meet income guidelines. Income must be within the minimum and maximum range for your family size listed below.

Family size           Minimum Yearly                        Maximum Yearly

  1.                           $ 10,350.00                               $ 20,700.00
  2.                           $ 11,800.00                                $ 23,640.00
  3.                           $ 13,300.00                               $ 26,580.00
  4.                           $ 14,750.00                               $ 29,520.00
  5.                           $ 15,950.00                               $ 31,920.00
  6.                           $ 17,150.00                               $ 34,260.00

Income guidelines are subject to change. Check with the LAHFH local offices for current  income requirements.