SCHH Homeowner Orientation


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South County Habitat for Humanity builds safe, decent, affordable housing in partnership with people in need in Washington County, Rhode Island. This is a powerpoint presentation created to educate potential homeowners about homewonership opportunities with SCHH.

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  • Sample ScriptHi. My name is FULL NAME. I am a Habitat volunteer and I’d like to thank you for joining us this evening. Tonight’s presentation is intended to give you an overview of South County Habitat for Humanity and the Qualifications and Process for Habitat Homeownership. (Click to advance.)
  • Sample ScriptMany people here in South County are struggling to find a satisfactory home that they can afford.That struggle explains why SCHH was originally formed and continues to serve the community.Let’s start by learning a little bit about South County Habitat for Humanity.(Click to advance.)
  • Sample ScriptThe house must be Simple.Habitat houses are modestly-sized. They are large enough for the homeowner family's needs, but small enough to keep construction and maintenance costs to a minimum.The house must be: Decent.Habitat for Humanity uses quality, locally-available building materials. Habitat house designs reflect the local climate and culture.And the house must be: Affordable.The labor of volunteers and partner families, efficient building methods, modest house sizes and zero-interest loans make it possible for low-income families to purchase Habitat houses and to maintain the homes over the years.(Click to advance.)
  • Sample ScriptWhile Habitat’s mission is to build simple, decent and affordable homes. It has other important criteria for homes. One of those criteria is that Habitat homes must be “green,” meaning that the house must meet Energy Star and LEED standards for energy efficiency and environmental friendliness. Green building is an exciting new trend in home building, and South County Habitat is committed to learning and implementing as many new green technologies as possible, while still maintaining housing affordability.Tell about THIS HOUSE.(Click to advance.)
  • Sample ScriptAll new South County Habitat houses will also meet ADA standards for accessibility, which mean they come equipped with ramps, wide hallways, and other features as required.This is important not only for potential Habitat homeowners, but also for their guests!DISCUSS ACCESSIBILITY FEATURES OF THIS HOME.(Click to advance.)
  • Sample ScriptThe underlying principle for all of the Habitat for Humanity organizations is that they are part of an ecumenical Christian ministry dedicated to building simple, safe affordable housing for families who need a helping hand.But, please note that Habitat is ecumenical, but welcomes people as partners, regardless of their faith. That includes people who work or volunteer and it also includes the families who want to partner with Habitat to build and purchase a home of their own.We do not define what family means to you. To us, it is simply any person or combination of persons living as a family unit. (Click to advance.)
  • Sample ScriptIn our first 20 years, Habitat built 44 homes for South County families. Included in those families were 64 adults and 111 children who benefited.
  • Sample Script(Click to advance.)
  • Sample ScriptThese are the basic requirements we look for in a potential homeowner family: Read left column of slide.In addition to these basic qualifications, the family must also be willing to partner with Habitat and must:Read right column of slide.(Click to advance.)
  • Sample ScriptSince families must be able to carry the costs of the home, they must demonstrate that they have the ability to pay.The criteria that Habitat uses to prove that they can afford the home include:Read bulleted items on slide.(Click to advance.)
  • We will look at the specific financial requirements for this particular house in a moment, but first we want to help you understand the concept of the income requirements for Habitat housing.Essentially, a Habitat partner family has to make ENOUGH money to pay the mortgage (and not have their housing costs exceed 30% of their gross income). But they cannot make MORE than 60% of the local median area income (LAMI). The 60% LAMI guideline is set by the Department of Housing and Urban Development (HUD) at the federal level. These requirements vary depending upon selling price of the house and the town in which it is located. Next we will look at the specific income requirements for current housing opportunities with Habitat.(Click to advance.)
  • These are the income standards for this house in Old North Village. For example, a family of 5 cannot make more than $48,300, but they must make at least $32,120. The family cannot make MORE than 60% of the median area income illustrated. That is simply not the population Habitat serves (though other affordable housing builders DO serve people with both higher and lower incomes). (Click to advance.)
  • Sample ScriptThese are examples of the award-winning designs we will be building in Old North Village in Kingston. (Click to advance.)
  • Sample ScriptSouth County Habitat operates a Land Trust Model, meaning that we retain ownership of the land. The ground lease fee is for administration costs of maintaining the ground lease. It is currently $30/month. It can increase annually, but only minimally. It has only increased once in our 20 year history. When a homeowner wants to sell the house, the leasing process ensures that the homes come back to SCHH for sale to another qualifying family. South County Habitat returns to the homeowner the principal amount they have paid on their mortgage (less any financial obligations). Then South County Habitat prepares the property for sale to another qualified family. (Click to advance.)
  • Sample ScriptSouth County Habitat offers:(READ SLIDE)The maintenance escrow payment is money put aside to help with the costs of any major repair or maintenance expenses on your home. It’s generally $25/month. Other considerations could include road maintenance if it is on a private road, or special tax considerations. These aren’t typical, but they do happen. (Click to advance.)
  • Sample ScriptThis is an abbreviated version of the process to select a Habitat family:After the orientation tonight, you are invited to fill out the application and submit your required materials. Applications are first reviewed for financial viability by the Family Selection Committee. All applicants will be contacted to let them know if they have made it through to the next round. Eligible families will be scheduled for an interview and home site visit with members of the Family Selection Committee. If you are accepted as a Homeowner Family, you will get Matched with a partner on the Family Selection Committee. Then you will be required to attend Homeowner Education Classes.TELL ABOUT THE FAMILY PARTNERSHIP(Click to advance.)
  • Sample ScriptBefore you leave, pick up the application at the rear of the room. These applications are due: Thursday, March 15, 2012.You can either mail them to the address on the packet, or hand deliver them to the Habitat offices. **Make sure the applications are complete. If you have any questions, we are available to help; please call.Before we break up, does anyone have any questions?(Click to advance.)
  • SCHH Homeowner Orientation

    6. 6. HABITAT FOR HUMANITY is:an ecumenical Christian ministry. We welcome volunteers and homeowner families from any faith - or no faith - who are willing to partner. DEFINITION: Homeowner families are any combination of person or persons living as a unit. 6SCHH Homeownership
    7. 7. SOUTH COUNTY Habitat Houses 7SCHH Homeownership
    9. 9. FAMILY SELECTION CRITERIAQualifications Willingness to Partner US Citizens/legal residents  Contribute “sweat equity” Live or work in  450 hours - couples Washington County for at  300 hours - singles least 1 year  Attend homeowner Present housing is education courses substandard and/or:  Agree to Habitat terms Housing costs are more  Work with Family Partner than 30% of income 9 SCHH Homeownership
    10. 10. GUIDELINES : Ability to Pay  Monthly debt + mortgage payment cannot exceed 50% of income  Steady income past two years  Down payment of 1% of price  Reasonable credit rating  Meet minimum income requirements (but not exceed the maximum) 10SCHH Homeownership
    11. 11. Maximum Income Requirement Gross Annual Income must fall between the Maximum & Minimum Minimum Income Requirement 11SCHH Overview
    12. 12. How much income does my family need to qualify? SCHH standard: 60% of Local Area Median Income Old North Village, KingstonFamily Size 1 2 3 4 5 6Maximum $31,320 $35,760 $40,260 $44,700 $48,300 $51,900Minimum $32,120 $32,120 $32,120 $32,120 $32,120 $32,120 12
    13. 13. Old North Village, Kingston 13
    14. 14. 99-Year Renewable Land Lease  Includes typical homeowner rights and responsibilities  Fee is about $30/month  Obligates homeowner to sell house back to SCHH in exchange for return of accumulated principal 14SCHH Homeownership
    15. 15. 25-year Mortgage featuring 0% Interest Monthly payments include: • Loan principal • Tax and insurance escrow • Ground lease fee • Maintenance escrow • Other considerations that may apply 15SCHH Homeownership
    16. 16. Family Selection Process Attend Homeowner Information Session Complete Application If financially qualified, schedule interview & home site visit If selected, get matched with Family Partner Attend Homeowner Education Classes Perform Sweat Equity & other partnering requirements 16SCHH Homeownership
    17. 17. SOUTH COUNTY HABITAT FOR HUMANITY Building houses, building hope. 17