E-Notes from HUD's Detroit Field Office

U.S. Department of Housing & Urban Development
May 11, 2005
313/226-7900, ext. 8017
Toni D. Schmiegelow, Director

Minority Homeownership

The Census Bureau released data showing that minority homeownership hit an all-time high during the first quarter of 2005. The new quarterly record rate of 51.6 percent means that 15.7 million minority families now own their own homes. There was also a new quarterly record for Hispanic homeownership. The rate of 49.7 percent means there are now 5.8 million Hispanic homeowners in the United States. Overall homeownership also at an all-time high in the first quarter, with 74.5 million American families now owned their own homes. "These new numbers, combined with news that sales of previously-owned homes were near record levels last month, show that housing is still a leader as our economy continues to improve. The Bush Administration is committed to building on these accomplishments so that people from every walk of life can have the opportunity to become homeowners," said Housing and Urban Development Secretary Alphonso Jackson. "The President's housing initiatives are paving the way for more Americans, particularly minorities, to achieve that dream."

Loss Mitigation

HUD INCREASES LENDER INCENTIVES FOR LOSS MITIGATION ACTIONS- The U.S. Department of Housing and Urban Development announced that it is increasing incentive payments available to lenders who utilize HUD's most powerful loss mitigation options for helping borrowers in default avoid foreclosure and retain their homes. The increased incentives are effective June 1, 2005. This action is being taken in recognition of the increased costs lenders incur when providing personal loss mitigation assistance to borrowers experiencing financial difficulties.

See Mortgagee Letter 2005-18 issued April 26, 2005.

SuperNOFA funding

All applications for SuperNOFA funding must be submitted and received by Grants.gov no later than 11:59:59 P.M. Eastern Time on the application submission date. Applications due in May: Rural Housing & Economic Development (RHED), May 17; Early Doctoral Student Research Grant Program, May 18; Doctoral Dissertation Research Grant Program, May 18; Community Development Work Study Program, May 18; Housing for People who are Homeless and Addicted to Alcohol, May 19; Housing Choice Voucher Family Self-Sufficiency (FSS) Program Coordinators, May 20; Fair Housing-Private Enforcement Initiative (PEI), May 23; Fair Housing Education and Outreach Initiative (EOI), May 23; Fair Housing Organizations Initiative (FHOI), May 23; Section 811 Supportive Housing for Persons with Disabilities, May 24; Historically Black Colleges and Universities, May 25; Homeownership Supportive Services Program, May 26; Housing Opportunities for Persons with AIDS (HOPWA), May 27; Section 202 Supportive Housing for the Elderly, May 31.

MORTGAGEE LETTER 2005-19 issued April 29 addresses the "Streamline (K)" Limited Repair Program. The Department of Housing and Urban Development has developed a limited repair program, designated as the Streamline (K) Limited Repair Program, to augment its existing 203(k) program. The 203(k) program has been the primary tool of the Federal Housing Administration (FHA) for providing insured mortgage financing for the purchase of single-family properties in need of rehabilitation. The Streamline (K) program is a modification of the 203(k) program to facilitate purchase transactions in which the property needs minor rehabilitation work, as identified in a pre-purchase home inspection- or the FHA appraisal. The Streamline (K) program is intended to assist homeowners with basic repairs costing between $5,000 and $15,000. Unlike the standard 203(k) program, any FHA approved mortgagee may originate a Streamline (K) mortgage. The mortgage amount will allow for acquisition of the property and up to $15,000 in the loan proceeds to be applied toward repair/rehabilitation of the property as detailed below. This Mortgagee Letter is effective for all case number assignments issued on or after June 4, 2005. See Mortgagee Letter 2005-19 issued April 26, 2005.

Technical Assistance grants - 2005 funding opportunity, $50,000 grants now available from the U.S. Dept of Health and Human Services to build the capacity of faith-based and community organizations. Priority areas for the Targeted Capacity-Building Program (Mini-Grants) include: at-risk youth, the homeless, healthy marriage, and rural communities. For more info, http://www.acf.hhs.gov/programs/ccf/

Multifamily Housing Closings

The Detroit Multifamily HUB closed on six developments in the month of April. Center Line Park Towers Apartments, Centerline, MI is a 300-unit project insured under Section 221(d)(4) with a mortgage amount of $14,590,000. The mortgagee is St. James Capital. The mortgagor is Center Line Park Towers/MHT LDHA LP. Haycreek Apartments, Menominee, MI is an 80-unit project insured under Section 223a7 with a mortgage amount of $2,607,900. The mortgagee is Prudential Huntoon Paige. The mortgagor is Haycreek Limited Dividend Housing. Northwind Forest Apartments located in Midland, MI is a 181-unit project insured under Section 223a7 with a mortgage amount of $4,987,600. The mortgagee is Prudential Huntoon Paige. The mortgagor is Northwind Forest LP. Elaine Apartments, Jackson, MI is a 33-unit project insured under Section 223f with a mortgage amount of $487,800. The mortgagee is GMAC Commercial Mortgage. The mortgagor is Jackson Apartments LLC. Azure Heights Apartments, Kalamazoo, MI is a 10-unit project insured under Section 811 with a mortgage amount of $727,400. The mortgagee is HUD. The mortgagor is Azure Heights Non Profit Housing Corporation.

Save the Dates

May 16-18, Michigan Conference on Affordable Housing, Lansing (http://www.housingconference.org/)

June 20 - 24, NeighborWorks� Training Institute (www.nw.org/training) presents cutting-edge courses that promote sustainable design, green building and healthy housing, Boston, MA.

June 22, NeighborWorks� Symposium on Multifamily Excellence (www.nw.org/training) The Balancing Act: Blending Housing and Commercial Development to Build Thriving Communities, Boston, MA.

 
Content Archived: July 29, 2011