Homeownership Program
www.ApartmentsInPittsburgh.net
Phone (412) 456-5062
Fax (412) 456-5259
Eligibility and Steps to become a Homeowner
Tenant Minimum
Eligibility Requirements
-City of Pittsburgh current HACP Public Housing or Section 8 tenants.
-You must be living for (1)
one year in either HACP public housing or receiving Section 8 Voucher assistance
before
you are eligible to receive Homeownership Program benefits.
-First-time home buyer and
the single-family home is located within the City of Pittsburgh
-Minimum $17,000 year income and working full-time (30 hours week for (1) one year) or is a person with a disability or
is a senior citizen
- All HACP benefits are subject to budgetary constraints and limited funding.
Homeownership Program - Steps to Purchase and Own Your Own Home
1. STEP 1: START HERE - Public housing or Section 8 tenant is to enroll in a Homeownership Education Class
Public Housing or Section 8 tenants are to contact and enroll in a required 8 hour education class
at:
Neighborhood Housing Services (NHS)
710 5th Avenue, Suite 1000
Pittsburgh, PA 15219
CALL Intake Coordinator: Julie Heath to enroll in the Homeownership education class
412-281-9773 or 412-281-9774
EMAIL info@nhswpa.org
CALENDAR / EDUCATION CLASS SCHEDULE http://www.nhswpa.org/calendar.html
If you are not currently a HACP public
housing
tenant or you are not on Section 8, you must apply for and become an
active public housing or Section 8 tenant for one year.
A.
You need to apply for Public Housing at our
Occupancy Department.
Call Occupancy Department Phone Number
(412) 456-5030 to obtain an application
The Occupancy Department is located at 100
Ross Street, 4th Floor, Downtown.
Maximum income limits you can have to be eligible for either public housing or Section 8
| Year 2008 | 1 Person | 2 Person | 3 Person | 4 Person | 5 Person | 6 Person | 7 Person | 8 Person | |
| Section 8 | Very low Income | $21,000 | $24,000 | $27,000 | $30,000 | $32,400 | $34,400 | $37,200 | $39,600 |
| Public Housing | Low Income | $33,600 | $38,400 | $43,200 | $48,000 | $51,850 | $55,700 | $59,500 | $63,350 |
2. STEP 2: Tenant Obtains a Financial Credit Score at Neighborhood Housing Services (NHS)
While the Public Housing or Section 8 tenant is taking the Neighborhood Housing Services (NHS) education class, simultaneously
the tenant is to meet a Neighborhood Housing Services (NHS) credit counselor who is Fred Hodnett to obtain their financial credit
score and Fred Hodnett will review the tenant’s finances.
CALL Housing Counselor: Fred Hodnett
412-281-9775
EMAL fhodnett@nhswpa.org
Before you can proceed to Step 3, a bank or mortgage lender requires a minimum tenant financial credit score range of 580 to 600+.
If a tenant’s credit score is below 580, the tenant is provided credit counseling and credit restoration.
Neighborhood Housing Services (NHS) will aid the tenant to help them restore their credit with credit counseling and credit restoration.
3. STEP 3: Mortgage Pre-approval letter
Upon completion of Step 2 above, which includes completing Neighborhood Housing Services (NHS) education class and
a tenant credit score exceeding 580 to 600+ along with their finances in good order, then the tenant/buyer is referred to banks
such as Sky Bank, National City Bank or Dollar Bank where the tenant/buyer will make an application to determine if they qualify
for a Mortgage Pre-Approval letter.
Lenders
Sky Bank
336 Fourth Avenue
Pittsburgh, PA 15222
Debbie Tawney
412-227-4828
fax 412-231-7423
Roxanne
Nitti
412-818-6086
412-227-4865 ext. 6176
roxanne.nitti@skyfi.com
National City Bank
116 Allegheny Center Mall
Pittsburgh, PA 15212
Contact Person: Mary Jo Malesky, Loan Officer
412-442-3535
fax 412-442-0228
Dollar Bank
3 Gateway Center
First Floor, East
Pittsburgh, PA 15222
Contact Person: Bonnie Cash Booth or Regina Sandidge
412-261-8018
fax 412-261-5133
bbooth@dollarbank.com
rsandidge@dollarbank.com
The banks will provide the tenant/buyer with a Mortgage Pre-approval letter and the letter will state a mortgage amount
a lender is willing to provide the
tenant/buyer. Essentially, the Mortgage Pre-approval letter states how
much
money the bank is able to loan the tenant/buyer for
a home mortgage.
HOME IMPROVEMENT LOAN
If your home is in need of SUBSTANTIAL REPAIRS, contact:
Urban Redevelopment Authority
Housing Recovery Program (HRP)
200 Ross Street
Pittsburgh, PA 15219-2069
Contact Person: Alicia
Majors, Program Officer
412-255-6698
fax 412-255-6645
amajors@ura.org
4 STEP 4: FAX or Mail your Mortgage Pre-approval Letter to the Homeownership Program
Make sure your mortgage pre-approval letter includes your Gross Annual Income that was used
by the bank or lender to determine the home loan amount you qualify for.
When a tenant/buyer receives their Mortgage Pre-approval letter from the bank, tenant/buyer is to FAX or Mail a copy of
their Mortgage Pre-approval letter to:
Homeownership Program
Jack Lewis or Mark Patterson
FAX 412-456-5259
PHONE 412-456-5062
200 Ross Street, 6th Floor
Pittsburgh, PA 15219-2068
5. STEP 5: Shop to Purchase Your Home
. Tenant/buyers who have received a Mortgage Pre-approval letter are financially qualified home buyers shopping to purchase
a home within the City of Pittsburgh. Before the tenant/buyer makes an offer to purchase a home, please talk to either
Mark Patterson or Jack Lewis at the Homeownership Program and our phone number is 412-456-5062.
Sales Agreement and Home Inspection:
a. The home must be inspected
by an independent professional and selected by the buyer. The
independent inspector must provide a copy of the inspection
report to both the buyer and to HACP.
HACP shall have discretion to disapprove the unit for
assistance under the homeownership option.
b. A contingency clause must provide that the purchaser is not
obligated to pay for any necessary
repairs cited as home deficiencies within the inspection
report.
c. The seller is required to pay for any necessary repairs
as cited within the inspection report.
d. HACP will reimburse the buyer for the cost to obtain an independent property inspection.
Sales Agreement and Seller Certification Form:
HACP may not approve a home for sale if HACP has been informed by HUD that seller is debarred,
suspended, or subject to limited denial of participation. HACP may deny approval of seller for any
reason stated above. HACP can provide the Seller Certification Form upon request.
6. STEP 6: The tenant/buyer makes an offer to purchase a home with a sales agreement.
Once the sales agreement is signed by both the tenant/buyer and the seller (s) of the home, the tenant/buyer is to FAX or MAIL
the signed sales agreement to the Homeownership Program listed in STEP 4.
Once the Homeownership Program
receives your signed sales agreement, together we will guide you through the few
remaining
steps.
7. Tenant/Buyer Closing Costs
Once you the tenant/buyer have a signed sales agreement, what closing costs are you the tenant/buyer responsible for paying?
Section 8 Tenant/Buyers Closing Costs Obligations
The maximum amount of financial assistance is $7,000 for homeowner’s insurance, home warranty, and closing costs assistance. This benefit is for both public housing and Section 8 buyers.
a. If you are a Section 8 tenant/buyer, you must pay at least 1% down payment of the sale price of your home.
Example: Your Home purchase price is $50,000 x 1% your down payment = $500 you the tenant/buyer must pay at closing
b. You the tenant/buyer must pay the prepaid City, County and School taxes due at closing. The closing company is
also known as a settlement company and they will provide you a settlement
statement also known as a HUD-1 form.
The closing company / settlement company will provide you with a HUD-1 form approximately 3-5 days before your closing.
The closing
day is the day you sign the agreements
to purchase your home. The HUD-1 statement will list in detail the
amount of prepaid City, County, and School taxes you will pay at closing.
c.
You the Section 8 tenant/buyer may be required to pay private mortgage insurance
(PMI) which may be required by the lender.
d.
The Housing Authority Homeownership Program may pay other closing costs
for you the tenant/buyer up to a maximum amount of
financial assistance of $7,000 for homeowner's insurance, home warranty and
closing costs assistance.
Make sure you bring photo identification such as a driver's license to the closing and you must use a cashier's check to pay your
down payment and prepaid City, County, and School taxes. You can not use personal checks at closing.
_____________________________________________________________________________________________________________
Public Housing Tenant/Buyers Closing Costs Obligations
The maximum amount of financial assistance is $7,000 for homeowner’s insurance, home warranty, and closing costs assistance. This benefit is for both public housing and Section 8 buyers.
e. If you are a Public Housing tenant/buyer, you must pay at least 1% down payment of the sale price of your home.
Example: Your Home purchase price is $50,000 x 1% your down payment = $500 you the tenant/buyer must pay at closing
f. You the tenant/buyer must pay the prepaid City, County and School taxes due at closing. The closing company is
also known as a settlement company and they will provide you a settlement statement also known as a HUD-1 form.
The closing company / settlement company will provide you with a HUD-1 form approximately 3-5 days before your closing.
The closing
day is the day you sign the agreements
to purchase your home. The HUD-1 statement will list in detail the
amount of prepaid City, County, and School taxes you will pay at closing.
g. You the public housing tenant/buyer may be required to pay private mortgage insurance (PMI) which may be required by the lender.
f.
The Housing Authority Homeownership Program may pay other closing costs
for you the tenant/buyer up to a maximum amount of
financial assistance of $7,000 for homeowner's insurance, home warranty and
closing costs assistance.
Make sure you bring photo identification such as a driver's license to the
closing and you must use a cashier's check to pay your
down payment and prepaid City, County, and School taxes. You can not use personal checks at closing.