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Quarterly Report for Housing Division <br />November 20, 2018 <br />Page 2 <br />Table 1: Applications Sent Out, Received & Approved <br />Program <br />Q1 <br />Inquiries <br />Total FY <br />Applications <br />Sent Out <br />Q1 Total FY <br />Applications <br />Received <br />Q1 Total FY <br />Applications <br />Approved <br />Q1 Total FY <br />Single -Family Rehabilitation <br />31 <br />31 <br />31 31 <br />2 <br />2 <br />1 <br />1 <br />Mobile Home Rehabilitation <br />2 <br />2 <br />2 2 <br />0 <br />0 <br />1 <br />1 <br />Multi -Family Rehabilitation <br />0 <br />0 <br />0 0 <br />0 <br />0 <br />0 <br />0 <br />Historic Home Restoration <br />0 <br />0 <br />0 0 <br />0 <br />0 <br />0 <br />0 <br />Homeownership <br />15 <br />15 <br />15 15 <br />3 <br />3 <br />3 <br />3 <br />The number of applications received is typically lower than the number of applications sent out in <br />any given period due to the stringent program guidelines for eligibility regulated by the Federal <br />government, which makes it difficult for most applicants to qualify. In order to improve the <br />success rate of applications for the various programs listed above (Single -Family, Mobile Home, <br />Multi -Family, Historic Home Restoration and Homeownership), staff will enhance and expand <br />targeted marketing efforts for the programs after a full-time Housing Analyst is hired by the City. <br />Rehabilitation Loan Underwriting and Approval Progress <br />For the rehabilitation loans, staff reviews applicant eligibility, verifies income and assets, and <br />oversees underwriting to ensure compliance with program guidelines and requirements <br />established by the funding source. In addition, staff conducts an inspection of the property, <br />prepares a work write-up to determine rehabilitation work to be performed, and develops a <br />budget for the work. Due to the complex funding requirements, applications may be in <br />underwriting for several months. The length of time in underwriting is largely determined by the <br />applicant's timely submittal of the necessary paperwork. Once approved, staff prepares all <br />necessary loan documents, makes arrangements for loan execution, and reserves the required <br />loan funds. During this quarter, one (1) mobile home loan was approved, one (1) Habitat for <br />Humanity home buyer was approved, three (3) inclusionary housing purchases at City Ventures <br />were approved and closed escrow, and three (3) Habitat for Humanity buyers closed escrow. <br />Rehabilitation Program Construction Progress <br />During this phase, homeowners receiving rehabilitation loans are guided through an open <br />selection of contractors to complete the work on their homes. Each homeowner is given a list of <br />contractors that have been screened by staff for license and insurance requirements. However, <br />homeowners are allowed to select any contractor that meets these same requirements. Staff <br />assists the homeowners with the evaluation of bids and selection of a contractor. Staff also <br />monitors the construction work, approves payments to contractors, and tracks expenditures to <br />ensure compliance with the loan agreement and program guidelines. At the end of this quarter, <br />there were two (2) homeowner rehabilitation projects out to bid and two (2) under construction. <br />Down Payment Assistance Loan Program Progress <br />For the Down Payment Assistance Loan Program, staff evaluates applicant eligibility and <br />oversees underwriting to ensure compliance with program guidelines and requirements <br />established by the U.S. Department of Housing and Urban Development (HUD). Applicants must <br />meet established income requirements, complete an eight-hour pre -purchase counseling <br />program from a HUD -approved housing counseling agency, be pre -qualified for a first mortgage <br />19F-2 <br />