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Affordable Housing AP-55 Affordable Housing — 91.220(g) Introduction As noted earlier, the most important impediment to providing affordable housing is due to limited Federal and State resources for affordable housing initiatives. The lack of programs and resources to reduce excessive rent or mortgage burdens to qualified persons is a key factor. l Another barrier to providing affordable housing in Santa Ana isrt�e 'Igh cost of housing created by a demand for housing, both existing and new, which exceeds t71?Pnt supply. Housing prices, both ,— ownership and rental, remain high, especially for Iowertn6W6 house J&s. ANN E In addition, the cost of site acquisition is very highpg— development costtwshb_ o veryhigh. These WM. factors make affordable housing construction expensive and put affordable hdtt"sg_out of the reach of low-income households., The Housing Needs Assessment also ideti"e°tt that stringenY'cK ria in the mortgage origination process .:. h 5 :kq still remains, which also is outside the scd` k:,ari se N of of City'p icy. In several instances for our Down <-t Payment Assistance Program, applicants ha�f issued fCi f�eir person nances including lack of funds for a down payment or ppC i •history thects t (rkultty to qua ify for a first loan in the private �, , y:. market.�z z Nam„ In an effort to mitigate th60% arriers 5inta Ana had dertdken'the following actions among several KM others In 2015Nt to City Council ls;ed nT%opted an IrShcu3ionary housing ordinance referred to as the Housing b.1gytunity Ordinanc' )t pplies to residential projects with a zone change that allow residential del topment where sufi uses we e,not previously allowed, and Include more than 5 units, to provide eitherr 1 --of all new uCi{3 to bea ordable to very -low income households or 15% of all new units to be affordable' rbaow-inuse Ids. The City's inclusionary housing ordinance has generated over $13.8 itijli0, sinAe;if:was adopted in 2011. -The City utilizes HOME, CDBG"and Inclusionary Housing Funds to fund the development, acquisition and/or rehabilitation of affordable rental housing units. This public assistance will result In restricted lower rents for assisted units that are affordable to low -Income and very low-income families. - The City doubled the amount of Down Payment Assistance Funds available to low-income families to purchase a home from $40,000 to $80,000 in order to make homeownership more accessible. Annual Action Plan 2019 37 OMB Control No: 250&0117(up. 06/30/2018) 75C_45