AgdaPkt 2005-05-23 - Laserfiche WebLink

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. . ~/(!--I- , . { ( financial assistance to First Time Homebuyers who are low income. The goal of the program is to promote affordable ownership housing opportunities for low-moderate income persons. From time to time, the City and/or Redevelopment Agency may receive requests to subordinate their interest to new financing as homebuyers seek to obtain lower interest rates. First Time Homebuyers are required to offer their units to the Redevelopment Agency under a First Right of Refusal requirement. Under these conditions, staff will provide the Committee with a financial profile' of the homebuyer seeking resale or refinancing, or new homebuyers seeking to purchase under the Redevelopment Agency's first right of refusal provision. The Financial Profile will indicate whether a potential buyer is a good risk for the program, or in the case of refinancing, whether there will be a reduction in equity or increased risk to the City or Redevelopment Agency. Section 1.4 Duties The duty of the Committee will be to review and approve applications for housing improvement loans, requests for subordination, or first time homebuyer purchase loans after they have been prepared and processed by staff, under the following guidelines. I. Analyze the credit information and data to assess the applicant's ability to assume the loan requested. In the case of fixed incomes, assess whether the loan should be deferred, and if so, for what term, and amount of interest, ") 3. Assess collateral issues which are presented by individual situations and needs, 4. Review any defaults in loan payments and determine appropriate course of action; and 5. Analyze subordination requests and evaluate the City's risk where senior liens and reduced equity may impact financing provided by the City. Finally, the Committee will recommend future changes to the Home Improvement Program operating procedures to the City Council. 2