Are you in need of safe, decent, affordable housing? If you have a need, the ability to pay and the willingness to partner, you may qualify to purchase a Habitat home.
The Application Process
Habitat for Humanity of West Central MN offers a Homeownership Program to residents of Chippewa, Kandiyohi, Meeker, Renville, Swift counties and the city of Cokato. It is a hand-up to low-income families that are unable to qualify for a traditional home mortgage through a lender or other programs. We do not give houses away for free, but instead offer affordable and zero-interest mortgages to families that qualify.
Habitat for Humanity of West Central MN periodically “opens” the selection process to receive program applications based on the construction plans for the year. When the application period is “closed”, persons interested in applying may ask the affiliate to contact them when the process opens or watch for advertising or check HFHWCM’s web page announcing the opening.
How can YOU become a Habitat homeowner?
If you have the need, the ability to pay and the willingness to partner, you may qualify to purchase a Habitat home.
Your current housing is not adequate:
- Unsafe conditions
- Non functioning heat, plumbing or electrical due to lack of repair
- Structural issues such as leaky roof, rotten floor boards, broken windows, etc.
- Overcrowded—not enough bedrooms for family size or living with another family
- Too expensive—you pay more than 30% of your gross income for your current housing
- Must live or work in our 5 county service area of Chippewa, Kandiyohi, Renville, Swift, Meeker & the city of Cokato for at least the past 12 months.
- Must agree to submit to a criminal background check.
- Must agree to submit to a sex offender registry check.
Ability to Pay
- Must have a minimum annual income of $25,000, and not exceed maximum income guidelines as detailed in this brochure.
- Must have had (and still have) a stable source of income for the past 24 months, including a current employer you have been with for a minimum of the past 12 months.
- Must have enough income to pay monthly mortgage payments, property taxes, and insurance.
- Must have enough income to pay other bills such as electric, phone, and other reoccurring debts you may have (credit card, car payment, etc.)
- A credit report will be conducted on the final candidates. Perfect credit is not required, but an established, consistent record of payments is.
- No Judgements & Liens in the last 2 years, and all beyond then are paid in full.
- Any Chapter 7 Bankruptcies must be 3 years from discharge date with no delinquencies in last 2 years.
- Any Chapter 13 Bankruptcies must be 1 year from discharge date, no delinquencies.
- Applicants must be US Citizens or have Permanent Residency Status.
Willingness to Partner
Willingness to Partner includes but is not limited to being willing to:
- Submit forms promptly during both the application period and loan application period.
- Participate in a home visit conducted by members of Habitat’s family selection committee.
- Sign the Partnership Agreement with Habitat, and agree to meet certain benchmarks and requirements during the “partnership period” and until loan closing.
- Attend and participate in “Homeowner Classes” that teach financial management, home maintenance, and other homeownership topics that will help lead to a successful homeownership experience.
- Willing to fulfill “sweat equity” hour requirements by working to build your home, work on other homes and in the ReStore. A two adult household must complete 500 hours and a single adult household 200 hours.
- Save up for closing costs.
Equal Housing Opportunity Lender
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the nation. We encourage and support an affirmative advertising and marketing program in which there are no barriers to obtaining housing because of race, color, national origin, religion, gender, age, disability, familial status, marital status, or receipt of public assistance.
When the process is “opened”, a time period of generally 30-60 days is designated during which time applications can be picked up (or mailed out) and returned. Within 30 days of receiving the application, Habitat will issue notice of missing information and date it must be received by. All requested documentation must be received to do a full assessment of eligibility.
Completed applications will be reviewed for eligibility and criminal background check and sex offender registry check will be done. A credit report will also be obtained.
Applications that pass the initial review, will have a home visit. The purpose of the home visit is to discuss the Habitat housing program in further detail and gain further information on your family’s current living conditions.
Habitat’s Family Selection Committee will make a recommendation to Habitat’s Board of Directors for a final approval.