September 25, 2019 | Volume 12, Issue 4

The Gateway Program helps small Planada business owner with homeownership readiness

Antonio and Erica Rodriguez could not believe it when a friend told them that Self-Help Enterprises was building [a self-help housing neighborhood] in Planada. They were excited and knew this could be their chance at homeownership, at last. “When my wife saw the tractors moving at the Planada location, she called me, excited. They are starting!” Read how the Rodriguez family prepared for homeownership

RCAC CEO news

It is my pleasure to announce, in case you haven’t already heard, Suzanne Anarde has been chosen as the new CEO of Rural Community Assistance Corporation. Suzanne has been the senior vice president overseeing the Rural LISC program for the past five years. Read more

Section 502 special Procedural Notice published July 22

On July 22 U.S. Department of Agriculture Rural Development (USDA RD) published a special Procedural Notice making significant changes to Section 502 Direct loans packaging and processing guidance. Some of the language incorporated the Final Rule, some made the temporary authorizations issued earlier this year permanent, and some changed altogether. Read the significant changes that will affect your packaging

SAVE THE DATE—2020 National Self-Help Housing Conference

Save the date for the 2020 National Self-Help Housing Conference in Albuquerque, New Mexico Feb. 3 – 6, 2020. This will be a great opportunity for self-help grantees to learn and network with other grantees and USDA RD. Mark your calendars and keep an eye out for the registration brochure coming to your inbox soon!

Dear Sher

I live in a state that wasn’t part of the pilot for income banding, can you tell me how this will work with SHOP funds?

Sincerely, Income Banding Newbie

Dear Income Banding Newbie,

With the nationwide adoption of income banding and the two-tier income limit structure for USDA RD mortgages there is an important income-qualifying distinction to be made … Read more Dear Sher here

502 Direct Loan packaging training

NeighborWorks Training Institute will present the Section 502 Packaging Training for Nonprofit Housing Developers Monday, December 9 – Wednesday, December 11 in Portland, OR. (Course number is LE210). Details and registration

News you can use!

Final Rule published June 21

Read the Final Rule in the Federal Register here >>

Unnumbered Letter, May 23, announcing Section 504 Repair Pilot

Single Family Housing Section 504 Repair Pilot: The pilot program is an opportunity to increase loan and grant production and reduce restrictions that impede the Section 504 Home Repair program. The pilot program removes the requirement for title clearance; site size restrictions; expands the insurance, escrow and appraisal requirements; and increases the maximum allowable loan and grant amounts. Pilot loans and grants will not be subject to the maximum allowable limits currently imposed by 7CFR § 3550.112(a-c). Pilot loans may be approved up to a maximum unpaid Section 504 loan balance of $40,000 and $10,000 in Section 504 lifetime grant assistance. These increases reflect the inflation of labor and material costs. Read the Unnumbered Letter here >>