D.C. Mun. Regs. tit. 10, r. 10-B4007

Current through Register Vol. 71, No. 44, November 1, 2024

Rule 10-B4007 - NEHEMIAH HOME PURCHASE ASSISTANCE AND SALE OF HOMES

4007.1

This section shall govern conditions relating to the sale of individual Nehemiah homes and the provision of grants or loans to purchasers of Nehemiah homes.

4007.2

Each Nehemiah Program home shall be sold to a person(s) who meets the following criteria:

(a) Is a first time homebuyer as defined in this chapter;

(b) Agrees to occupy the home as his or her principal place of residence for at least five (5) years;

(c) Agrees not to sell, convey, lease or otherwise alienate the home for a five (5) year period commencing on the date of property settlement without written approval of the Director;

(d) Agrees not to place liens or encumbrances on the home for a five (5) year period commencing on the date of property settlement without written approval of the Director; and

(e) Agrees to the alienation fees required in § 4007.3.

4007.3

Protection against the alienation of a Nehemiah home as described in paragraph (c) of § 4007.2 shall be accomplished by execution of an agreement between the purchaser and the District at the time of property settlement, which agreement shall be recorded as a lien against the property.

4007.4

Alienation of a purchaser's interest in a Nehemiah home may be approved at the discretion of the Director during the first five (5) years of ownership; Provided, that the following percentages of the tax assessment value (determined at the time of conveyance of title to the purchaser) shall be paid as an alienation fee to the District:

(a) Eighty percent (80%) of the tax assessment value, if the alienation occurs within fifteen (15) months of the date of conveyance;

(b) Sixty percent (60%) of the tax assessment value, if the alienation occurs within sixteen to thirty (16 to 30) months from the date of conveyance;

(c) Forty percent (40%) of the tax assessment value, if the alienation occurs within thirty-one to forty-five (31 to 45) months from the date of conveyance; or

(d) Twenty percent (20%) of the tax assessment value, if the alienation occurs within forty-six to sixty (46 to 60) months from the date of conveyance.

4007.5

The alienation fees specified in § 4007.4 shall take priority over mortgage liens placed on the property in connection with the initial purchase of the Nehemiah home.

4007.6

The Director may grant exemption, at his or her sole discretion, from the alienation fees of § 4007.4 under the following circumstances:

(a) If the Nehemiah home purchaser dies or becomes totally disabled and if, in the option of the Director, the exemption would relieve the purchaser's heirs, devisees and immediate family of an unreasonable burden arising from the requirements of the abatement agreement;

(b) The purchaser is involuntarily transferred to a location outside the Washington Metropolitan Area by an existing employer; or

(c) The home must be sold pursuant to a court order or judgment.

4007.7

DHCD shall provide loans or grants up to twenty-five thousand dollars ($25,000) to purchasers of Nehemiah homes through the District's Home Purchase Assistance Program (HPAP) for those purchasers that meet all the requirements of the HPAP program. The level of HPAP assistance that shall be made available shall be consistent with the Very Low Income, Lower Income and Moderate Income components of the HPAP program (14 DCMR 25).

4007.8

DHCD shall provide the applicant a coordinated process for processing of HPAP applications for Nehemiah home purchasers who also qualify for assistance under HPAP, and for assuring that sufficient HPAP funds are available to qualified buyers.

4007.9

Non-profit applicants shall submit a Nehemiah Marketing and Hone Purchase Assistance Plan for the sale of Nehemiah homes for the review and approval of DHCD, consistent with the requirements of § 4003.6, which shall provide for the following:

(a) Compliance with the requirements of paragraph (f) of § 4003.6 and of this section;

(b) Agreement that a meaningful priority to purchase shall be given to District residents, as defined in this chapter, which shall include a plan acceptable to DHCD which provides an exclusive priority time period for purchase by District residents;

(c) Specify any other proposed priorities for the marketing or sale of Nehemiah homes, which may include, but shall not be limited to, the following:

(1) That purchasers who are residents of the neighborhood which the non-profit applicant serves shall have priority to purchase; and

(2) That employees of the District of Columbia government, or persons who have accepted an offer of District employment, shall have priority to purchase homes; and

(d) Propose a means for assuring that homes priced in a range determined by DHCD to be affordable are made available on a priority basis to persons who require Nehemiah (or related HPAP) assistance in order to afford the purchase of a home, with priority for low and moderate income home purchasers.

D.C. Mun. Regs. tit. 10, r. 10-B4007

Final Rulemaking published at 37 DCR 8615, 8624 (December 29, 1989)