Haywood County Affordable Housing Programs
Increasing Affordable Housing Options
in communities still recovering from the impacts of Tropical Storm Fred.
Homeownership Assistance Program reopens to new applications
In partnership with the NC Office of Recovery and Resiliency (NCORR), Haywood County will reopen applications for its Homeownership Assistance Program. The program will help homebuyers displaced by Tropical Storm Fred or first-time homebuyers that are income qualified with the purchase of a home in the county.
In response to damage caused by Tropical Storm Fred, the US Congress appropriated Community Development Block Grant – Disaster Recovery (CDBG-DR) funding to North Carolina for long-term recovery activities in Haywood County. The primary focus of these allocated funds is to address housing recovery needs for low- and moderate-income households, with NCORR setting aside approximately $11 million for affordable housing programming.
Within the planned affordable housing programming, multiple initiatives will be funded, including an Affordable Housing Development Fund program and a Homeownership Assistance Program. NCORR will distribute CDBG-DR funds to beneficiaries through subrecipients administering the programs. In addition to overseeing and monitoring the selected subrecipients, NCORR will provide technical assistance and administrative guidance for each program.
Affordable Housing Development Fund
The Affordable Housing Development Fund - Haywood County seeks to create new affordable housing in a way that is responsive to the needs of communities recovering from disasters. For Tropical Storm Fred recovery efforts, Haywood County will offer funding for diverse affordable housing projects that may include single-family homeownership development; small-scale affordable rental housing and homeownership developments; scattered site/infill creation of rental or homeownership housing; and large-scale affordable multifamily rental new construction and/or rehabilitation/conversion.
For the implementation of this program, Haywood County has been identified as a local partner and subrecipient. Learn more about the partnership.
Through the Affordable Housing Development Fund, Haywood County invites qualified public, private and nonprofit organizations to apply for funding to support the new construction or acquisition and rehabilitation of rental or for-sale housing affordable to low- and moderate-income households. Qualified applicants may include property management organizations, developers, Community Housing Development Organizations (CHDOs), Community-Based Development Organizations (CBDOs) and/or any other partnerships comprised of any of the above. Eligible activities for this program are included in the Program Manual.
Some $10 million in CDBG-DR funds has been allocated to the Affordable Housing Development Fund - Haywood County program. The maximum amount to be awarded to an individual project is $3.5 million.
Important dates for the program are listed below:
- Nov. 1, 2023 – Program Information Session
- Dec. 14, 2023 – Program Single-Family Homeownership Development Information Session
- Jan. 15, 2024 – Letter of Interest Period Opens
- Feb. 7, 2024 – Program Virtual Office Hours
- March 1, 2024 at 5 p.m. – Deadline for Letters of Interest
- March 4, 2024 – Application Period Opens
- Mid-March 2024 – Technical Assistance Session
- May 1, 2024 at 5 p.m. – Deadline for Applications
- TBD – Award Announcement
Haywood County will begin accepting Letters of Interest (LOIs) from qualified public, private and nonprofit organizations to apply for the AHDF-Haywood County program on Jan. 15, 2024. The deadline to submit a LOI is March 1, 2024 at 5 p.m.
Formatting and Content Guidelines:
- Should be on agency letterhead and signed by authorized signor of the organization
- Should be attached and emailed to Patricia Cantrell with Subject Line “AHDF Haywood County LOI - <Name of Entity Applying>”
- Should include the following information:
- Name of entity applying
- UEI/TIN number of applicant entity
- Type of housing project (ex: single family homeownership development; multifamily rehab; multifamily new construction, etc.)
- Anticipated project location, if known
- Estimated total budget amount
- Estimated CDBG-DR amount to be requested
- Brief narrative description of project
LOIs, while mandatory to apply, are nonbinding. NCORR and Haywood County acknowledge that project details may change between LOI submission and application submission. LOIs and information submitted will be used to verify threshold eligibility only. Haywood County will verify receipt of all LOIs received via email. Verification of receipt does not constitute verification of eligibility. Haywood County may request additional clarification to determine threshold eligibility. Interested applicants will receive a determination of threshold eligibility to apply prior to March 4, 2024.
The application is the second part of a two-part application process for AHDF-Haywood County. To receive an invitation to apply, organizations must first submit a Letter of Interest by March 1, 2024 at 5 p.m.
Directions on how to apply will be emailed to invited organizations on March 4, 2024. The application and supporting documentation must be submitted to Haywood County no later than May 1, 2024 at 5 p.m.
Homeownership Assistance Program
The Homeownership Assistance Program–Haywood County provides funding to offset some of the costs of becoming a homeowner for first-time homebuyers or storm-displaced residents. The assistance will be available to households making less than 120% of area median income (AMI) to help with a home purchase, including down payment and closing cost assistance. Housing counseling service providers will aid potential participants in this program. Recipients of the assistance must successfully complete required program-provided homebuyer education and any additional required homeownership counseling, before receiving homeownership assistance.
In partnership with NCORR, Haywood County will administer the Homeownership Assistance Program. Additional information about eligibility requirements and the application process can be found below.
To apply to the Homeownership Assistance Program (HAP), homebuyers must:
- Be a first-time homebuyer or a Haywood County resident displaced by Tropical Storm Fred
- A first-time homebuyer is defined as someone who has not owned a home as a primary residence in the past three years. (Code of Federal Regulations 24 CFR 572.5)
- Have obtained preliminary or conditional approval for first mortgage financing from a licensed mortgage provider, and further be able to deliver the pre-approval to the program at the time of application submission
- Have a total household income that does not exceed 120% of the AMI for Haywood County as published annually by HUD for the HOME program. Current AMI limits can be found in the table below.
- At least 70% of the program’s funding must support households earning no more than 80% AMI.
- Up to 30% of funding is eligible for families earning 80-120% of AMI.
- Provide sufficient documentation to verify income for any adult members of household
- Complete free Pre-purchase Homebuyer Education content provided by the program and meet with a HUD-certified housing counselor (A Homebuyer Education certificate will be provided upon completion.)
- Have at least one member of the household who is lawfully present in the United States to act as the applicant or co-applicant
- Have a fixed-rate mortgage (Adjustable-rate mortgages are not allowed. No owner financing will be allowed.)
- Be able to contribute at least $500 of their own funds to the transaction
- Not have liquid assets above $50,000 (Proof of loans for cash on hand can be considered for verification.)
- Submit all initial required homebuyer documentation:
- First-time or first-generation homebuyer self-certification
- Most recent 1040 tax returns, all pages
- Mortgage lender pre-approval letter
- Birth certificate or passport for at least one household member confirming US citizenship
- Identification for all household members over the age of 18
- Homebuyer education certification from an approved housing counseling agency
- Proof of buyer's $500 contribution (example: recent bank statements)
- Fully executed purchase agreement for a home located in Haywood County
| HUD Fiscal Year 2024 CDBG-DR Income Limits for Haywood County | ||||||||
|---|---|---|---|---|---|---|---|---|
| Family Size | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 |
| 80% AMI | $46,200 | $52,800 | $59,400 | $66,000 | $71,250 | $76,550 | $81,800 | $87,100 |
| 120% AMI | $69,300 | $79,200 | $89,100 | $99,000 | $106,900 | $114,850 | $122,750 | $130,700 |
For a property to qualify for HAP, the property must:
- Be located in Haywood County
- Be located outside of the 100-year floodplain
- Undergo a pre-purchase home inspection, including a lead inspection for properties constructed before 1978
- Meet the definition of an Arm’s Length Transaction as contained in the glossary of the Federal Housing Administration's Single-Family Housing Policy Handbook 4000.1 (revised Oct. 26, 2021).
- Arm’s length transactions are not limited to transactions between family members.
- Be used as the primary residence by the purchaser for a minimum of 36 months to avoid repayment
- Must meet other property eligibility as listed in the HAP Haywood Program Manual
The Homeownership Assistance Program—Haywood County is currently accepting applications from eligible homebuyers.
Complete the Online Application
Please remember that NCORR will only process your application once you have submitted all the initial required homebuyer documentation. No exceptions.
Award amounts are determined based on the application type as shown in the table directly below. If you have questions, please email HAP.support@ncdps.gov for assistance.
| Applicant Type | Down Payment Assistance | Closing Cost Assistance |
|---|---|---|
| First-time homebuyer OR displaced by Tropical Strom Fred | Up to 20% of purchase price or $25,000 (whichever is less) | Reasonable and customary (up to 5% of purchase price) |
| First-time homebuyer OR displaced by Tropical Strom Fred and first-generation homebuyer | Up to 30% of purchase price or $30,000 (whichever is less) | Reasonable and customary (up to 5% of purchase price) |
| First-time homebuyer OR displaced by Tropical Strom Fred and is a public servant homebuyer | Up to 30% of purchase price or $30,000 (whichever is less) | Reasonable and customary (up to 5% of purchase price) |
- Down payment assistance is a forgivable 36-month loan secured by a subordinate lien on the property. As long as the homebuyer remains in the house for at least three years, the funds do not have to be paid back. If the homebuyer sells or transfers an ownership interest in the property during the first 36 months, all down payment assistance funds must be repaid.
- Closing cost assistance is a grant and does not have to be repaid.
| English | Español |
|---|---|
| Program Manual | Manual del programa |