WASHINGTON, D.C. – February 20, 2014 – (RealEstateRama) — Utah Housing Corporation and the Roosevelt City Housing Authority are hosting an open house for three new affordable CROWN (Credits-to-OWN) homes in Roosevelt. The CROWN program seeks to bring homeownership within the reach of lower income households while helping local governments to revitalize neighborhoods. These homes will help three households realize the dream of homeownership as they build equity with their low monthly rent payments.
The public is invited to the open house on Thursday, February 27th from 12:00pm to 1:00pm at 615 South, 500 East, Roosevelt, Utah.
The 4-bedroom CROWN homes will rent for $691 per month. Utilities are not included. To participate in the CROWN program, households may not earn more than 56 percent of the area median income for Duchesne County (i.e. $35,952 for a household of four).
Cindy Warren, Executive Director for the Roosevelt City Housing Authority says, “We believe that the CROWN Rent-to-Own program is very important in providing the opportunity for lower income households in Roosevelt to become homeowners”.
CROWN homes are decidedly more affordable than similar housing offered for rent. CROWN guidelines target those possessing the long-term commitment to homeownership. Selected tenants earn equity in the home by occupying it and paying rent which reduces the debt on the home. Thus, after the 15-year rental period expires, tenants have the opportunity to buy the home for a price far below the market value.
One unique aspect of the CROWN program is the proceeds generated from the sale of CROWN homes after the 15-year rental period. These proceeds called the CROWN Community Fund are made available for new affordable housing projects. Approximately $30,000 in proceeds generated from the sale of previous CROWN Homes helped provide financing for the three new CROWN Homes.
Grant Whitaker, President of Utah Housing says, “This has been a rewarding experience for Utah Housing to work together with American Express and the Roosevelt City Housing Authority to bring quality homeownership options to hard-working households in Roosevelt. CROWN offers an affordable opportunity for lower income households to get into a new home of their own.”
The CROWN program is made possible by Federal Tax Credits awarded by the Utah Housing Corporation. American Express is the equity investor and is expected to fund approximately $483,900 toward the project. The equity funding is used to lower the project’s debt, thereby allowing the owner to charge lower rents. Utah Housing provided low interest financing to build these attractive, yet modest, CROWN homes which complements the neighborhood.
Utah Housing is a public corporation created by the state of Utah, and is the state’s leader in financing affordable housing. Working with the private sector, Utah Housing Corporation provides mortgages for first time home buyers, finances rental properties and develops special needs housing. At no cost to the State, Utah Housing Corporation has provided financing for more than 70,000 single family home purchases and 23,600 multi-family apartments since 1977. Utahns can visit Utah Housing’s website at www.utahhousingcorp.org, call 801-902-8200, or talk to their realtor or banker about Utah Housing mortgages or homes in their communities.
Media Contact:
Susan Van Arsdell (801) 902-8233
Jonathan Hanks (801) 902-8200
