In the past couple of weeks, I’ve attended several really good classes, two of which addressed different aspects of the foreclosure market.
At the first class, Jim Long, Bend’s Affordable Housing Manager, discussed a new loan program available in Central Oregon for residents with moderate income who purchase bank-owned homes.
As part of phase two of HUD’s Neighborhood Stabilization Program (also know as NSP-2), qualified buyers may receive a zero-interest, deferred-payment loan of up to 20 percent of the purchase price (or a maximum of $35,000). Those funds can be used to help with a down payment, mortgage buy-down or closing costs, or may go toward completion of an unfinished home. Only owner-occupied purchases are eligible. Bend has been allocated $2.1 million in funding (not all of which will be available to residents.)
Long said the funds are expected to be available by the end of April, and will be distributed throughout Deschutes, Crook and Jefferson counties on a first-come/first-served basis. Another important caveat, he added: if you’re considering seeking these funds, you must fill out the application before an offer is written. One other thing to keep in mind: It’s a federal program, with the requisite red tape involved, so patience and persistence are recommended. So, for example, the closing might take longer and there are a few additional hoops to jump through (a HUD-designated home inspector, for example).
But what a great coup for Central Oregon! (By the way, Oregon’s application to receive the NSP-2 grant money was one of only 56 of the 480 applications that were approved — and the only award in the Northwest United States.)
To find out more about the program or to request an application, contact Jim Long at 541-312-4915 or jlong@ci.bend.or.us.
ANOTHER INFORMATIVE SESSION
The second foreclosure-related class addressed the legal, tax and credit implications of short sales and foreclosures. For that one, several hundred agents filled the Westside Church in Bend to hear panel members Larry Wallace (of True North Mortgage), attorney Tami MacLeod (of Karnopp Peterson) and CPA Stephen Greer (of Greer Mahr & Associates).
Hosted by Western Title, the class was a rousing two hours packed with info (actually, the Q&A ran long after the appointed cut-off time). Among the topics: recent legislative changes to Oregon’s anti-deficiency laws, new rules regarding tenant’s rights on foreclosed homes, and the impact of mortgage insurance on distressed-property sales.
Best of all, the whole thing was videotaped and will be posted on the Western Title’s website in the near future. A great resource for consumers and agents alike.
About the Author:
Lisa Broadwater, GRI, CDPE is a Central Oregon-based real estate professional who specializes in listing and selling homes, especially in Sisters, Tumalo, Redmond and Bend.