Orange County NC Website
Browse       Search
2. a. Habitat shall construct the necessary infrastructure and build at least fifty (50) <br />dwelling units as defined in the Project, obtain all permits and licenses necessary for <br />construction, and comply with applicable building and zoning ordinances and the N.C. <br />Housing Finance Agency Energy Standards. The Project shall be undertaken without <br />residential displacement. <br />b. - Habitat shall sell the newly constructed dwelling units to qualified buyers~ach of <br />whose income is up to 60% of the area median household income by family size, as <br />determined by the U.S. Department of Housing and Urban Development at the time of <br />the sale. <br />c. The funding provided by the County will be provided as a deferred second <br />mortgage transferable to the individual families at the time of sale to them. The <br />investment will be secured by a forty (40) year Deed of Trust and Promissory Note, <br />forgivable at the end of 40 years. This Deed of Trust and Promissory Note shall constitute <br />a lien on the Property, second only to the Declaration of Restrictive Covenants described <br />in paragraph 4 of this Agreement, with the County as the secured party/beneficiary. The <br />County agrees to subordinate its Deed of Trust lien on the Property to a lien securing <br />private construction financing acquired by Habitat in order to complete the project. <br />d. At the time of closing of the sale of each of the dwelling units to a homebuyer, <br />Habitat shall repay the County $15,900 in the form of a credit to the homebuyer. The <br />credit to the homebuyer shall be documented by a Promissory Note from the homebuyer <br />to the County which note shall be secured by a Deed of Trust on the Property naming the <br />County as beneficiary. The County agrees to subordinate its Deed of Trust lien to a lien <br />securing private permanent fmancing acquired by the homebuyer. <br />e. The period of affordability will be 99 years and will be secured by a Declaration <br />of Restrictive Covenants that will incorporate a right of first refusal that may be exercised <br />by Habitat and/or the County. <br />f. Habitat. is responsible for soliciting buyers for the dwelling units constructed on <br />the Property. Habitat and/or its buyers shall be responsible for securing permanent <br />mortgage financing for the homes built on the Property. <br />g. Habitat is responsible for verifying the income of the homebuyers, explaining the <br />second mortgage program to potential homebuyers and certifying by written <br />documentation signed by the homebuyer that the program requirements have been fully <br />explained. Habitat shall maintain purchaser files as -part of its Books and Records as <br />required and for the period of time required by Section 6.c. of this Agreement. <br />2. Progress Payments. The County shall make payments when requested by Habitat in <br />order to facilitate the development of the project inli-astructure. Copies of documentation <br />for actual expenses shall accompany payment requests. <br />4 <br />