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3 <br />writing of the date funds will be available. If additional information is requested <br />by the County, the request for information must be satisfied in full before the <br />written notification of funding availability. Any new submission of material will <br />trigger the ten (10) working days response timeframe outlined above. <br />4. HOME funds used for acquisition and rehabilitation of available property shall be <br />secured by a note from EmPOWERment to the County and a deed of trust <br />constituting a first lien on the Property which deed of trust shall designate the <br />County as the secured party/beneficiary: The note and deed of trust shall be in <br />the form of the documents that are attached to and a part of this Agreement. The <br />County agrees to subordinate its lien on the Property to a first mortgage securing <br />private financing obtained by EmPOWERment in order to complete the project. <br />5. EmPOWERment agrees to sell homes to qualified first-time homebuyers whose <br />income does not exceed 70°h of the area median income by family size, as <br />determined by the U.S. Department of Housing and Urban Development and as <br />amended from time to time. In the event that the property is originally acquired <br />by EmPOWERment, at the closing of the sale to a homebuyer, EmPOWERment <br />shall repay the County the total HOME investment in the form of a credit to the <br />homebuyer. The credit to the homebuyer shall be documented by a promissory <br />note from the homebuyer to the County which note shall be secured by a deed of <br />trust on the Property naming the County as beneficiary. The County agrees to <br />subordinate its lien on each lot to a first lien securing private permanent financing <br />acquired by the homebuyer. The period of affordability for HOME funds in <br />accordance with the Act, its regulations and State Program Requirements shall <br />be 20 years from the date of execution of this Agreement. The default interest <br />rate shall be 7% per annum. EmPOWERment shall provide to the County, prior <br />to closing the sale of the Property to the homebuyer, documentation satisfactory <br />to the County verifying the income of the homebuyer. <br />6. In the event property is acquired for rehabilitation and resale without identifying a <br />prospective homebuyer, EmPOWERment agrees to identify a qualified buyer and <br />complete the sell of the property to the homebuyer within one hundred twenty <br />days (120) days of the date of the original closing. Failure to abide by this <br />provision will constitute an Event of Default as defined in Paragraph 8b. of this <br />agreement. <br />7. The County and EmPOWERment agree to comply with the Act, its regulations <br />and Federal Program Requirements in the purchase and sale of the Property. <br />The County and EmPOWERment further agree to comply with the provisions of <br />the funding agreement, dated July 8, 1997, attached hereto and made a part of <br />this Agreement (Exhibit B). <br />