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Section 4 of this Agreement pertain. Habitat shall assure compliance with affordability of <br /> assisted units by having recording, at the time it sells each of the five (5) dwelling units, a <br /> "Declaration of Restrictive Covenants" (EXHIBIT B) on the Property. This Declaration <br /> shall constitute and remain a first lien on the Property during the period of affordability. <br /> It is further the responsibility of Habitat to rerecord the Declaration of Restrictive <br /> Covenants no later than one day before the expiration of 30 years of the date of its sale of <br /> each of the five dwelling units in the event the homeowner purchasing the property from <br /> Habitat is still the owner of the dwelling unit at the time of the rerecording. County <br /> retains the right to periodically and every 30 years after the first recording of the <br /> Declaration of Restrictive Covenants on the Property to register, with the Register of <br /> Deeds of Orange County, a notice of preservation of the Restrictive Covenants on the <br /> Property as provided in North Carolina General Statute § 47B-4 or any comparable <br /> preservation law in effect at the time of the recording of the notice of preservation. It is <br /> the intent of this Section of this Agreement that the 99 year affordability requirement <br /> contained herein be accomplished and that Habitat and the County will do what is <br /> necessary to ensure that the same is not extinguished by the Real Property Marketable <br /> Title Act or any comparable law purporting to extinguish, by the passage of time, non <br /> possessory interests in real property. Both Habitat and County agree to do what each <br /> must do to accomplish the 99-year affordability requirement. <br /> 4. Resale Provisions. Habitat shall assure compliance with affordability of assisted units <br /> through the Declaration of Restrictive Covenants. The Declaration of Restrictive <br /> Covenants shall include at least the following elements in their resale provisions for the <br /> Improvements: <br /> 4.1 If the buyer no longer uses the Property as a principal residence or is unable to <br /> continue ownership, then the buyer must sell, transfer, or otherwise dispose of <br /> their interest in the Property only to a qualified homebuyer, i.e., a low-income <br /> household, one whose combined income does not exceed 80% of the area median <br /> household income by family size, as determined by the U.S. Department of <br /> Housing and Urban Development at the time of the transfer, to use as their <br /> principal residence. <br /> 4.2 However, if the property is sold during the term of affordability to a non-qualified <br /> homebuyer, the Right of First Refusal provision of the New and Existing First- <br /> Time Homebuyer Program portion of the County's Long-Term Housing <br /> Affordability Policy must be followed and the net sales proceeds (sales price less: <br /> (1) selling cost, (2) the unpaid principal amount of the original first mortgage and <br /> (3) the unpaid principal amount of the initial County contribution and any other <br /> initial government contribution secured by a deferred payment promissory note <br /> and deed of trust) or "equity" will be divided 50/50 by the seller of the Property <br /> and the County. <br /> 3 <br />