If you are interested in purchasing a Home Trust home, complete the steps listed below in order to determine if you qualify.
a) Preliminary Interview with San Juan Community Home Trust Representative: The Home Trust’s representative will discuss the organization’s mission and explain the Community Land Trust model of home ownership. Our representative will also review your financial information and go over the complete qualification and application process. These steps allow us to determine your mortgage readiness. In addition we can answer any questions you might have.
b) Submit your completed application to the Home Trust Executive Director: Please note: Incomplete applications will not be accepted. There is no fee required at this stage.
c) Obtain a Credit Report including a FICO score: You can provide your own current three-in-one credit report or we can help you obtain one for a minimal fee. Once completed we’ll meet to review your report and discuss any credit issues you need to resolve in order to join our waiting list.
d) Attend an Orientation Session: The Home Trust requires potential homeowners to attend an orientation meeting. These sessions are designed to introduce you to the responsibilities of living in a Community Land Trust neighborhood. Please note: In a Community Land Trust Community (CLT), each homeowner is restricted in their use of the land by the ground lease agreement, and each community is guided by “Conditions, Covenants and Restrictions” (CC&Rs). Time for questions and discussion of issues of concern to you is included in these sessions.
e) Review a copy of sample CC&Rs: Each community land trust neighborhood is unique. It is the residents themselves who decide what rules and restrictions will guide their neighborhood. It is important to take time to review the CC&Rs to get an idea of what your neighborhood will feel like.
f) Time to Join the Home Trust! Having completed all of the above steps, it is now time to pay the application fee of $30.00. Please note: In order to keep your position on the waiting list, you must maintain your yearly membership ($30.00) in the organization.
g) Attendance required at two neighborhood meetings: This step is designed to give you a feel for what will be involved once you are a homeowner. You may attend meetings in one of our current neighborhoods or in one which is currently in development.
h) Complete the Washington State Housing Finance Commission Homebuyer Education Seminar
2. COMMITMENT AGREEMENT
Once qualified, the next step to homeownership is completion of a Commitment Agreement with the Home Trust. The Commitment Agreement defines the actions you agree to take in order to remain on the waiting list, and the actions that the Home Trust agrees to take in order to provide you with a home to purchase. If you fail to meet the commitments defined, you will lose your place on the waiting list.
3. MORTGAGE APPLICATION
If you meet all the conditions of your Commitment Agreement and have signed a purchase agreement, you then submit a mortgage application to a private lender and USDA Rural Development. They will request more detailed information such as employment verification and a more thorough credit report, and they will make the final determination about your financial qualification. If they determine that you are ineligible, your commitment fee paid to the Home Trust will be refunded.