1998 Minnesota Statutes

     462A.209 Home ownership assistance. 

    Subdivision 1.    Full cycle home ownership services.  
 The full cycle home ownership services program shall be used to 
 fund nonprofit organizations and political subdivisions 
 providing, building capacity to provide, or supporting full 
 cycle lending for home ownership to low and moderate income home 
 buyers.  The purpose of the program is to encourage private 
 investment in affordable housing and collaboration of nonprofit 
 organizations and political subdivisions with each other and 
 private lenders in providing full cycle lending services. 

    Subd. 2.    Definition.  "Full cycle home ownership 
 services" means supporting eligible home buyers and owners 
 through all phases of purchasing and keeping a home, by 
 providing prepurchase home buyer education, prepurchase 
 counseling and credit repair, prepurchase property inspection 
 and technical and financial assistance to buyers in 
 rehabilitating the home, postpurchase and mortgage default 
 counseling, postpurchase assistance with home maintenance, entry 
 cost assistance, and access to flexible loan products. 

    Subd. 3.    Eligibility.  The agency shall establish 
 eligibility criteria for nonprofit organizations and political 
 subdivisions to receive funding under this section.  The 
 eligibility criteria must require the nonprofit organization or 
 political subdivision to provide, to build capacity to provide, 
 or support full cycle home ownership services for eligible home 
 buyers.  The agency may fund a nonprofit organization or 
 political subdivision that will provide full cycle home 
 ownership services by coordinating with one or more other 
 organizations that will provide specific components of full 
 cycle home ownership services.  The agency may make exceptions 
 to providing all components of full cycle lending if justified 
 by the application.  If there are more applicants requesting 
 funding than there are funds available, the agency shall award 
 the funds on a competitive basis and also assure an equitable 
 geographic distribution of the available funds.  The eligibility 
 criteria must require the nonprofit organization or political 
 subdivision to have a demonstrated involvement in the local 
 community and to target the housing affordability needs of the 
 local community.  Partnerships and collaboration with 
 innovative, grass roots, or community-based initiatives shall be 
 encouraged.  The agency shall give priority to nonprofit 
 organizations and political subdivisions that provide matching 
 funds.  Applicants for funds under section 462A.057 may also 
 apply funds under this program. 

    Subd. 4.    Entry cost home ownership opportunity program. 
  The agency may establish an entry cost home ownership 
 opportunity program, on terms and conditions it deems advisable, 
 to assist individuals with downpayment and closing costs to 
 finance the purchase of a home. 

    HIST: 1995 c 224 s 106