Housing Choice Voucher Homeownership Program

Overview…
The Homeownership Option Voucher (HOV) is used like the Housing Choice Voucher (HCV) rental program, but the Housing Assistance Payment is made to the mortgage holder instead of the landlord. Eighteen of our 598 Housing Choice Vouchers have been set aside for homeownership.

The HOV has a limited assistance period. It can be used for up to 15 years or until the family no longer qualifies for Housing Choice Voucher assistance, whichever is first. Handicapped and disabled households can receive lifetime assistance.

To Qualify…

Must already be on Housing Choice Voucher Rental Program
Must be working full-time (at least 30hrs/wk) for at least one year before issuance of HOV**
Must have annual income of at least $13,000 at time HOV is issued**
Must be a first time homebuyer

** Unless elderly or disabled

Becoming “Mortgage Ready”…
Each participant works with a Case Manager to improve their credit rating in order to qualify for a mortgage with a traditional lender:

Run Credit Report
Create a plan to improve credit rating through budgeting and education
Save for down payment
Attend Home Buyer Education class through Neighborhood Housing Services
Homeownership Voucher issued!

BUYING A HOME…
Once the Homeownership Voucher is issued, the Beloit Housing Authority will determine how much of a mortgage the family can qualify for.

Pre-approved at lender
Work with a Real Estate Professional
CHOOSE HOME!!

The family applies at a traditional lender for a mortgage for the property of their choice. Each lender is required to give the final financing paperwork to the Beloit Housing Authority for final review and approval. Family income is reviewed annually and subsequent adjustments are made to the Housing Authority Payment (HAP). The family will be required to attend a Post-Purchase counseling class at NHS of Beloit for the first two years after buying the home.

TO ENROLL...
If you are currently receiving Housing Choice Voucher Rental Assistance through the Beloit Housing Authority and are interested in the Section 8 Homeownership Program, you must contact Maria Arellano at (608) 364-8747 or email Maria Arellano for enrollment information.