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Single Family New Construction Program
(Round 2)
The City of Cedar Rapids in conjunction with the Iowa Department of Economic Development (IDED)
is now offering a second round of the Single Family New
Construction Program (SFNC) to replace housing units lost as
a result of the 2008 flood. The funds originate from the
Department of Housing and Urban Development (HUD) and are in
the form of Community Development Block Grant Disaster
Relief (CDBG-DR) funds. Eligible buyers are offered
assistance up to 25% of the purchase price of an approved
unit. Units are identified through a competitive
review process where proposals are scored based on factors
such as location, architectural design, and innovative green
building techniques.
Click here to see the Program Overview
(PDF)
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Developer Information |
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A portion of the funding for the SFNC
program will be set aside for eligible infrastructure costs
for newly developed land or infill lots within the
Tier 1
area. Developers can apply for up to $12,000 per lot
that is in addition to the buyer subsidy. Funding
amounts are based on actual incurred and documented expenses
which are paid to
the developer at the time of closing. The developments
are required to meet all local zoning requirements and
additionally meet the
Green Development Guidelines for the
program.
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Mandatory and Optional Development Guidelines (PDF)
Infrastructure Application (WORD)
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Builder Information
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The City has allocated
funding for 235 units of new production housing. The
units are separated into two (2) price categories and
the corresponding number of units in each category (see
chart below). Homes built
within each price category cannot exceed the maximum for
that category at closing. For instance a builder
who proposes a building at $149,000 cannot exceed
$150,000 on the purchase price state on the HUD closing
document. Half of all units allocated to a builder
must be sold to persons whose household income is at or
below 80% AMI.
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Price Range |
Number of Units |
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up to $150,000 |
125 |
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$151,000 - $180,000 |
110 |
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Projects must be new construction,
single family or duplex condominium dwellings.
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Modular homes are permissible
provided they are on permanent foundations.
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Units shall meet all locally adopted
building codes and standards
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All units are
required to meet the
Green Building Guidelines outlined in the application packet.
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There is a
maximum per unit development cost cap of $180,000.
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The maximum
amount of CDBG funds that may be applied for (per
proposal) is $1,000,000.
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Lots on which
construction is being proposed should be identified
and, where possible, site control obtained prior to
application submission
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Projects shall
not be located in the 100-year floodplain or within
known or proposed buyout areas.
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Builders will be
allowed a developers fee not to exceed 15% in
Tier 1
or 10% in all other areas.
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Project Review
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Projects submitted for the
program will be scored competitively based on numerous
factors such as location, quality design, previous
experience with similar housing, and the incorporation
of green building practices.
The deadline for submitted a project for review is
5 PM
March 12 .
Projects can be submitted to:
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City of Cedar Rapids
Community Development Department
ATTN: Marty Hoeger
3851 River Ridge Drive NE
Cedar Rapids, Iowa 52402 |
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For information about the
developer or builder application process contact:
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Marty Hoeger
Phone: (319) 286-5864
Email:
m.hoeger@cedar-rapids.org
Caleb Mason
Phone: (319) 286-5188
Email: c.mason@cedar-rapids.org |
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Buyer Information
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Qualified applicants to the SFNC Program must be at or below 100% of Area
Median Income (AMI) by household size established by HUD
. In addition, fifty percent (50%) of all assisted
homebuyers must be at or below 80% AMI (see chart). All assisted homebuyers must be able to support
a mortgage as evidence by a a firm loan commitment letter.
Assistance under this activity will not be allowed to be
combined with the Federal Jumpstart Homebuyer Assistance or
State Jumpstart Down Payment Assistance on the same dwelling
unit or person/household served. Funds received will be
secured as a 5-year forgivable lien against the property
which decreases at a rate of 1/5 per year. The property must
be maintained as the primary residence during the five year
affordability period.
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Cedar Rapids Family Income
Limits |
| Family size |
100% AMI |
80% AMI |
| 1 |
$
47,300 |
$
37,850 |
| 2 |
$
54,100 |
$
43,300 |
| 3 |
$
60,800 |
$
48,700 |
| 4 |
$
67,600 |
$
54,100 |
| 5 |
$
73,000 |
$
58,450 |
| 6 |
$
78,400 |
$
62,750 |
| 7 |
$
83,800 |
$
67,100 |
| 8 |
$
89,200 |
$
71,400 |
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APPLICATIONS WILL NOT BE AVAILABLE
UNTIL APRIL 2010 |
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Steps:
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Complete a Confidential
Application
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Provide
supporting documentation for income
verification
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Letter
of pre-qualification will be sent to
the applicant from the city
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Locate
an
Approved Builder
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Secure
purchase contract
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Provide
a Loan Approval Letter to the city
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A funding award letter
will be issued from the city with subsidy amount and forgivable
loan schedule
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Fillable Confidential Application (Word) |
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Printable Confidential Application (Word) |
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Printable Confidential Application (PDF) |
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For information about the
buyer application process contact:
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Michelle Hocraffer
Phone: (319) 286-5810
Email:
m.hocraffer@cedar-rapids.org
Jennifer Moen
Phone: (319) 286-5874
Email:
j.moen@cedar-rapids.org
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