Ohio Admin. Code 175-12-03 - Single family tax credit eligibility
(A)
Only the project
development owner or designee, as provided for in paragraph (A) of rule
175-12-02 of the Administrative
Code, may apply for a single-family tax credit for a qualified
project.
(B)
An application for a single-family state tax credit
must include documentation that the qualified project consists of single-family
dwelling(s).
(C)
All rehabilitation project applications must meet
applicable rehabilitation standards and include in the application a physical
capital needs assessment and scope of work as provided for in the program plan
and policies.
(D)
To the extent project development owners are
contributing capital or other assets to contribute to the affordability of a
qualified project, evidence of such contribution must be provided at the time
of application. Contributions of capital or other assets will be considered in
the competitive criteria as set forth in the program plan and
policies.
(E)
Restrictive covenant
(1)
Each completed
single-family dwellings shall be sold to a qualified buyer and include a
restrictive covenant to the benefit of Ohio housing finance agency and the
project development owner in a form as prescribed by the Ohio housing finance
agency. Such restrictive covenant shall require the qualified buyer to remain
in the single-family dwelling as their primary residence for the entire
affordability period, as wll as include provisions for the contingencies in the
event of sale of the single-family dwelling, as prescribed in the
plan.
(2)
In the event of foreclosure, default, or homeowner
abandonment, the project development owner shall make reasonable efforts to
maintain affordability to the extent possible under law.
(F)
The
criteria to be used to determine whether an individual is a qualified buyer
shall be defined in the program plan and definitions contained in this rule
chapter.
(G)
Underwriting criteria:
(1)
Applications
shall be reviewied by the following underwriting criteria to assess the risk
associated with application:
(a)
Sum of estimated home sales, plus tax credit equity,
and other construction financing must be sufficient to pay off the construction
loan balance, after the final unit of a single-family dwelling is
sold;
(b)
The development team must meet the minimum experience
and capacity requirements contained in the plan;
(c)
The purchase
price of the individual unit of single-family dwelling in the project cannot
exceed the affordability for qualified homebuyers;
(d)
Financing sources
must be submitted in the application and have sufficient commitment to meet the
criteria as set forth in the plan;
(e)
The applicaation
must sufficiently demonstrate a market demand for the project;
(f)
A marketing plan
that must meet the minimum requirements outlined in the plan;
and
(g)
Any other requirements set forth in the application and
the allocation plan.
(2)
Limited
exceptions to the underwriting criteria may be granted for good cause shown and
supported by sufficient evidence. It is the discretion of the director to
review and grant underwriting exceptions.
(3)
Applications that
do not meet the program underwriting requirements and are not granted a limited
exception shall not be approved.
Notes
Promulgated Under: 119.03
Statutory Authority: R.C. 175.05, 175.17
Rule Amplifies: R.C. 175.17
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
No prior version found.