For the purpose of this subchapter, the term:
(1) "Closing Costs" means expenses in addition to the purchase price of the property which must be paid by the purchaser or deducted from the proceeds of the sale to the seller at time of closing.
(2) "Department" means the Department of Housing and Community Development.
(3) "Downpayment" means the unamortized amount paid by the purchaser at closing, which when added to the mortgage amount equals the total sale price.
(4) "Earnest money contract" means a contract created between the buyer and seller when the buyer makes a deposit to indicate both the ability and good faith intention to complete the purchase of a property. If the contract is fulfilled, then the earnest money deposit is applied toward the purchase price.
(5) "Fund" means the Home Purchase Assistance Step Up Fund.
(6) "Household" means an individual or 2 or more persons who reside together in a housing unit in the District.
(7) "Single family home" means a housing unit designed and maintained for occupancy by only one family.
(Apr. 27, 1999, D.C. Law 12-266, § 2, 46 DCR 948.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 45-2211.
Legislative History of Laws
Law 12-266, the "Home Purchase Assistance Step Up Fund Act of 1998," was introduced in Council and assigned Bill No. 12-661, which was referred to the Committee on Economic Development. The Bill was adopted on first and second readings on December 1, 1998, and December 15, 1998, respectively. Signed by the Mayor on December 23, 1998, it was assigned Act No. 12-574 and transmitted to both Houses of Congress for its review. D.C. Law 12-266 became effective on April 27, 1999.
(a) There is established in the Department of Housing and Community Development, a Home Purchase Assistance Step Up Program to provide one-time housing assistance to residents of the District of Columbia in low- to moderate-income households, who own condominiums, cooperatives, or starter homes and seek to purchase single family housing in the District of Columbia that is larger, or otherwise more appropriate for their households.
(b) There is authorized to be appropriated from the general revenues of the District of Columbia, and accounted for in the General Fund as a separate revenue source, such amounts as may be needed to establish a permanent revolving fund to be known as the Home Purchase Assistance Step Up Fund. From this Fund the District shall provide financial assistance to residents of the District of Columbia in low- to moderate-income households, who own condominiums, cooperatives, or starter homes and seek to purchase single family housing in the District of Columbia.
(c) There shall be deposited to the credit of the Fund any amounts as may be appropriated pursuant to this subchapter; any grants and gifts from public and private sources to the Fund or to the District of Columbia government for the purposes of the Fund; repayments of principal and any interest on loans provided from the Fund; any proceeds realized from the liquidation of any security interests held by the District under the terms of any assistance provided from the Fund; any interest earned from the deposit or investment of monies of the Fund; and all other revenues, receipts, penalties, and fees of whatever nature derived from the operation of the Fund.
(d) The Fund shall be available, without fiscal limitation, to provide financial assistance for down payments or closing costs to recipients for the purpose of purchasing a single family residence that is larger or otherwise more appropriate than the home previously owned by the recipient. Such financial assistance may be used in conjunction with other available home purchase assistance programs.
(e) An annual audit of the operations of the Fund shall be conducted by the Office of the Inspector General of the District of Columbia. Not later than 6 months after the end of the fiscal year, the Mayor shall submit to the Congress and to the Council of the District of Columbia a report on the financial condition of the Fund and the results of the operations for such fiscal year.
(Apr. 27, 1999, D.C. Law 12-266, § 3, 46 DCR 948.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 45-2212.
Legislative History of Laws
For legislative history of D.C. Law 12-266, see Historical and Statutory Notes following § 42-2621.
(a) An applicant shall be eligible for the Home Purchase Assistance Step Up Program if the applicant:
(1) Is a District of Columbia resident;
(2) Is the head of the household and will occupy the property to be purchased with assistance from the program as his or her primary residence;
(3) Has a satisfactory credit rating as shall be defined by rules deemed necessary to carry out the purposes of this subchapter;
(4) Has adequate income to qualify for a mortgage from a private lender;
(5) Has sold or otherwise disposed of all interests in any other real property before the closing of any loan under this subchapter;
(6) Has insufficient assets to pay the down payment or reasonable closing costs, or both, without assistance from this program;
(7) Would have liquid assets not exceeding the limit established by the Mayor by rulemaking, after purchasing property under this subchapter or through this program; and
(8) Meets qualifying income levels as provided by regulation.
(b) Property shall be eligible for the Home Purchase Assistance Step Up Program if the property:
(1) Is an existing single family residence in the District of Columbia;
(2) Meets the requirements of the Construction Codes promulgated pursuant to the Construction Codes Approval and Amendments Act of 1980, effective February 2, 1987 (D.C. Law 6-216; 12 DCMR) and the Housing Regulations of the District of Columbia, effective August 11, 1955 (C.O. 55-1503; 14 DCMR Chapters 1-14); and
(3) Has a purchase price that neither exceeds the maximum price requirement established by rulemaking nor the appraised value of the property.
(Apr. 27, 1999, D.C. Law 12-266, § 4, 46 DCR 948.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 45-2213.
Legislative History of Laws
For legislative history of D.C. Law 12-266, see Historical and Statutory Notes following § 42-2621.
(a) Assistance available pursuant to this subchapter is limited to a one-time loan of up to $15,000 with a maximum 20-year amortized term.
(b) The interest rate shall be 3%, unless otherwise provided by the Mayor by rulemaking.
(c) The Mayor shall establish underwriting guidelines, including loan amounts and repayment terms, by rulemaking.
(Apr. 27, 1999, D.C. Law 12-266, § 5, 46 DCR 948; Apr. 12, 2000, D.C. Law 13-91, § 155, 47 DCR 520.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 45-2214.
Effect of Amendments
D.C. Law 13-91 validated a previously made technical amendment in subsec. (a).
Legislative History of Laws
For legislative history of D.C. Law 12-266, see Historical and Statutory Notes following § 42-2621.
Law 13-91, the "Technical Amendments Act of 1999," was introduced in Council and assigned Bill No. 13-435, which was referred to the Committee of the Whole. The Bill was adopted on first and second readings on November 2, 1999, and December 7, 1999, respectively. Signed by the Mayor on December 29, 1999, it was assigned Act No. 13-234 and transmitted to both Houses of Congress for its review. D.C. Law 13-91 became effective on April 12, 2000.
The Mayor is authorized to promulgate rules to govern the operation of the Fund, including but not limited to, rules establishing eligibility requirements for applicants and homes and for establishing operating procedures for the program. The proposed rules shall be submitted to the Council for a 45-day period of review, excluding Saturdays, Sundays, legal holidays, and days of Council recess. If the Council does not approve or disapprove the proposed rules, in whole or in part, by resolution within the 45-day review period, the proposed rules shall be deemed approved. Nothing in this section shall affect any requirements imposed upon the Mayor by subchapter I of Chapter 5 of Title 2.
(Apr. 27, 1999, D.C. Law 12-266, § 6, 46 DCR 948.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 45-2215.
Legislative History of Laws
For legislative history of D.C. Law 12-266, see Historical and Statutory Notes following § 42-2621.
The provisions of this subchapter shall apply to the purchase of a single family home for which an earnest money contract is dated after April 1, 1999.
(Apr. 27, 1999, D.C. Law 12-266, § 7, 46 DCR 948.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 45-2216.
Legislative History of Laws
For legislative history of D.C. Law 12-266, see Historical and Statutory Notes following § 42-2621.
