How does Habitat for Humanity homeownership work?

The applicant(s) must demonstrate that their current housing situation has one or more of the following characteristics:

• Unsafe or very poor conditions or located in a particularly unsafe area;
• Rent, or contribution currently paid towards rent, exceeds 35% of net income;
• Size in inadequate for the present or anticipated residents;
• Other facts demonstrating a need for the type of housing Habitat can provide, that goes beyond a personal desire to own a home.

Applicants will not be approved if they:

• Qualify for conventional financing
• Presently own real estate
• Have owned real estate within the last three (3) years.

Eligible applicants are not disqualified because they may qualify for another subsidy program, governmental or charitable, or tax deferral.

•  Gross household income must be between 30% and 60% of the median income for the County (Burnett, Polk, Rusk or Washburn) at the time of application.
• A two-year history of stable income and employment;
• An acceptable credit history, which includes a good record of paying rent and utilities;
• Bankruptcies must have been discharged for at least three (3) years;
• Ability to cover closing costs and adjustments,such a downpayment of $1500 paid on monthly in the amount of $100 payments;
• Ability to afford anticipated mortgage payments, including property taxes and homeowners insurance;
• Monthly payments for debt cannot exceed 20% of net monthly income;
• Applicants must be U.S. citizens or permanent residents.

•  Applicant must complete at least  100 hours for single person/ 175 hours for a couple; of sweat equity directly towards the building of Habitat homes. Each primary applicant must complete a minimum of 30 hours per month. Applicant must comply with all other sweat equity policies;
• Applicant must be willing to live in a neighborhood in which Habitat is currently building;
• Applicant must be willing to attend required workshops for success in homeownership.