Neighborhood Stabilization Program NSP Update February 16 2010

Neighborhood Stabilization Program (NSP) Update February 16, 2010

Presentation Outline • Overview • Program Implementation • Marketing Strategy • Additional NSP Activities • Summary

Overview • NSP created by the Housing and Economic Recovery Act of 2008 to respond to rising residential foreclosures and property abandonment. • Orange County allocated $27. 9 million • Board of County Commissioners approved the County’s NSP Plan on November 18, 2008. • Grant agreements executed with HUD March 9, 2009. on

Overview NSP Eligible Activities: • • Acquisition, rehabilitation, sale of foreclosed homes • • • Demolition of abandoned, blighted properties Acquisition, rehabilitation of foreclosed rental properties Redevelopment of demolished or vacant properties Downpayment and closing cost assistance for Homebuyer

Overview

Overview Significant program requirements: • Program must serve low to moderate income families • 25% of program funds must serve very low income families • Properties must be purchased at a 1% discount from current appraised value

Presentation Outline • Overview • Program Implementation • Marketing Strategy • Additional NSP Activities • Summary

Program Implementation Internal NSP Team Real Estate Division Purchasing Division Property Acquisition Housing and Community Development Division County Attorney’s Office Housing Marketing & Rehabilitation Qualifying Fisca l Mitchell Glasser, Manager Frantz Dutes, Assistant Manager

Program Implementation External Partners • Orlando Regional Board of Realtors • Mortgage Brokers and Financial Institutions • Vendors: • Contractors and trades • Appraisers • Surveyors • Title Companies • Progress Energy (Energy saving audits)

Program Implementation Sources foreclosed properties: • Multiple Listing Service • Fannie Mae • National Community Stabilization Trust

Program Implementation Option A: County Initiated Acquisition Orange County coordinates the acquisition, repair and sale of NSP homes • Realtors assist with acquisition and sales • Rehabilitation work conducted by private companies • Energy audit results included in repair work • Inspections of rehab work conducted by County inspectors

Program Implementation Option A: County Initiated Acquisition • Buyers must be pre-qualified by lender. • Buyers must have a realtor represent them. • Available properties advertised in Multiple Listing Service and Orange County’s NSP web site.

Program Implementation Option A: County Initiated Acquisition Buyer Incentives: • • • $20, 000 Moderate $30, 000 Low $35, 000 Very Low Closing Costs paid by Orange County Buyer contributes 1. 75% of contract price for FHA loans. • 15 year non-amortized mortgage note at 0% interest

Program Implementation Option B: Realtor Initiated Purchases Realtor Participation: • Identify suitable properties and buyers • Coordinate purchase of foreclosed homes for eligible buyers • Utilize NSP homebuyer assistance for homes in good condition • Utilize NSP homebuyer assistance with FHA 203 K program for homes needing repairs.

Program Implementation Option B: Realtor Initiated Purchases Buyer Incentives: • Up to $35, 000 down payment assistance to qualified buyers • Closing costs paid by Orange County • Buyer contributes 1. 75% of contract price

Program Implementation Performance: Acquisition Properties acquired Option A 61 Properties acquired Option B 55 Properties under contract 19 Total number of homes Expenditures Year to date Total: $9, 615, 632 135

Program Implementation Performance: Rehabilitation Properties Completed Under Construction Out To Bid Total Homes 7 19 6 32

Program Implementation Performance: Sales Homes available for sale Homes sold Homes under contract 7 2 4

Presentation Outline • Overview • Program Implementation • Marketing Strategy • Additional NSP Activities • Summary

Marketing Strategy • Active NSP web site • Access to Multiple Listing Service • NSP for sale sign with home information flyers

Marketing Strategy Active NSP Web Site www. OCFL. net/NSP

Marketing Strategy Access to Multiple Listing Service

Marketing Strategy NSP For Sale Sign with Home Information Flyers

Presentation Outline • Overview • Program Implementation • Marketing Strategy • Additional NSP Activities • Summary

Additional NSP Activities Issued a multi-family RFP for NSP • $7. 0 million in NSP funds and $1, 000 in SHIP funds allocated • Acquisition and rehabilitation of foreclosed rental housing for very low income households

Additional NSP Activities Demolition of blighted structures Partnership with our Code Enforcement Division

Presentation Outline • Overview • Program Implementation • Marketing Strategy • Additional NSP Activities • Summary

Summary Comparative Performance Review Grantee Brevard County Grant Amount $ 5, 269, 667 Expenditure 0 Hillsborough County Jacksonville-Duval Orange County Orlando 19, 132, 978 26, 175, 317 27, 901, 773 6, 730, 263 $1, 297, 401 2, 700, 162 9, 615, 632 245, 283 Seminole County Tampa 7, 019, 514 13, 600, 915 3, 129, 437 621, 058

Summary Performance Review Expenditure Deadline: Grant Amount August 3, 2010 $27, 901, 773 Obligations 3, 687, 177 Expenditures to Date 9, 615, 632 Remaining Balance 14, 598, 964 Without RFP

Summary • Stabilizing neighborhoods • Creating and retaining jobs • Supporting green initiatives

For More NSP Information: www. OCFL. net/NSP