Housing Development

Homeownership Division

The Homeownership Center focuses its efforts on sustaining homeownership through financial literacy education, community outreach and counseling. Financial Literacy, Pre and Post purchase education and effective outreach to the community are the tools used to prepare families to be successful homeowners at the same time preparing them to analyze and act on repayment problems should they occur. Financial Advisors perform activities to include:

Managing the telephone center, homeowner counseling programs, down payment and closing cost assistance and first time homebuyer home purchase programs.
Conducting financial underwriting reviews, case management and provide case management and down payment and closing cost assistance.
Processing supporting documentation, analyze credit reports and appraisals and prepare denial and commitment letters.
Maintaining relationships with counselors and lenders participating in the program.
Providing minimal counseling and budgeting to applicants and refer willing applicants to financial literacy and credit counseling service providers.

A careful step by step approach of intake, screening, credit counseling, homeownership training, and purchase counseling will be the service delivery method. Our tough love approach will identify clients with major credit and budgeting problems and recommend a plan of action to correct them before any services are provided by the County. The Homeownership Center will focus on not just providing information by referring clients to financial literacy training and homeowner counseling. We will also attempt to inspire clients to better their lives by showing them that with a little discipline and hard work they can accomplish their dream of homeownership.

Local homeowner counseling agencies:

KAIROS Development Corporation 5601 Old Branch Ave Camp Springs, MD 20748 301-899-0046	HomeFree USA 3401 East West Highway Hyattsville, MD 20782 301-891-8400
Housing Options and Planning Enterprises 6192 Oxon Hill Road Oxon Hill, MD 20745 301-567-3330	Housing Initiative Partnership, Inc 6525 Belcrest Road, Suite 555 Hyattsville, MD 20782 301-985-5048 or 5122
Sowing Empowerment and Economic Development 6201 Riverdale Road Riverdale, MD 20737 301-458-9808	Roots of Mankind Corporation 4273 Branch Avenue, Suite 205 Temple Hills, MD 20748 301-899-6800
United Communities Against Property 1400 Doewood Lane Capitol Heights, MD 301-322-5700	Unity EDC 6810 Floral Park Road Brandywine, MD 20613 301-505-0331

The Construction Advisors will assist first time homebuyers and current homeowners in the acquisition and rehabilitation of distressed properties in an effort of promoting the revitalization of neighborhoods in established communities. The Advisors will oversee the acquisition and rehabilitation process for prospective and current homeowners. The construction advisors will work with the homeowners who are seeking funds to rehabilitate their home, refinance and rehabilitate their home or purchase and or rehabilitate another property that will be used as their principal residence. Construction Advisors will also:

Manage relationships with the contractors, oversee the application process to add new contractors, conduct all initial and final inspections on properties rehabilitated with HOME or CDBG funds.
Deliver home maintenance workshops to the community as requested.
Maintain a workforce housing database composed of Bank Real Estate Owned (REO) properties, recently foreclosed properties as well as single family homes currently on the market that meet the following criteria:
1. priced below $300,000
2. built before 1978
3. located in areas near major transportation and/or employment centers.

The Outreach Manager provides information to prospective homebuyers, current homeowners, and major employers in the County. The Outreach manager coordinates community workshops, recruits potential workforce employers and advises the community how to apply for assistance through the County’s homeownership programs. They are responsible for making sure the community is aware of the many programs designed to assist current homeowners.

House Keys 4 Employees (HK4E)

House Keys 4 Employees is a partnership between the State and the County that enables homebuyers who meet the eligibility requirements under the Maryland Mortgage Program (MMP) to receive down payment and closing cost assistance from participating employer(s). Prince George’s County provides up to $5,000 for County employees, including public safety and public school teachers. The State provides a $1 for $1 match of up to $5,000 toward down payment and closing cost expenses.

In order to apply for the program an eligible employee must have a ratified contract to purchase a home in the county, have completed a HUD certified homeownership counseling workshop and have a commitment from a participating lender to finance the home through the Maryland Mortgage Program.

American Dream Down Payment Initiative (ADDI)

ADDI provides down payment and closing cost assistance to low-income families who are first-time homebuyers for the purchase of single-family housing that will serve as the family’s principal residence. ADDI provides funding to targeted low-income families. In order to be eligible for ADDI assistance an applicant must:

Be a “first-time homebuyer”;
Contribute a minimum of $1,000 toward the purchase of the home;
Be a “low-income family”;
Use the house as their principal residence;
Successfully complete a HUD approved homebuyer counseling course; and
Qualify for a first mortgage.

To get started, or get more information on the program, you will need to contact one of our ADDI administrators: Kairos – (301) 899-0046 or Housing Initiative Partnership – (301) 985-5048/ (301) 985-5122.

Homebuyer Programs

The CDA Maryland Mortgage Program provides low-interest mortgage loans to eligible homebuyers with low- to moderate-income households through private lending institutions throughout the State. The Program began in 1980 and is targeted primarily to first-time homebuyers.
HUD-FHA 203k Acquisition and Rehabilitation loan program targets moderately priced properties within the County. One loan to finance both the acquisition and rehabilitation of a property. The mortgage amount is based on the after rehabilitated value of the property. Repair costs are held in escrow until closing is completed. Once settlement occurs the County will advise homeowner on the construction process, oversee the bidding process and ensure the contractors complete the work as agreed. This program is available for first time homebuyers making a new purchase as well as current homeowners that wish to rehabilitate their current residence.

Foreclosure Assistance Programs

Bridge to HOPE Program:

This statewide program administered by the Maryland Community Development Administration (CDA) provides Maryland homeowners with short term relief to maintain homeownership by preventing residential mortgage foreclosures resulting from borrowers experiencing financial difficulty caused by either a sub-prime or exotic mortgage such as a negative amortization loan, or an ARM loan that is preparing to reset. Borrowers must be referred by a CDA approved housing counseling agency. Borrowers must also be in delinquency or imminent danger of losing their home with no other viable alternatives available. This deferred loan is repayable at the time the house is sold, transferred or the existing mortgage is refinanced. Maximum loan amount is $15,000.

Lifeline:

The Community Development Administration’s (CDA) Lifeline Refinance Mortgage program provides a refinancing option to Marylanders who may be facing difficulties after financing their homes with adjustable rate or other unfavorable mortgages, or with mortgages that no longer fit their financial situation. Credit scores should be above 600 and debt to income ratio must not exceed 45% for interest only loans and 50% for 30 and 40 year amortizing loans. The property must be the borrower’s primary residence.

FHA Secure:

This federal initiative enables homeowners to refinance various types of adjustable rate mortgages (ARM’s) that have recently reset. Mortgagees must determine that the reset of the non FHA-ARM caused the borrower’s inability to make the monthly mortgage payments and that the borrower has sufficient income and resources to make the monthly payments under the new FHA-insured financing.

NeighborWorks HOPE Hotline 1-888-995-HOPE

The Homeownership Preservation Foundation along with NeighborWorks created this free foreclosure counseling service in 2005. The service is available to any U.S. homeowner who is having trouble paying their mortgage. A homeowner who calls 1-888-995-HOPE or clicks on www.995hope.org will receive budgeting help, a written financial plan and assistance in contacting their lender. If homeowners prefer face to face counseling they are referred to a local HUD-certified nonprofit housing counseling agency.

Mortgage Late? Don’t Wait 1-877-462-7555

The State of Maryland operates the HOPE Hotline. You can call them at 1-877-462-7555 or click on www.mdhope.org. The hotline provides information on foreclosure assistance programs and housing counseling agencies throughout the State. If your mortgage is late, don’t wait do these things now!

Gather your closing documents
Read and review all correspondence from your lender
Budget and save money
Contact your servicer
Complete a hardship letter
Contact a housing counseling agency
Know your mortgage rights
Understand the foreclosure process
Negotiate with your lender
Determine if keeping your house is realistic

Single Family Housing Rehabilitation Program

The Single Family Housing Rehabilitation Loan Program provides financial assistance to rehabilitate single-family homes for low and moderate income persons in order to upgrade deteriorated homes to minimum property standards including the elimination of all housing code violations. This program is designed to provide decent, safe and sanitary housing for the County‘s low-and moderate-income residents who could not otherwise afford it.

Program priorities are the correction of code or potential code deficiencies, structural damage, weatherization, and general improvements to enhance the livability of the home. Typical activities include roof replacement, heating and air conditioner upgrades, and lead based paint abatement. Handicapped accessibility improvements are also eligible.

You must be a Prince George’s County resident and the owner of record of the property to be improved for at least nine months prior to the application date. You must not have any substantial assets other than the property to be improved and your household income cannot exceed 80% of the median household income for the Washington Metropolitan Statistical Area or no more than $68,300 for a family of four.

Christmas In April

On the first Saturday in April, Prince George’s County residents volunteer to assist elderly and disabled homeowners. Christmas in April is an annual one-day project to repair the homes of those who cannot complete the repairs on their own due to age, disability and financial hardship. Skilled and unskilled volunteers give six to eight hours of their time to help with needed repairs. HDD inspects all homes of those who apply for assistance, provides work write-ups for each home and inspects the repairs when completed. No structural repairs or projects that require more than one day will be accepted. To be eligible for this program the applicant must be elderly and/or disabled and the property must be the applicant’s principal residence.

Elderly Housing Development

HDD provides financial and technical assistance to developers that provide new elderly housing developments that meet the Division's objectives. Each project is also monitored for compliance with housing standards and income regulations.

Multi-Family Housing Redevelopment

HDD provides financial and technical assistance to developers that redevelop multi-family housing developments that meet the Division's objectives. Each project is also monitored for compliance with housing standards and income regulations.

(301) 883-5570 TEL

(301) 925-4147 FAX

EMAIL: homeownership@co.pg.md.us