Texas Administrative Code › Title 10 - COMMUNITY DEVELOPMENT › Part 1 - TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS › Chapter 23 - SINGLE FAMILY HOME PROGRAM › Subchapter G - HOMEBUYER ASSISTANCE WITH NEW CONSTRUCTION (HANC) › Section 23.72 - Homebuyer Assistance with New Construction (HANC) Administrative Requirements

Current through Reg. 49, No. 28; July 12, 2024
(a) Commitment or Reservation of Funds. The
				  Administrator must submit the true and complete information, certified as such,
				  with a request for the Commitment or Reservation of Funds as described in
				  paragraphs (1) - (15) of this subsection:
(1)
				  Head of Household name and address of housing unit for which assistance is
				  being requested;
(2) A budget that
				  includes the amount of Activity funds specifying the acquisition costs,
				  construction costs, soft costs and administrative costs requested, a maximum of
				  five percent of hard construction costs for contingency items, proposed Match
				  to be provided, evidence that Direct Activity Cost and Soft Cost limitations
				  are not exceeded, and evidence that any duplication of benefit is
				  addressed;
(3) Verification of
				  environmental clearance from the Department;
(4) A copy of the Household's intake
				  application on a form prescribed by the Department;
(5) Certification of the income eligibility
				  of the Household signed by the Administrator and all Household members age 18
				  or over, and including the date of the income eligibility determination. All
				  documentation used to determine the income of the Household must be
				  provided;
(6) Project cost
				  estimates, construction contracts, and other construction documents necessary
				  to ensure applicable property standard requirements will be met at
				  completion;
(7) Identification of
				  any Lead-Based Paint (LBP) if activity involves an existing unit and
				  certification that LBP will be mitigated as required by
				  24 CFR §
												92.355;
(8) Evidence that the housing unit will be
				  located outside of the 100-year floodplain;
(9) If applicable, documentation to address
				  or resolve any potential conflict of interest, Identity of Interest, or
				  duplication of benefit;
(10)
				  Information necessary to draft Mortgage Loan documents, including issuance of
				  an SOL;
(11) Life event
				  documentation, as applicable, and all information necessary to prepare any
				  applicable affidavits such as marital status and heirship;
(12) Documentation of homebuyer completion of
				  a homebuyer counseling program/class provided by a HUD certified housing
				  counselor;
(13) For Activities
				  involving acquisition of real property:
(A) A
				  title commitment to issue a title policy that evidences that the property will
				  transfer with no tax lien, child support lien, mechanics or materialman's lien
				  or any other restrictions or encumbrances that impair the good and marketable
				  nature of title to the ownership interest and that the definition of
				  Homeownership will be met. The effective date of the title commitment must be
				  no more than 60 days prior to the date of project submission. Commitments that
				  expire prior to execution of closing must be updated at closing and must not
				  have any adverse changes in order to close;
(B) Executed sales contract; and
(C) A loan estimate or letter from any other
				  lender confirming that the loan terms and closing costs will be consistent with
				  the executed sales contract, the first lien Mortgage Loan requirements, and the
				  requirements of this Chapter;
(14) For Activities that do not involve
				  acquisition of real property:
(A) A title
				  commitment or policy, or a down date endorsement to an existing title policy,
				  and the actual documents, or legible copies thereof, establishing the
				  Household's ownership, such as a warranty deed or ground lease for a 99-year
				  leasehold. The effective date of the title commitment must be no more than 60
				  days prior to of the date of project submission. Title commitments for loan
				  projects that expire prior to the loan closing date must be updated and must
				  not have any adverse changes. These documents must evidence the definition of
				  Homeownership is met;
(B) A tax
				  certificate that evidences a current paid status;
(C) Written consent from all Persons who have
				  a valid lien or ownership interest in the Property;
(D) Consent to demolish from any existing
				  Mortgage Loan lien holders and consent to subordinate to the Department's loan,
				  if applicable; and
(15)
				  Any other documentation necessary to evidence that the Activity meets the
				  Program requirements.