Homeownership

Homeownership

Owning a home is the epitome of the American Dream yet for many hard-working families in Forsyth County, homeownership seems an impossible accomplishment. Habitat for Humanity of Forsyth County allows hard working families to realize their dream.

Homeowners in the Process

Habitat for Humanity of Forsyth County is a hand-up, not a hand-out, to hard-working families. Volunteers, and the families themselves, build quality homes in safe neighborhoods for those who meet income and work history requirements.

Habitat families must complete 300-400 social engagement, or sweat equity, hours through working on their own homes, other families’ homes or contributing volunteer hours at Habitat, before they can purchase their homes. They also attend a series of classes about subjects such as homeownership, maintenance, and financial management.

The families purchase their homes through an affordable 30-year loan. Their mortgage payments enable Habitat to continue the cycle, building more homes for Partner Families. The results are life-changing.

Qualification Guidelines

You must answer yes to three or four of the following questions to qualify for the Habitat homeownership process.

  1. Have you had steady income for the last 12 months?
  2. Have you lived in Forsyth County for the last 12 months?
  3. Is it overcrowded in your home?
  4. Are you living in sub-standard housing?
  5. Are you making monthly payments on all your debts?
  6. Are you willing to work 300-400 social engagement, or sweat equity, hours on Habitat homes?
  7. Does your total family income fall within the guidelines listed below?
 
2020 Income Guidelines
Family Size  Annual Income
1 $16,363 – $37,400
2 $18,703 – $42,750
3 $21,044 – $48,100
4 $23,363 – $53,400
5 $25,244 – $57,700
6 $27,103 – $61,950
7 $28,984 – $66,250
8 $30,844 – $70,500
Credit:
  • Medical Collections Accounts must be less than $3,000
  • Student Loans cannot exceed more than 1.5 years of your annual gross income
  • No bankruptcies/foreclosures in the last five years
Rental History:
  • Minimum 12 month rental history
Down Payment:
  • Ability to save at least $2,000 to cover closing costs
Qualification Guidelines

You must answer yes to three or four of the following questions to qualify for the Habitat homeownership process.

  1. Have you had steady income for the last 12 months?
  2. Have you lived in Forsyth County for the last 12 months?
  3. Is it overcrowded in your home?
  4. Are you living in sub-standard housing?
  5. Are you making monthly payments on all your debts?
  6. Are you willing to work 300-400 social engagement, or sweat equity, hours on Habitat homes?
  7. Does your total family income fall within the guidelines listed below?
 
2020 Income Guidelines
Family Size  Annual Income
1 $16,363 – $37,400
2 $18,703 – $42,750
3 $21,044 – $48,100
4 $23,363 – $53,400
5 $25,244 – $57,700
6 $27,103 – $61,950
7 $28,984 – $66,250
8 $30,844 – $70,500
Credit:
  • Medical Collections Accounts must be less than $3,000
  • Student Loans cannot exceed more than 1.5 years of your annual gross income
  • No bankruptcies/foreclosures in the last five years
Rental History:
  • Minimum 12 month rental history
Down Payment:
    • Ability to save at least $2,000 to cover closing costs

The Application Process

1. Mini Application and Support Documents

Please review all of the necessary requirements outlined on the Before You Apply page in order to complete your online application.

Please submit Mini Application, Proof of Income, and Proof of Residency forms all at once to

EMAIL: estela.torres@habitatforsyth.org

MAIL: Habitat for Humanity of Forsyth County, ATTN: Estela Torres, 1023 W. 14th Street, Winston-Salem, NC 27105

DROP-OFF AT OUR OFFICE: Due to measures currently in place because of COVID-19, we ask that if you bring your materials to the office, please place them in the secured lockbox outside the gate at the main entrance of our offices located at

1023 W. 14th Street, Winston-Salem, NC 27105

Once you have dropped your documents off, please call to notify our front desk at 336.306.8424.

2. Income and Credit Report

Habitat for Humanity of Forsyth County will review your income documentation and pull a credit report. If you meet the requirements of the program, you will be invited to a Homeownership Orientation. 

3. Homeownership Orientation

Attend a session to learn the ins and outs of the Homeownership Program as well as receive a Full Application.

You can preview the orientation materials by clicking “Before you Apply”

4. Full Application and Documents

Follow the instructions on the of the Full Application and submit it along with all required documents by the deadline provided at the orientation. 

5. Full Application Review

6. Home Visit and Interview

A Home Visit and Interviews will be conducted with two members of the Family Services Department that will:

  • Evaluate current home environment to determine “need for housing”
  • Review applications for changes and updates.
  • Address any questions/concerns you may have.

7. Invitation to Join Program

An invitation to a Letter of Intent will be sent out, inviting you to officially start the Homeownership Program.

Frequently Asked Questions

Who can apply?

Anyone and any family can apply- we are an Equal Housing Opportunity organization

 

What are the required qualifications?

  • US Citizen or Legal Permanent Resident
  • Live or in Work Forsyth County for over 12 months
  • 1st Time Homeowner/ Have not owned a home within the last 3 years
  • Need for Housing
  • Ability to Pay
  • Save $2,000 to cover closing cost
  • Meet Income Guidelines
  • Reasonable Credit History
  • Willingness to Partner

 

Do I still qualify if I don’t have great credit?

We don’t look at your credit score but we do look at your total amount of debt and annual gross income to determine your Debt-To-Income Ratio. Your Debt-To-Income Ratio cannot be over 36% in order to qualify for the program.

 

Do I still qualify if I am currently on Section 8?

Having Section 8 or receiving any other kind of housing voucher will not disqualify you automatically from the program. Although income verification is required, Section 8 is not considered as income and cannot be applied to your affordable Habitat Mortgage

 

How much will my mortgage payment be?

Mortgage Payments are Based on Affordability and Will Not Exceed 30% of Monthly Gross Income

 

When can I move into a Habitat home?

Typically it can take 12-18 months from initial application process until moving into a new home