APPLY FOR A HOME - Frequently Asked Questions
How does Habitat work?Verde Valley Habitat for Humanity (VVHFH) builds houses in partnership with qualifying families, using as much donated materials and labor as possible. VVHFH then sells the houses at no interest and no profit. VVHFH builds decent, affordable no-frills housing. The monthly payments from each VVHFH home in your community combines to provide funds to help build the next home. Who qualifies for a Habitat House?There are many criteria a family will need to meet to be considered for a VVHFH Home. Problems with current housing such as over-crowding, excessive rental payments, structural problems in current housing as well as willingness to partner with Habitat will be reviewed. Employment history, residency in the Verde Valley, credit history, and ability to re-pay the monthly mortgage payment will also be considered. What is involved in the application process?Pre-screening packets are available to people interested in finding out more information about becoming a Habitat homeowner. Call VVHFH at 649-6788, visit the offices at 735 S. Main Street, Cottonwood, Arizona, or request a pre-screening packet online. (use the link provided on this website.) Additionally, VVHFH holds prospective homeowner public education forums. During these presentations, criteria for homeownership is presented and pre-screening packets are available. If you meet the minimum criteria at the pre-screening level, you will be given an Application for Housing. This is a 7-page document that must be completed and returned within 20 days. If your application is complete and all information has been confirmed to be correct, representatives of the Family Selection Committee will ask to meet with you to review required documents, which include but are not limited to:
Note: criminal background checks and credit checks are conducted on all applicants, co-applicants and other adults that will be residing within the home. In-home visits are also conducted. After all qualifying applications have been reviewed and home visits are made, the committee will nominate families for final review by the VVHFH Board of Directors. How much does a Habitat house cost?Monthly payments will vary from house to house. For example, a house built for $70,000.00 (which is typical) would have a monthly payment of approximately $385.00, which includes principle and escrow for taxes and insurance. The houses are sold with 20-25 year mortgages and payments will not exceed 30% of the family’s income. A $25.00 non-refundable application processing fee is due when applicants meet with Habitat respresentatives to go over their application and documentation. An initial down payment of $1,000.00 is required for closing costs, fees and utility hookups and 1 year home insurance. An additional $1,000.00 is due within 3 months of being accepted for a home, but 30 days prior to closing on the home. If I qualify and have been selected as a new homeowner how long does it take to move in?It can take anywhere from 9 months to 2 years for a family to actually move in. On average once you have completed your pre-construction hours and ground has been broken, it takes 6-8 months to build your Habitat home. If I am selected to be a new homeowner what will my responsibility to VVHFH be? Sweat equity requirements are as follows: 300 hours sweat equity for a single-applicant family; 450 hours for applicant and co-applicant. If there is a third adult who will be living in the home and who is a financially contributing member of the household, an additional 50 hours of sweat equity is required. Up to 50% of the total sweat equity requirement can be performed by family and friends. A minimum of 50 hours of sweat equity must be completed before construction has started. What is 'Sweat Equity'? “Sweat equity” refers to the actual hands-on involvement of prospective homeowners in the construction of their home and in other VVHFH activities. There are many ways to fulfill sweat equity requirements: help in the actual construction or other on-site tasks at your home site or other VVHFH home sites; volunteering to serve on a VVHFH committee; volunteering to help at the VVHFH ReStore; etc. What else should I know?After moving in, you are expected to make monthly payments on time and keep the home and yard well maintained. Annually, you will be responsible for property taxes, homeowner insurance renewals and HOA (Home Owner Association) fees, where applicable. After you move in, financial follow up visits will also be required. You may not take out home equity loans or liens on your property, as VVHFH is your bank. If you default on your property payments VVHFH will foreclose on your property. In the event you need to sell your home prior to the completion of the mortgage, VVHFH has first right of refusal on your home. The only time you can acquire equity from a sale of your home is if you have lived in the home for a minimum of 10 years, and you have satisfied the terms of the mortgage on the home. Habitat works in partnership with homebuyers, understanding that homeownership is a fundamental way for people to secure a better future for their family and their families future generations.What are the income guidelines?
Note: The above income brackets can change annually. |
How to apply for a Habitat for Humanity houseInterested applicants are asked to
submit our online form
so that we can contact you to discuss qualifications and reserve your spot in an upcoming information session. You can also contact us by phone
Stop by our Affiliate headquarters located at
Email us |