Category Archives: Press Releases

Homeownership Programs Income and Acquisition Limits Updated

BISMARCK, N.D. – The North Dakota Industrial Commission has approved updated income and acquisition cost limits for the North Dakota Housing Finance Agency’s (NDHFA) homeownership programs. The NDHFA assists state residents, typically first-time buyers, with the purchase of a home by providing low-cost financing and offering down payment and closing cost assistance and homebuyer education.

“Over the past 35 years, the NDHFA has helped more than 41,000 individuals and families successfully achieve homeownership,” said members of the Industrial Commission in a joint statement. “Homeownership is a dream for many families, and by working with our lending partners we are pleased to assist them in reaching that goal.”

The commission, consisting of Gov. Doug Burgum as chairman, Attorney General Wayne Stenehjem and Agriculture Commissioner Doug Goehring, oversees the NDHFA.

The maximum income limits for NDHFA’s FirstHome™ and HomeAccess programs were set at $77,600 to $102,925, and North Dakota Roots was set at $108,640 to $135,380. The limits vary depending on household size and the county where a financed home is located.

The FirstHome and HomeAccess acquisition cost limits for Burleigh, Morton, Stark and Williams counties were set at $273,176 for a new or existing single-family home. For all other counties, the limits were set at $253,809. Higher limits were also approved for existing two- to four-unit properties. North Dakota Roots program users must comply with limits set by their loan insurer or guarantor.

A network of private-sector lenders originate loans on the NDHFA’s behalf and sell the loans to the agency when they are closed. The updates are effective for loan reservations dated on or after June 6, 2017.

“We continue to see a favorable marketplace for first-time buyers and expect to serve approximately the same number of households in 2017 as we did the previous year,” said Jolene Kline, NDHFA executive director.

In 2016, the NDHFA assisted 1,087 first-time homebuyers through its FirstHome program. The average borrower’s household income was $56,000 and the average loan amount was $160,400.

Through HomeAccess, special needs households who may have previously owned a home may receive the same purchase assistance as first-time buyers.

Through North Dakota Roots, the NDHFA provides purchase assistance to moderate-income buyers who may have previously owned a home and first-time buyers whose income exceeds FirstHome program limits.

Borrowers receiving purchase assistance from the NDHFA are expected to meet normal credit underwriting standards and must intend to occupy the property as their principal residence. A minimum of a $500 out-of-pocket cash investment is required.

The income limits for the NDHFA’s homeownership programs are based on median income numbers published annually by the U. S. Department of Housing and Urban Development. Mortgage revenue bond regulations allow the agency to use the greater of county or state median income.

Based on Federal Housing Administration loan limits, the NDHFA’s acquisition cost limits are dictated by the Internal Revenue Service. The limits are adjusted to take into account the differences between average and median home prices and do not differentiate between new and existing properties.

The NDHFA is a public financial institution dedicated to making housing affordable for all North Dakotans. More information on the agency’s homeownership programs is available online, www.ndhfa.org, or by contacting the agency at (800) 292-8621.

Community Land Trust Pilot Program Approved

BISMARCK, N.D. – The North Dakota Industrial Commission has approved a $3 million pilot program through the North Dakota Housing Finance Agency (NDHFA) that supports local Community Land Trusts (CLTs) efforts to create more single-family housing for low- to moderate-income households.

Community Land Trusts are non-profit organizations that make homeownership more obtainable by separating the ownership of the land from the cost of the home.

“We are very pleased the North Dakota Housing Finance Agency, as state government’s primary financier of affordable housing, is willing to take on this important challenge of making homeownership an option for more North Dakotans,” said members of the Industrial Commission in a joint statement.

The commission, consisting of Gov. Doug Burgum as chairman, Attorney General Wayne Stenehjem and Agriculture Commissioner Doug Goehring, oversees the NDHFA.

The NDHFA’s program will provide CLTs with access to a low-cost line of credit. Eligible uses include the acquisition, rehabilitation, demolition and/or new construction of homes on in-fill lots and in higher density neighborhoods for resale to income-qualified households.

In North Dakota, there are currently CLTs in Minot and Grand Forks. Other cities have expressed interest in developing trusts, but they have struggled to get started because they lacked the financial capacity.

“We look forward to reviewing the results of the pilot,” said NDHFA Executive Director Jolene Kline. “We hope that with the agency’s support, other North Dakota communities will be able to offer individuals and families with limited incomes this homeownership opportunity.”

The NDHFA is a public financial institution dedicated to making housing affordable for all North Dakotans. More information on the agency’s programs is available online, www.ndhfa.org, or by contacting the agency at (800) 292-8621.

Dickinson Project Awarded Redevelopment Assistance

HIF Invest in Your CommunityBISMARCK, ND – North Dakota Housing Finance Agency recently awarded $315,000 through the state’s Housing Incentive Fund to Mountain Plains Equity Group and Affordable Housing Developers Inc. The assistance provided supports the acquisition and rehabilitation of Dacotah Ridge Apartments, a 24-unit rental property in Dickinson, ND, that is occupied primarily by elderly and disabled households.

“Preserving affordable housing options for those who need it most is one of our highest priorities with the Housing Incentive Fund,” said Jolene Kline, NDHFA executive director. “We are pleased that this valuable housing resource will continue to serve North Dakota for years to come.”

Last November, NDHFA awarded $321,000 in federal tax credit authority to Dacotah Ridge through the Low Income Housing Tax Credit program. The equity created through the sale of the credits is the project’s primary funding source. The HIF funds will supplement a financial gap caused by an unexpected decrease in LIHTC credit value before the equity was able to be provided to the project.

“One of the greatest values of the Housing Incentive Fund is the program’s ability to close gaps in the financing of affordable rental housing,” said Kline.

Since HIF’s 2011 inception, almost $89 million has been allocated to 79 projects, leveraging more than $427 million in construction financing to support the development or rehabilitation of more than 2,500 housing units statewide. During the most recent funding round, NDHFA received five applications for the $1.2 million in HIF assistance that was available due to the cancellation of previous commitments.

NDHFA is a public financial institution dedicated to making housing affordable for all North Dakotans. The Industrial Commission of North Dakota, consisting of Governor Doug Burgum, as the chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees the state agency.

Housing Finance Agency Hires Schaf

BISMARCK, ND – North Dakota Housing Finance Agency recently hired Deanna Schaf of Bismarck, ND.

Deanna1Schaf joined the agency as an administrative assistant. In this position, she provides customer service at the agency’s front desk, and is responsible for processing loan payments and responding to general inquires.

“We are pleased to welcome Deanna to NDHFA. I believe she will be a great asset to our administrative team,” said Jolene Kline, the agency’s executive director.

Schaf replaces Kristi Seilinger, who transferred to the agency’s Homeownership Division.

NDHFA is a public financial institution dedicated to making housing affordable for all North Dakotans. The Industrial Commission of North Dakota, consisting of Governor Doug Burgum, as the chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees the state agency.

Affordable, Family-Friendly Mandan Townhomes Complete

RibbonMANDAN, ND – Affordable Housing Developers Inc. celebrated the completion of Trails West Townhomes today. The family-friendly development brings a dozen units of affordable rental housing to north Mandan.

“We are very excited to showcase Trails West,” said Andrea Diede, executive director of AHDI, developer and owner of the townhomes. “Interest in the property has been strong and with warmer weather upon us, we anticipate many applications will be coming in over the next couple of weeks.”

To rent one of the townhomes, households must be income qualified. Nine of the units are reserved for tenants earning 80 percent or less than Area Median Income. These two-bedroom units rent for $777 and the three-bedroom units rent for $888.

The three remaining townhomes are reserved for extremely low-income tenants, at or below 30 percent of AMI. A four-person household earning $26,500 or less would be able to rent one of these units for $470.

PartnerSignThe $2.65 million project received support from state and federal government programs to guarantee the affordability. The North Dakota Department of Commerce provided $985,000 through the HOME program and North Dakota Housing Finance Agency allocated $762,000 from the Housing Incentive Fund. AHDI owned the land on which the townhomes were constructed. The balance of the project was financed US Bank.

“The three-bedroom townhomes, in particular, are a welcome addition to the community. Our greatest rental need in Morton County is affordable housing for larger families,” said Rick Horn, executive director of the Morton County Housing Authority.

Located at 4530 30th Ave NW, ten of the Trails West Townhomes are three-bedroom units with one and one-half baths and tuck-under garages. The single-story, end units with attached garages are two-bedroom, one-bath that meet HUD Section 504 accessibility requirements. All of the townhomes are furnished with soft-closing cabinets, kitchen pantries, appliances including dishwashers and in-unit washers/dryers, window coverings, air conditioning and patios.

FrontThe property is within walking distance of Mandan’s newest elementary school, Red Trail. A retail/grocery shopping center, medical services, churches, parks, municipal services and public transportation are all available in the area.

HJL Management Company is the property manager, (701) 663-7494.

A Community Housing Development Organization based in Dickinson, ND, AHDI’s focus is on upgrading or creating rental units in Western North Dakota for elderly and low- to moderate-income individuals and families.

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Public Hearings Held for Housing Development Programs

BISMARCK, ND – North Dakota Housing Finance Agency will hold Public Hearings for the 2018 Low Income Housing Tax Credit Program Qualified Allocation Plan and the 2017 National Housing Trust Fund Allocation Plan on April 27, 2017.

18QAP&17HTFGraphicThe LIHTC hearing will begin at 10 a.m. and the HTF hearing at 11 a.m. Both hearings will be held in the Board Room at NDHFA’s office, 2624 Vermont Ave., Bismarck, ND.

The LIHTC program provides incentives for the production and rehabilitation of affordable rental housing. The HTF program supports the development and preservation of affordable rental housing for extremely low-income households, including homeless individuals and families. The proposed plans are available online.

The general public may submit either written or oral comments at the hearings. Persons who are unable to attend the hearings may submit written comments to hfainfo@nd.gov or NDHFA, PO Box 1535, Bismarck, ND 58502-1535, by 10 a.m. on April 27, 2017.

Persons needing accommodation or assistance to attend the hearing should call (800) 292-8621 or (800) 366-6888 (TTY), or email hfainfo@nd.gov.

NDHFA is a self-supporting state agency dedicated to making housing affordable for all North Dakotans. The Industrial Commission of North Dakota, consisting of Governor Doug Burgum as chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees the agency.

Champions of Affordable Housing Honored

BISMARCK, ND – North Dakota Housing Finance Agency honored several of its partners as Champions of Affordable Housing during its Statewide Housing Conference in February.

“The Champion awards recognize and celebrate the work of individuals, non-profit organizations, public agencies, and private sector businesses that make exceptional affordable housing contributions in North Dakota,” said Jolene Kline, NDHFA executive director.

Mortgage loan officers, financial institutions and real estate agents promote NDHFA’s homeownership programs to first-time buyers, households that previously owned a home and needed assistance buying again, and special needs households including single parents, veterans, and households with disabled or elderly family members in the home. Awards are presented to these partners based on the volume of loans produced and participation in locally sponsored affordable housing activities.

Travis Lang of Cornerstone Bank in Bismarck, ND, was the greatest individual producer of NDHFA’s affordable home loans in 2016. He originated 56 mortgages, providing more than $11 million in financing.

Also recognized was Debby Wisdom of Dakota Community Bank & Trust in Mandan, ND. Wisdom originated 46 loans in 2016 valued at more than $8 million. Over the past five years, Wisdom has produced more than 200 loans for the agency valued at over $33 million.

NDHFA also recognized three financial institutions as Champions of Affordable Housing – The Union Bank, Town and Country Credit Union, and Gate City Bank. These awardees were selected based on market penetration and loan production, special programs used, their portfolio performance and loan quality.  Together, they originated 240 loans on the agency’s behalf equaling more than $38 million.

Kirstin Wilhelm of Keller Williams Roers Realty in Bismarck, ND, was recognized for introducing 15 of her clients to NDHFA’s homeownership programs, securing more than $3 million in financing. Kyle Reedstrom of Hatch Realty in Fargo, ND, was honored for helping 17 of his clients obtain $2.9 million in financing.

The Property Management award recognizes either an individual property manager or a property management company that oversees affordable rental housing administered by NDHFA. MetroPlains Management, LLC of Fargo, ND, received the award for the outstanding work it does managing the more than 50 NDHFA properties in its rental portfolio.

Housing Production award entries are judged on the degree of response to a housing need, use of innovative and successful financing techniques, effectiveness of partnerships with other housing organizations or programs, and the measurable benefits to underserved people. Cook’s Court LLLP Senior Living of Minot, ND, received the award.

Through partnerships Beyond Shelter, Inc., a nonprofit developer based in Fargo, ND, forged with the City of Minot, State of North Dakota, Minot Housing Authority and Wells Fargo, Cook’s Court Apartments was successfully developed on an in-fill lot in southeast Minot. The property provides affordable rental housing for 40 low-income households age 55 and older.

NDHFA began recognizing its housing partners with Champion of Affordable Housing Awards in 1995. For more information on the awards or the agency’s program, contact NDHFA at (800) 292-8621 or www.ndhfa.org.

NDHFA is a self-supporting state agency dedicated to making housing affordable for all North Dakotans. The Industrial Commission of North Dakota, consisting of Governor Doug Burgum as chairman, Agriculture Commissioner Doug Goehring and Attorney General Wayne Stenehjem, oversees the agency.