OF HOUSING, DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
Notice 00-7, dated April 28, 2000 (and extension notices).
expand HUD's partnership with local governments in helping to foster
housing opportunities for low- to moderate-income families and address
specific community needs.
Sale, Exchange, or Donation of Property and Goods.|
Place Cursor Here for Definition
AND USE RESTRICTIONS:
family homes that are acquired in foreclosure actions by the Federal
Housing Administration will be eligible for sale to local governments
around the nation for $1 when the homes have been listed for sale
for at least six months and remain unsold. Local governments buying
HUD homes for $1 can sell or rent them to low- and moderate-income
families, to first-time homebuyers, or to groups that will use the
homes to provide services such as child care centers or job training
Eligibility: Local governments must identify
the intended disposition strategies and clear public purpose goals
and objectives it will pursue with properties purchased through
AND AWARD PROCESS:
Eligibility: Low- to moderate-income families
Coordination: None. This program is excluded
from coverage under E.O. 12372.
Procedure: Properties are made available to
local governments on a weekly basis with new properties being
added as they reach at least six months of marketing exposure.
The properties remain available exclusively for purchase by local
governments for 10 calendar days. A form HUD-9548, Sales Contract,
must be received within this period of time for consideration
for the $1 sale.
Procedure: Submission of form HUD-9548, Sales
Local governments have 10 calendar days from the time the properties
are made available to submit the form HUD-9548.
of Approval/Disapproval Time: If local government
does not submit a sales contract within 10 calendar days, single
unit properties will then be offered to the Officer Next Door/Teacher
Next Door participants for an additional 10-day period.
and Matching Requirements: Not applicable.
and Time Phasing of Assistance: Not applicable.
Local governments must agree to provide the applicable HUD Homeownership
Center (HOC) Program Support Staff Director with an annual report
that provides the status and details on all properties purchased
under this program. The report must include information on the ultimate
purchaser, the amount of profit realized on the final sale and where
the profit was put back into local housing/community development.
In accordance with the provisions of OMB Circular No. A- 133,
"Audits of State and Local Governments and Non-Profit Organizations,"
nonfederal entities that expend financial assistance of $300,000
or more in Federal awards will have a single or a program- specific
audit conducted that year. Nonfederal entities that expend less
than $300,000 a year in Federal awards are exempt from Federal
audit requirements for that year, except as noted in Circular
All annual reports submitted by local governments will be maintained
by HOC Program Support Staff Director.
Identification: 86-4070-0-1-371; 86-4072-0-1-371;
Reported under Program 14.311.
and Average of Financial Assistance:
The average market value of the homes is approximately $50,000.
As of February, 2002, there have been 1,000 $1 homes sold nationwide.
It is estimated that an additional 250 homes will be sold under
this program by the end of fiscal year 2002.
GUIDELINES, AND LITERATURE:
HUD Regulations will be in 24 CFR Part 291. Program information
is available on HUD's website at www.hud.gov.
or Local Office: Contact the appropriate HUD
Homeownership Center listed in Appendix IV of the Catalog.
Office: For policy questions not covered on
HUD's website, contact the Asset Management and Disposition Division
in Washington, D.C.: by mail to 451 7th Street, S.W., Washington,
D.C. 20410; or by phone: (202)708-1672 (this is not a toll free
Site Address: http://www.hud.gov/offices/hsg/sfh/reo/reo_home.cfm
OF FUNDED PROJECTS:
None. New program.
FOR SELECTING PROPOSALS: