Officer Next Door Sales Program (14.198)

Program

14.198 Officer Next Door Sales Program

Federal Agency

Agency: Department of Housing and Urban Development
Office: Office Of Housing-federal Housing Commissioner

Authorization

24 CFR 291.500-565, final rule published in Federal Register, October 31, 2006, effective December 1, 2006, following publication in the Federal Register of a proposed rule on September 8, 2005.

Program Number

14.198

Last Known Status

Active

Objectives

The purpose of the Good Neighbor Next Door Sales Program is to improve the quality of life in distressed urban communities. This is to be accomplished by encouraging law enforcement officers, teachers, and firefighters/emergency medical technicians, and pre-Kindergarten Teachers whose daily responsibilities and duties represent a nexus to the needs of the community, to purchase and live in homes in these communities.

Types of Assistance

SALE, EXCHANGE, OR DONATION OF PROPERTY OR GOODS

Uses and Use Restrictions

Participants must be employed full-time as a law enforcement officer, pre-K through grade 12 teacher, firefighter or emergency medical technician and agree to live in the property purchased for thirty six months from the date of occupancy following purchase of the home. Violation of the occupancy rule is under penalty of repayment of a prorata share of the discount of fifty percent of the list price. Properties offered through the program are single unit residences located in HUD-designated revitalization areas. The availability of properties is limited. Purchasers must provide financing for the purchases by their own means and are responsible for their portion of closing costs and broker fees. Teachers and Firefighters/EMTs are restricted to purchase homes located in an area served by their employer.

Eligibility Requirements

Applicant Eligibility

Eligible law enforcement officer must be (a) Employed full-time by a law enforcement agency of the federal government, a state, a unit of general local government, or an Indian tribal government ; and (b) In carrying out such full-time employment, you are sworn to uphold, and make arrests for violations of, Federal, state, county, or municipal law. A firefighter/EMT must be full-time as a firefighter or emergency medical technician by a fire department or emergency medical services responder unit of the federal government, a state, unit of general local government, or an Indian tribal government serving the area where the home is located. A teacher for the purposes of the GNND Sales Program if the person is: (a) Employed as a full-time teacher by a state-accredited public school or private school that provides direct services to students in grades pre-kindergarten through 12; and (b) The public or private school where the person is employed as a teacher serves students from the area where the home is located in the normal course of business.

Beneficiary Eligibility

Law enforcement officers, firefighters, and EMTs purchasing a HUD-owned home in a designated revitalization area for use as their sole residence.

Credentials/Documentation

Sales contract (HUD 9548); employer certification; second mortgage and note. This program is excluded from coverage under OMB Circular No. A-87.

Application and Award Process

Preapplication Coordination

Preapplication coordination is not applicable. Environmental impact information is not required for this program. This program is excluded from coverage under E.O. 12372.

Application Procedure

This program is excluded from coverage under OMB Circular No. A-102. This program is excluded from coverage under OMB Circular No. A-110. Interested persons apply by submitting an offer to purchase a property listed through HUD's property disposition program. Properties for sale are listed on the Internet at sites accessible to the general public. Offers are submitted electronically. The offer amount submitted must be the list price.

Award Procedure

A winning offer is selected randomly each week. The selected offeror is offered the property at a 50 percent discount off the list price, subject to the purchaser fully complying with the 36 month occupancy requirement and other program rules. The selected offeror is provided with a document package. The offeror accepts by signing and returning the sales documents. The selected offeror receives title to the home at a sales closing. The selected offeror arranges for financing of the purchase price.

Deadlines

Not Applicable.

Range of Approval/Disapproval Time

Varies.

Appeals

Not Applicable.

Renewals

Not Applicable.

Assistance Considerations

Formula and Matching Requirements

This program has no statutory formula.

Matching requirements are not applicable to this program.

MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance

The assistance is provided in exchange for the buyer's commitment to occupy the homes as a personal residence for thirty six months. Each month of occupancy results in the forgiveness of one thirty sixth of the discount value. Early vacation of the premises requires repayment of a pro rata amount of the discount. Method of awarding/releasing assistance: quarterly.

Post Assistance Requirements

Reports

Audits

Not Applicable.

Records

Not applicable.

Program Accomplishments

Fiscal Year 2008: Over 14,528 properties have been sold through the life of the program as of May 2009. Fiscal Year 2009: No Current Data Available Fiscal Year 2010: No Current Data Available

Financial Information

Account Identification

86-4070-0-3-371; 86-4077-0-3-371; 86-4105-0-3-371; 86-4242-0-3-371; 86-4587-0-3-371; 86-4072-0-3-371.

Obligations

(Sale, Exchange, or Donation of Property and Goods) FY 08 $0; FY 09 est $0; FY 10 est $0 - FY 08 Reported Under 14.311
FY 09 Reported Under 14.311
FY 10 Reported Under 14.311.

Range and Average of Financial Assistance

No Data Available.

Regulations, Guidelines and Literature

HUD Regulations at 24 CFR Part 291. Fed. Register, October 31, 2006, Volume, Number, Page. Program information is available on HUD's website at http://www.hud.gov/offices/hsg/sfh/reo/goodn/main.cfm

Related Programs

Not Applicable.

Information Contacts

Regional or Local Office

See Regional Agency Offices. Contact HUD's Homeownership Center (HOC)serving your state. Each Homeownership Center has Good Neighbor Next Door Coordinators. HOCs and their service areas may be found on the web at http://www.hud.gov/offices/hsg/sfh/hoc/hsghocs.cfm. Management and Marketing (M&M) contractors provide listings of properties available for purchase through the Good Neighbor Next Door program on the web and are a source of information. Go to http://www.hud.gov/homes/index.cfm and click on the state of your choice.

Headquarters Office

Wanda L. Sampedro, 451 7th Street, SW, Washington, District of Columbia 20410 Email: wanda.sampedro@hud.gov Phone: (202) 402-2324.

Web Site Address

http://www.hud.gov/offices/hsg/sfh/reo/goodn/gnndabot.cfm

Examples of Funded Projects

Not Applicable.

Criteria for Selecting Proposals

Not Applicable.