MassHousing Blog

First-time Homebuyers, Unite! (on Facebook, of course)

Are you looking to buy your first home?  Have you recently completed the purchase of a new home?  Either way, you've probably got questions, comments or suggestions for others who are -- or who have been -- in the same situation.  Here at MassHousing we want to bring you all together so that you can benefit from each other's experience.  That's why we've set up a Facebook page called "Massachusetts First-Time Homebuyers."  We're encouraging anyone who is going through the homebuying process -- or anyone who has recently bought a home or a condo -- to post their questions, comments or suggestions on the page.  You might get a response from someone who faced the same issue or you might get some helpful guidance from one of the homeownership experts at MassHousing.  There's no better way to learn than to communicate with someone who has been through the same process that you are going through.  So visit Massachusetts First-Time Homebuyers on Facebook today.

Wanted: Bid submissions to purchase and rehabilitate affordable rental housing in Boston

We have recently issued an "RFP" (Request for Proposals) seeking proposals to purchase and renovate an affordable rental housing community in Boston known as Cass House/Roxbury Hills.  This is a foreclosed property currently owned by MassHousing.  It is a "scattered-site" development with a total of 111 units.  Forty-one of the units are located in one building on Humboldt Ave., while the remaining units are scattered in townhouses located on Harold Street, Homestead Street and Hutchings Street.  The deadline for submission is 2:00 p.m. on May 12, 2011.  Interested bidders must also participate in one of several organized inspections of the properties on April 1 and April 4.  You'll need to register for the inspection tours by March 31.  Be sure to take a look at the RFP where you'll find everything you need to know.   A minimum of 25% of the units must be maintained as affordable to renters with incomes at or below 50% AMI.

The road less traveled

As the Commonwealth's affordable housing bank, we have supported Chapter 40B, the state's affordable housing law, for many years. That's been more than a mildly controversial proposition from time to time. Of course, along the way we have also backed common-sense changes to its implementing regulations, but we remain convinced that the underlying concept behind 40B is sound and worthy of endorsement.

A recent decision by MassHousing to reject a Chapter 40B proposal in Reading helps to illustrate, however, why new 40B housing isn't always the answer. This decision highlights one of the common sense changes in the 40B regulations that the Agency supports. It also offers the potential for a new path, one that would steer away from much of the controversy that has historically been associated with Chapter 40B.

The case in point involved a proposal to build 20 new affordable home ownership units on 2.16 acres. While new housing stock is needed, there were two primary reasons MassHousing rejected this proposal.
 
First, Reading has made a good-faith effort to increase its affordable housing stock, most notably by approving two Smart Growth Overlay Zoning Districts under Chapter 40R. These districts – one of which is located in close proximity to where the 20 new units would have been located – permit 458 new units by right. One of the points of emphasis of the Comprehensive Permit Guidelines and Regulations issued in 2008 is that Subsidizing Agencies like MassHousing should, when they are considering applications for site approval, take into account "municipal actions previously taken to meet affordable housing needs." Reading's actions in this instance were substantial.

Second, the parcel of land already included two existing homes that fit in well with the pattern of development in the surrounding neighborhood. To "de-construct" this well-established neighborhood and replace the existing homes with 20 new units of housing, especially in the context of a constrained site plan, was in our opinion ill-advised. We also viewed the site plan as inconsistent with the 2008 guidelines and regulations.

A combination of these factors led us to conclude that a site approval letter should not be issued in this instance.

To be sure, there is still a great need for new, affordable housing. But the Reading case illustrates that there are situations where a new Chapter 40B development is not the best choice, especially where local officials have already shown a strong commitment to affordable housing through channels other than 40B.

It's still too early to tell whether a proactive, planning-based strategy such as Reading's will supplant the more traditional reactive, litigation-based approach that has been the hallmark of 40B controversies through the years. One reason for optimism? Planners are less expensive than lawyers.

Home Buyer Counseling: Your key to successful homeownership

Befuddled by basis points?  Puzzled about property taxes?  Confused about credit?  Confounded over closing costs?  That's understandable.  The world of home buying and mortgage loans has a language all its own.  But you don't need to let it intimidate you.  Why not empower yourself as a home buyer by taking a home buyer counseling course?  You will learn all about how to find a home that you can afford and how to find a loan that's right for you.  You'll speak with confidence with that loan officer at the bank.  And best of all, when you finally sign on the dotted line, you won't be crossing your fingers hoping that everything will work out.  Rather, you'll be confident that you made informed decisions and that the home or condominium you just purchased is something you'll be able to afford and maintain for the long-term.  In short, you'll have peace of mind.  And it's hard to put a price on that.  So get the truth about titles, the low-down on down payments and the real deal on rate locks --get into a home buyer counseling class today.  You'll find a whole list of MassHousing-approved home buyer counselors here.