What is Community Housing?
Community Housing, sometimes called "affordable" housing, is simply housing that working people living in our community can afford to rent or buy.   In general, for housing to be considered "affordable" a household should not spend more than 30% of its income on rent or mortgage payments. Community Housing is mixed in with the market rate housing in most new developments throughout our community.

Why do we need it?
If the cost of housing exceeds what the average working household can afford, those people are forced to leave the community and seek work and housing elsewhere, or commute long distances in order to afford a place to live.   This makes it difficult for employers to fill vacant positions.   As a result, the quality of service decreases and the cost of goods and services increase for everyone in the community.

Who will it serve?
The Community Housing program is intended to serve working families and individuals.   These may be police officers, teachers, nurses, retail employees, construction workers, or even small business owners.  

Qualifications vary by municipality and by project but, in general, families and individuals who are having significant difficulty trying to rent or buy market-rate housing are likely to qualify for the rental or purchase of Community Housing.   For any individual home, a maximum income level is set, and any household with an income below that level may qualify to purchase (or rent) that particular home.  

The program is also designed to help local employers attract and retain needed new employees.   One of the primary criteria for selection as a purchaser or renter is being employed in the community, so this program will not attract unemployed or indigent individuals.  

How do I get a Community Housing unit?

First, fill out an application and mail it back to the Housing Authority.   Applications are available at the Valley and Adams County Courthouses, and at City Halls in McCall, New Meadows, Cascade, and Donnelly.

The application asks questions about your household (how many people, etc.), your employment (where, what, and how long), and your income.   The individual information you provide will be kept confidential.  

When a Community Housing unit becomes available, its size and type are matched by computer program against the people who have submitted applications.   Depending on the city or county the unit is in, there may be other criteria which are also considered.   This matching process generates a list of people who would be the best match for the particular unit.   The Housing Authority will then call the person at the top of the list and see if that person is interested in purchasing the unit.   If yes, the Housing Authority assists with the purchase.   If no, the next person on the list is called.

Since the Housing Authority generally does not own rental Community Housing, selection of renters is made by the property owner.   Anyone the owner selects must meet certain income and employment criteria.   The criteria are verified by the Housing Authority.

What about financing?
The Housing Authority does not provide financing.   We can direct you to lenders who are familiar with Community Housing and to other assistance programs which may help you to purchase.   In some cases, combinations of programs allow buyers to purchase Community Housing with little or no down payment.   In other cases, buyers make significant down payments from their own funds.   Loan terms and interest rates on Community Housing units are typically the same as on any other home.

What is the Valley Adams Regional Housing Authority, or "VARHA"?
The VARHA is a nonprofit public agency which serves Valley and Adams Counties and the cities of Cascade, Council, Donnelly, McCall and New Meadows.

Why was it formed?
A study was conducted in July 2005 that made it clear that many working individuals and families were being forced to leave the community, and that employers were having trouble filling new positions because of the high cost of housing.

VARHA was formed to address this growing problem and keep high quality individuals and families working and living in our community.  

How is it funded?
Valley County provided seed money to start the Housing Authority.   Eventually, it will be funded through administrative fees from the properties it creates and manages.  

How will Community Housing be created?
Municipalities throughout Valley and Adams Counties are adopting ordinances that require Community Housing or a financial contribution to support Community Housing in all new developments.  

How does the program work?
Community Housing can be created for purchase or for rental.   Units can be single-family homes, duplexes, condominiums, townhouses, or apartments.   For-sale units are sold to qualified buyers at a price significantly less than market-rate housing.   In exchange for the lower purchase price, the buyer agrees that when he re-sells the unit, he will sell it at a price which keeps it affordable.   Prices are allowed to increase every year according to a formula.   In most cases, they will increase 3% to 4% per year.   There are a few other restrictions, but for the most part, someone who buys Community Housing has all of the same ownership rights and responsibilities as someone who buys market-rate housing.  

There is also a second purchase program, called the "Equity Builder" that allows qualified buyers to buy a home at a reduced price, and after five (or more) years re-sell it at a market price.   In this case, when the buyer sells, he does have to repay the original builder/developer the amount that was originally subsidized.   The buyer won't realize a windfall profit, but he will realize the same appreciation in value as a market-rate homebuyer.   We hope that during the time he owns the home, the buyer will build up enough equity to purchase market-rate housing the next time around.   Buyers may only participate in the Equity Builder program one time.    

Rental Community Housing units work just like regular rental units, but rental rates cannot exceed certain limits and the people who rent them must have incomes below a certain level.

What is a Qualified Buyer?
When Community Housing units are created, some are priced to serve households with lower incomes, and some are priced to serve households with higher incomes.   In this way, we hope to give everyone who needs housing an equal chance to participate.   Whether or not you are a "Qualified Buyer" for a particular unit depends on your income, your net worth, and several other factors.   You may be a Qualified Buyer for some units and not for others.  

When should I apply?
Since one of the criteria in determining who is first in line for Community Housing units is the application date, you should apply as soon as possible.

When will Community Housing be available?
Depending on how developers choose to meet the requirements for building Community Housing, there may be some units available as December of 2006.   We can't be sure, however.   There are already several hundred Community Housing units included in projects currently going through the approval process.   As projects are approved and constructed the units will become available for sale or rent.  

For more information, contact:
Michael David,
VARHA Executive Director
PO Box 843, McCall, ID 83638

msdavid1@gmail.com  
(208) 634-0505