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ENLARGE
Kathy ‘Kat’ Wise smiles as her dog, Scooby, peers out from her fifth-wheel trailer in Winston. With the help of Umpqua Community Development Corp., Wise is finally moving. After eight years of living in a 36-foot trailer, she is moving into her first home in Roseburg.
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ENLARGE
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Trina Coil, left, talks to her husband, Kevin, as they try to figure out where to move siding before he and Marla Zoeter nail it down at the Bunting Court development in Green. The trio are building their homes as part of Umpqua Community Development Corp.’s second Mutual Self-Help Housing Program.
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ENLARGE
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Even before she moves in, or has the keys, Kathy ‘Kat’ Wise giggles as she gets a piece of mail in her name at her new house on Haynes Street in Roseburg.
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Jorge Martinez works graveyard at a local mill. In the morning, he heads to his new home on Bunting Court in Green.
The houses on the cul-de-sac are skeletons of wood and windows. Yards are filled with mud and gravel.
Martinez ignores the cold and takes a two-by-four to a rotary saw. He’s working on his neighbor Darren Dickson’s house. In exchange, Dickson and the other neighbors will help build Martinez’s house.
The 10 houses aren’t scheduled to be finished until March, but the owners have already built a community.
Martinez learned about Umpqua Community Development Corp.’s Self Help Housing program when he drove through the Plum Ridge subdivision in Winston.
“I was actually looking to buy a home,” he said. He stopped to ask about the contractor and learned the owners were building their own homes with supervision from Umpqua CDC.
“I’ve always dreamt of building my own home,” Martinez said.
“It’s every guy’s dream,” said Will Irwin, a future neighbor.
Martinez and his family qualified for the program, which is for people at or below 80 percent of the median income in Douglas County. That’s $38,650 a year for a household of four. The buyers must work 35 hours a week and are able to finance 100 percent of their homes. Many of the buyers don’t need a down payment because of the “sweat equity” they put in, and they also learn construction skills.
Irwin, a history teacher at Umpqua Valley Christian School, wanted to buy a home so he could gain equity in it. He had a friend who had spent $129,000 in rent and had nothing to show for it, he said.
Dickson likes the idea of building his own home. He’s currently renting, and when he heard about Plum Ridge from a friend, he decided to find out more.
“The reason was I’m a minister,” he said, “and I’ve just never been able to afford a house.”
Dickson told fellow youth pastor Steven Marshall about the project, and he and his wife, Becky, decided to join, too. The couple had been buying a home when they lived in Idaho, but found that housing prices in Douglas County were much higher.
“It’s a lot of work, but I think it’ll be worth it when we’re done,” Becky said.
The houses on the cul-de-sac are skeletons of wood and windows. Yards are filled with mud and gravel.
Martinez ignores the cold and takes a two-by-four to a rotary saw. He’s working on his neighbor Darren Dickson’s house. In exchange, Dickson and the other neighbors will help build Martinez’s house.
The 10 houses aren’t scheduled to be finished until March, but the owners have already built a community.
Martinez learned about Umpqua Community Development Corp.’s Self Help Housing program when he drove through the Plum Ridge subdivision in Winston.
“I was actually looking to buy a home,” he said. He stopped to ask about the contractor and learned the owners were building their own homes with supervision from Umpqua CDC.
“I’ve always dreamt of building my own home,” Martinez said.
“It’s every guy’s dream,” said Will Irwin, a future neighbor.
Martinez and his family qualified for the program, which is for people at or below 80 percent of the median income in Douglas County. That’s $38,650 a year for a household of four. The buyers must work 35 hours a week and are able to finance 100 percent of their homes. Many of the buyers don’t need a down payment because of the “sweat equity” they put in, and they also learn construction skills.
Irwin, a history teacher at Umpqua Valley Christian School, wanted to buy a home so he could gain equity in it. He had a friend who had spent $129,000 in rent and had nothing to show for it, he said.
Dickson likes the idea of building his own home. He’s currently renting, and when he heard about Plum Ridge from a friend, he decided to find out more.
“The reason was I’m a minister,” he said, “and I’ve just never been able to afford a house.”
Dickson told fellow youth pastor Steven Marshall about the project, and he and his wife, Becky, decided to join, too. The couple had been buying a home when they lived in Idaho, but found that housing prices in Douglas County were much higher.
“It’s a lot of work, but I think it’ll be worth it when we’re done,” Becky said.
<b>Before buying</b>
“Every one of us has a need to be secure,” said Ronnie Burt, single-family housing manager for Umpqua CDC. “Home ownership provides security, comfort.”
But not everyone is ready to buy a house.
Burt said the nonprofit organization can help, and so can banks.
Credit reports are a place to start. Burt helps people understand their credit reports and create a plan to reduce their debt. Paying off credit cards and auto loans will improve credit and provide more money for house payments.
“We teach you how to buy a home,” Burt said.
Umpqua CDC wants people to have no more than a 43 percent debt-to-income ratio, though banks often allow a higher ratio.
“Every one of us has a need to be secure,” said Ronnie Burt, single-family housing manager for Umpqua CDC. “Home ownership provides security, comfort.”
But not everyone is ready to buy a house.
Burt said the nonprofit organization can help, and so can banks.
Credit reports are a place to start. Burt helps people understand their credit reports and create a plan to reduce their debt. Paying off credit cards and auto loans will improve credit and provide more money for house payments.
“We teach you how to buy a home,” Burt said.
Umpqua CDC wants people to have no more than a 43 percent debt-to-income ratio, though banks often allow a higher ratio.
<b>FIRST STEPS</b>
The U.S. Department of Housing and Urban Development encourages potential buyers to attend a class. Umpqua CDC offers a HUD-approved class called “The ABCs of Home Buying.”
Once a person is ready to buy a house, Burt suggests asking one question.
“What can you afford?” she said. “There’s no sense in looking at a house if you can’t buy that house.”
So potential buyers should go to a bank, nonprofit organization or other mortgage lender and fill out a loan application, Burt said. Lenders will look at credit, rental history and debt-to-income ratio to determine how much they will lend.
After that, buyers should find a real estate agent they enjoy working with and start looking at houses in their price range, Burt said.
The U.S. Department of Housing and Urban Development encourages potential buyers to attend a class. Umpqua CDC offers a HUD-approved class called “The ABCs of Home Buying.”
Once a person is ready to buy a house, Burt suggests asking one question.
“What can you afford?” she said. “There’s no sense in looking at a house if you can’t buy that house.”
So potential buyers should go to a bank, nonprofit organization or other mortgage lender and fill out a loan application, Burt said. Lenders will look at credit, rental history and debt-to-income ratio to determine how much they will lend.
After that, buyers should find a real estate agent they enjoy working with and start looking at houses in their price range, Burt said.
<b>GETTING HELP</b>
Options abound for people who don’t have money for a down payment, and some are definitely better than others.
Buyers should be careful to avoid predatory lenders who charge excessive fees and put little of the payments toward the principal of a home loan.
The U.S. Department of Agriculture Rural Development provides payment subsidies and low-interest loans for low-income buyers, according to Lindie Champ, Rural Development manager at the Roseburg office. To qualify, buyers must have a steady source of income and good credit.
The department can also help some buyers qualify for 100-percent financing through a bank if their income isn’t low enough to get a loan through Rural Development.
Buyers choose their homes, which must be outside the Roseburg city limits.
Through the Good Neighbor Next Door Program, HUD offers substantial discounts to law enforcement officers, teachers for preschool through 12th grade, and firefighters and emergency medical technicians. Participants must agree to live in a certain area and occupy the home for at least three years.
Mary Newman of the Douglas County Veterans Service Office said both the state and federal governments have programs for veterans. Oregon is one of five states with a home loan program for veterans. Newman said the state program requires a down payment, but the federal program varies. Both require good credit.
For low- to median-income buyers, Umpqua CDC has many programs, each with different guidelines.
<b>AVOIDING FORECLOSURE</b>
Even the best preparation doesn’t guarantee that unforeseen circumstances, such as medical bills, divorce or unemployment won’t make it difficult for a homebuyer to make payments.
People who are having trouble making their house payments often let the problem snowball, which is the worst thing they can do, Champ said.
“People try to bury their heads,” she said. “The biggest part is you need to talk with your lender.”
Rural Development can work with buyers who have special circumstances. It can arrange back payments over a long period, and sometimes cancel the payments altogether.
Options abound for people who don’t have money for a down payment, and some are definitely better than others.
Buyers should be careful to avoid predatory lenders who charge excessive fees and put little of the payments toward the principal of a home loan.
The U.S. Department of Agriculture Rural Development provides payment subsidies and low-interest loans for low-income buyers, according to Lindie Champ, Rural Development manager at the Roseburg office. To qualify, buyers must have a steady source of income and good credit.
The department can also help some buyers qualify for 100-percent financing through a bank if their income isn’t low enough to get a loan through Rural Development.
Buyers choose their homes, which must be outside the Roseburg city limits.
Through the Good Neighbor Next Door Program, HUD offers substantial discounts to law enforcement officers, teachers for preschool through 12th grade, and firefighters and emergency medical technicians. Participants must agree to live in a certain area and occupy the home for at least three years.
Mary Newman of the Douglas County Veterans Service Office said both the state and federal governments have programs for veterans. Oregon is one of five states with a home loan program for veterans. Newman said the state program requires a down payment, but the federal program varies. Both require good credit.
For low- to median-income buyers, Umpqua CDC has many programs, each with different guidelines.
<b>AVOIDING FORECLOSURE</b>
Even the best preparation doesn’t guarantee that unforeseen circumstances, such as medical bills, divorce or unemployment won’t make it difficult for a homebuyer to make payments.
People who are having trouble making their house payments often let the problem snowball, which is the worst thing they can do, Champ said.
“People try to bury their heads,” she said. “The biggest part is you need to talk with your lender.”
Rural Development can work with buyers who have special circumstances. It can arrange back payments over a long period, and sometimes cancel the payments altogether.
Resources for Homebuyers
<b>Umpqua Community Action Network</b>
672-3421 2448 W. Harvard Ave., Roseburg Services: • HUD-approved counseling agency • Fair housing assistance • Home equity conversion mortgage counseling • Home improvement and rehabilitation counseling • Home buyer education programs • Loss mitigation • Debt management • Mortgage delinquency and default resolution counseling • Post-purchase counseling • Predatory lending information <b>Umpqua Community Development Corp.</b> 673-4909 605 S.E. Kane St., Roseburg Services: • Referrals to mortgage loan programs • Homes for sale through the Rehabbed Affordable Homes for Homeownership program • Mutual Self-Help Housing Program • “ABCs of Homebuying” course available to any buyer • Financial fitness classes • DreamSavers, a savings program for low- to median-income people which matches $3 for every $1 saved up to $3,000 in matching funds <b>U.S. Department of Agriculture Rural Development</b> 673-6071 2440 N.W. Troost St. No. 200, Roseburg Services: • Direct home loans • Guaranteed home loans • Home improvement loans and grants • Mutual Self-Help Housing program <b>U.S. Department of Housing and Urban Development</b> www.hud.gov Services: • Information on homebuying • Good Neighbor Next Door program • Federal Housing Administration loans <b>U.S. Veterans Affairs</b> 440-4219 Douglas County Courthouse, Room 105-B, Roseburg Services: • Information on state and federal loan programs for veterans |
Refinancing may be available, too.
“There are ways around and help, but they need to contact the lender,” Champ said. “Always contact the lender.”
Banks may also have options available, but the time frame is important.
And selling a home, Champ said, is a better option than foreclosure.
<b>CLOSING THE DEAL</b>
Kat Wise, 43, didn’t think she’d ever buy a house. She was living in a fifth-wheel trailer in River Bend RV Park in Winston. She liked her home, though it was a bit small for her dogs, a 76-pound American pit bull and a Shih Tzu. But when her 4-year-old grandson came to visit for the summer, he had to stay inside because she didn’t have a yard. It was time for a change.
“I thought that you had to have perfect credit,” she said. “I didn’t have a down payment, and I didn’t know that these programs were out there. ... I thought it was going to be either a yes or a no.”
Wise attended a homebuying class and found out she qualified for four options through Umpqua CDC.
She got a loan through a mortgage company and started looking at houses with Amy Van Cleave, a Realtor and co-worker at Windmill Inn.
“There are ways around and help, but they need to contact the lender,” Champ said. “Always contact the lender.”
Banks may also have options available, but the time frame is important.
And selling a home, Champ said, is a better option than foreclosure.
<b>CLOSING THE DEAL</b>
Kat Wise, 43, didn’t think she’d ever buy a house. She was living in a fifth-wheel trailer in River Bend RV Park in Winston. She liked her home, though it was a bit small for her dogs, a 76-pound American pit bull and a Shih Tzu. But when her 4-year-old grandson came to visit for the summer, he had to stay inside because she didn’t have a yard. It was time for a change.
“I thought that you had to have perfect credit,” she said. “I didn’t have a down payment, and I didn’t know that these programs were out there. ... I thought it was going to be either a yes or a no.”
Wise attended a homebuying class and found out she qualified for four options through Umpqua CDC.
She got a loan through a mortgage company and started looking at houses with Amy Van Cleave, a Realtor and co-worker at Windmill Inn.
Wise found a 1924 craftsman house on a corner lot.
“It’s fabulous,” she said. “It’s so cute.”
A week ago Wednesday, she spent about an hour signing papers, from the bank note to a flood zone disclosure.
She looked intently at every page, nodding, her pen poised to sign or initial yet another form, each one taking her closer to owning her own home.
“Yay!” she said, when she was finished. “I can’t wait to take my dogs to the new place.”
Van Cleave gave her a sign for her new house. It reads: “Give me a house to call my own with friends and family to make it home.”
• You can reach reporter Teresa Williams at 957-4230 or via e-mail at twilliams@newsreview.info.
“It’s fabulous,” she said. “It’s so cute.”
A week ago Wednesday, she spent about an hour signing papers, from the bank note to a flood zone disclosure.
She looked intently at every page, nodding, her pen poised to sign or initial yet another form, each one taking her closer to owning her own home.
“Yay!” she said, when she was finished. “I can’t wait to take my dogs to the new place.”
Van Cleave gave her a sign for her new house. It reads: “Give me a house to call my own with friends and family to make it home.”
• You can reach reporter Teresa Williams at 957-4230 or via e-mail at twilliams@newsreview.info.
