Three new houses are under construction by the University District Development Corporation. These are on adjacent infill lots on 28th and 29th Streets in Little Rock. These houses will be for sale to First Time Homebuyers. The UDDC bought and rehabbed the fourth house, which is located on the corner lot adjacent to the houses under construction.
Construction financing for the 3 new houses is provided by the HOME Program (HUD) through the City of Little Rock. First Time Homebuyers are persons who have not owned a home for the past 3 years, whose income doesn’t exceed 80% of median family income, and who have credit scores and debt to income ratios that meet loan requirements. Qualified buyers also are eligible for a subsidy of up to $20,000 to make the home affordable. If they remain in the house for 10 years, the subsidy amount is forgiven. If they sell before 10 years, then the subsidy is repaid on a proportionate basis.
UALR and the City of Little Rock built 15 houses under a similar program 15 years ago and most of the houses are still occupied by the original owners. Infill lot development for homebuyer houses strengthens neighborhoods and stabilizes property values