August 27, 2007

State Roundup

MassHousing Foreclosure Rescue Loan Program Information Now Online

Information on MassHousing's Foreclosure Rescue Program is now available online, including loan limits and eligibility requirements. The program will use both Fannie Mae and MassHousing funds to finance loans to assist households with modest incomes who have been the victims of deceptive lending practices and who are not yet in foreclosure.

Attorney General to Hold Hearings on Proposed Subprime Lending Regulations

On August 22, the State Attorney General announced that four public hearings will be held on September 17th (Worcester), September 18th (Brockton), September 19th (Springfield) and September 20th (Boston) on proposed new regulations for mortgage brokers and lenders. Interested parties are invited to submit oral or written testimony.

DHCD Schedules FY2009 Budget Hearing

The Executive Office of Housing and Economic Development has scheduled a hearing to solicit comments and recommendations regarding the FY2009 budget for its offices and departments, including DHCD. The hearing will be held on Wednesday, August 29th from 10 a.m. to noon in Boston at 1 Ashburton Place (21st floor - Conference Room 2). The Office is encouraging interested parties to submit comments either at the hearing or by mail up until the close of business on August 30th. The mailing address is 1 Ashburton Place - Room 2101, Boston MA 02108.

DHCD Announces Fall Funding Round

Earlier this month, DHCD released its NOFA for the fall funding round for rental projects. Applications are due no later than September 7, 2007. Available funding sources include state and federal low income housing tax credits, HOME, the Housing Stabilization Fund (HSF), the Capital Improvement and Preservation Fund (CIPF), the Housing Innovations Fund (HIF), the Facilities Consolidation Fund (FCF), the Community Based Housing (CBH) program, the Commercial Area Transit Node Housing Program (CATNHP) and Section 8 Project Based Assistance.

MassHousing Issues 40B Cost Certification Manual for Homeownership Projects

MassHousing has issued its Cost Certification Manual for homeownership developments using comprehensive permits for which it is the project administrator (NEF, Housing Starts). The manual provides guidance to municipalities and developers on the rules governing costs and revenues. It also establishes a four-step cost review process that starts with the submission of cost and revenue data by the developer. The information is then reviewed by the developer's CPA and sent, with documentation, to MassHousing for examination. After MassHousing completes its review, it will send a copy of its examination and report to the municipality for its review and comments. MassHousing will then issue its final determination of compliance.

Massachusetts Building Permit Activity Falls to Lowest Level Since 1996

New Census Bureau building permit data through July indicates that the slowdown in housing construction starts in Massachusetts is continuing, with overall permit activity down by almost one-third compared to the peaks reached in 2005, and that it is at its lowest level since 1996. The Bureau estimates that permits were issued for a total of 9,224 units through July, down 27% from the same period in 2006 (12,686 units) and down 31% from the same period in 2005. Year-to-date single family homes permitted fell 29% from 2006 to 2007, while the number permitted in two-to-four unit properties fell 48% and units permitted in multifamily properties (5 units) fell by 20%. The drop has been steeper for single family homes (down 36% from the January-July 2005 totals) than for multifamily (5 units) properties (down 17% from 2005).

Massachusetts Building Permit Trends - January-July