STEPS TO PURCHASE A HOME WITH CVHT
CVHT Staff will help you along the way.
Step 1: Eligibility, Viewing, and Pre-Approval
- Review Eligibility Guidelines to see if you are eligible.
- Apply online here.
- CVHT will reach out to schedule a meeting and discuss eligibility and next steps.
- Obtain a pre-qualification with a local lender. List of approved lenders here.
- Once pre-qualification letter is obtained, submit the following to CVHT:
- Copy of Pre-qualification letter
- 1 Month Pay Stubs (both note signers)
- 2 Months bank statements from both checking and savings (both note signers if not sharing accounts)
- 2 years tax returns (both note signers)
- 2 years w2s (both note signers)
- Credit Report (Free ones available at AnnualCreditReport.com)
- U.S. Passport OR Valid ID and Social Security Card
- Pay the 30.00 Application Fee here. (Processed as a donation, but is actually the application fee, we will send a confirmation)
- NOTE: To keep documents secure, upload and send separately using the Tresorit App (send to email@example.com), or Dropbox App (Scan Feature.) You can always set an appointment to drop them off in person as well to be scanned and returned to you.
- If there is more work to do in order to qualify for financing, CVHT will refer you to a nonprofit partner organization (American Financial Solutions) that will help you develop an action plan FOR FREE, which typically includes 1 more of the following actions:
- Increase income to amount needed to afford the home. See this helpful handout.
- Decrease expenses/debt to the amount discussed at this meeting. See this helpful handout. Also here is a budget template.
- Work on credit (640 or higher)
- Obtain residency- If not already working with someone, consider calling Hand in Hand Immigration Services, 509-888-4833
Step 2: Sign an Intent to Purchase and Complete Qualifiers
Step 3: Sign a PSA and Open Escrow
- First, review the anticipated Homebuyer Fees and Loan Cost worksheet from your lender to understand financial obligations throughout the purchase process.
- We are fortunate! Coldwell Banker has graciously offered to help process purchase and sale agreements free of charge. CVHT will start this process with Coldwell and then a representative will reach out with documents to sign. Please ensure to read all addenda so that you fully understand the requirements of purchase.
- Sign and return lender authorization form to CVHT.
- Sign and return the Open Communications Agreement to CVHT
- Sign and return the Commitment to CVHT Mission Agreement to CVHT
- Complete the Permitted Mortgagee Agreement with your lender and return the wet signed original to CVHT or the title company.
- Choose a title company (Fig, American, or other) and open escrow account with $500.00 (goes toward your home purchase)
- Order a home insurance binder and add CVHT as additional insured. Provide proof of insurance and additional insured to CVHT after purchase.
- Obtain commitment letter from lender
- Order home inspection (not required for new construction but recommended)
- If applicable: Fill and sign DOR form with CVHT help for tax reduction.
- Meet with CVHT staff prior to closing to make sure all documentation is received and answer any questions.
- Fill out our homebuyer survey, we want to share your experience (can be anonymous if you choose) with our donors and partners to keep the good work going!
Step 5: Closing Day!
- All signers arrange a time to sign closing documents at the title company.
- CVHT will arrange a time after recording to congratulate you on your new home and hand over the keys!
- Follow the New Home Purchase Checklist to complete all the things related to settling into your new home and remaining compliant with CCRs and Ground lease.
Complete Homeowner Checklist here with contacts, tips and resources.
Additional Notes on Purchasing a Home with CVHT:
- CVHT does not discriminate based on race, color, national origin, sex, religion, familial status, or disability.
- Purchasing a Community Land Trust is much like purchasing a home in the market. In fact we help you get ready and help you find resources to get through the process! The Ground Lease and ongoing Lease Fees are the largest differences, which are simply in place to maintain home ownership opportunities for future generations like you!
- These homes are built by local community members to support local wage earners in a valley where the average sales price of homes is more than double what average earners can afford. CVHT and our partners want you to be successful and happy in your new home!