Millennial Housing Commission

Housing Program Tutorial, May 2001

Additional Baseline Information

Housing Program Tutorial

May 14, 2001

Millennial Housing Commission

Millennial Housing Commission

Housing Program Tutorial, May 2001

Owner Occupied 71,906,000

Renter Occupied 34,587,000

For Rent Vacant 2,970,000

Other Vacant* 4,201,000

Off Market 5,292,000

The Nation’s Housing

For Sale Vacant 1,188,000

Total Housing Stock: 120,144,000 unitsSource: See Table I

Millennial Housing Commission

Housing Program Tutorial, May 2001

History of Eligible Units

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

1,800,000

1976 1977 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998

Public Housing Section 515* Section 8 TBA LIHTC S. 8 "newer assisted" "Older Assisted"**

Source: See Table II

Millennial Housing Commission

Housing Program Tutorial, May 2001

0%10%20%30%40%50%60%70%80%90%

100%

Section 8TBA

PublicHousing

Section 8Mod. Rehab

S. 8-NewConst. AndSub. Rehab

Section 236 221(d)(3)--BMIR

Nation

White Black Am. Indian Asian or Pac. Islander Other

Beneficiary Characteristics—Tenants

Tenant Race by Program

Source: See Table III

Millennial Housing Commission

Housing Program Tutorial, May 2001

0%

5%

10%

15%

20%

25%

Section 8TBA

PublicHousing

Section 8Mod.Rehab

S. 8-NewConst. AndSub. Rehab

Section 236 221(d)(3)--BMIR

Nation

Beneficiary Characteristics—Tenants

Hispanic Origin by Program

Source: See Table IV

Millennial Housing Commission

Housing Program Tutorial, May 2001

Beneficiary Characteristics—Tenants

0%

20%

40%

60%

80%

100%

Section 8TBA

PublicHousing

Section 8new/ sub.

Rehab

Section 202 Section 8LMSA

Section 236 Section 515 Section 811

% Elderly % disabled (non-elderly)

Source: See Table V

Millennial Housing Commission

Housing Program Tutorial, May 2001

Other Housing Related Programs

• DOE Weatherization Assistance Program

• State block grants, started in 1976. Has served 5 million households.

• Returns $2.10 in energy savings for every $1 spent.

• FY 2001--$153 million

FY 2002 (proposed)--$273 million, estimated 120,000 households served.

• HHS Temporary Assistance for Needy Families (TANF)

• Flexibility of PRWORA allows funds to be used for housing assistance. Federal funds and state MOE monies may both be used.

• Six states and two California counties have TANF-funded housing programs.

• Limits on duration and eligibility to control costs. Varies by program.

Millennial Housing Commission

Housing Program Tutorial, May 2001

Funds for Special Populations

• Homeless-McKinney Act

• Native Americans-NAHASDA

• Disability/Elderly-Section 202/811

• AIDS-HOPWA

Millennial Housing Commission

Housing Program Tutorial, May 2001

Fair Housing, Equal Credit, and Consumer Protections

• Fair Housing Act (1968)•Prohibits discrimination in housing based on race, origin, religion sex, family status or disability.

• Violations—Submit a Housing Discrimination Complaint Form to HUD.

•Truth in Lending Act (Regulation Z) (1968)• Promote the informed use of consumer credit by requiring disclosures of terms and costs.

• Regulates information required in advertisements as well as disclosure requirements, especially on variable rate credit.

• Regulated by the Federal Reserve Board

• Equal Credit Opportunity Act (ECOA) (1974)• Equal chance to obtain credit. Creditors may not discourage from applying or make a decision based on sex, race marital status religion or source of income.

• Violations-- Justice Department or the proper regulatory agency.

Millennial Housing Commission

Housing Program Tutorial, May 2001

Fair Housing, Equal Credit, and Consumer Protections

•Real Estate Settlement Protection Act (RESPA) (1974)• Requires the disclosure of costs and obligations in settlement services.

• Tries to eliminate unnecessary costs in settlement services.

• Rules apply before during and after settlement process

• Violations—Report to the Office of Consumer and Regulatory Affairs at HUD.

• Home Ownership and Equity Protection Act (HOEPA) (1994)•Amendment to the Truth in Lending Act.

• Provides special protections to consumers entering into high-cost mortgages (APR exceeds Treasury rate by more than 10%, or fees more than 8% of loan amount.)

• Restricts some loan terms associated with abusive lending practices (short-term balloon notes, prepayment penalties, higher interest rates upon default and non-amortizing payment schedules).

• Regulated by the Federal Reserve Board.

Millennial Housing Commission

Housing Program Tutorial, May 2001

Fair Housing, Equal Credit, and Consumer Protections

• Community Reinvestment Act (CRA)—(1977)• Encourage federally insured lending institutions to meet credit needs of low and moderate-income residents.

• Institutions are evaluated for their performance using the CRA, no set performance standards. Can be fulfilled with direct loans, community investment, etc.

• Monitored by appropriate oversight agency (FDIC, FRB, OCC or OTS)