Housing


 

APPENDIX: GLOSSARY OF ACRONYMS AND TERMS

AHFC – Austin Housing Finance Corporation

CAN – Community Action Network

HUD – United States Department of Housing and Urban Development

MSA – Metropolitan Statistical Area

RC – Resource Council

RTC – Resolution Trust Corporation

TAB – Texas Association of Builders

TCHFC – Travis County Housing Finance Corporation

TDHCA – Texas Department of Housing and Community Affairs

UW/CA – United Way/Capital Area

Adaptability A definition used by HUD meaning the ability of certain elements of a dwelling unit, such as kitchen counters, sinks, and grab bars to be added to, raised lowered, or otherwise altered, to accommodate the needs of persons with different degrees of disabilities.

Affordable Housing Housing where the occupant is paying no more than thirty percent (30%) of gross income for gross housing costs, including utility costs. Housing that is for purchase (with or without rehabilitation) qualifies as affordable housing if it: (1) is purchased by a low-income, first-time home buyer who will make the housing his/her principal residence; and (2) has a sale price that does not exceed the mortgages limit for single family housing in the area under HUD's single family insuring authority under the National Housing Act.

Best Practice Programs, services, or processes that research or expert opinion has shown to be effective through measurable, demonstrated results.

CAHFC Capital Area Housing Finance Corporation - serves Bastrop, Blanco, Burnet, Caldwell, Fayette, Hays, Lee, Llano and Williamson Counties, as well as the City of San Marcos. The CAHFC offers a full range of housing finance assistance, including programs that address 80% to 140% of median income needs.

CDBG Community Development Block Grant - a flexible federal annual funding program that allocates monies to cities and participating jurisdictions by formula.

CHDO Community Housing Development Organizations - non-profit housing development organizations.

Colonia An identifiable unincorporated area located within one hundred fifty (150) miles of the Texas-Mexico border that lacks infrastructure and decent housing. This term is now commonly applied to all substandard rural housing developments within the state of Texas.

Conventional Mortgage Loan A mortgage loan which is not guaranteed by the federal government (HUD/Federal Housing Administration, Veterans Affairs, Agriculture/Rural Development) and which is either underwritten to conservative loan to value ratios or includes a Primary Mortgage Insurance Policy.

Disability According to the HUD, a person shall be considered to have a disability if the person is determined to have a physical, mental, or emotional impairment that: (1) is expected to be of long-continued and indefinite duration, (2) substantially impeded his or her ability to live independently, and (3) is of such a nature that the ability could be improved by more suitable housing conditions. A person shall also be considered to have a disability or he or she has a developmental disability as defined in the Developmental Disabilities Assistance and Bill of Rights Act (42 U.S.C. 6001-6006). The term also includes the surviving member or members or any said household who were living in an assisted unit with the deceased member of the household at the time of his or her death.

Down Payment The portion of the purchase price of a home which the borrower cannot borrow from the first mortgage lender. Down Payment Assistance Funds which are provided by the issuer or another third party which can be used to offset a portion of the borrower's down payment.

Elderly Household A family in which the head of the household or a spouse is at least sixty-two years of age. Extremely Low Income Household Incomes less than or equal to thirty percent (30%) of AMFI.

Fannie Mae The Federal National Mortgage Association is one of two private corporations whose charter is authorized and guaranteed by (on an annual appropriations basis) the Federal Government. Their charge is to provide liquidity to mortgage lenders by providing a guaranty to mortgage loans, which gives them liquidity in the secondary mortgage market.

Federal Housing Assistance Federal rental assistance programs pay rents that are a percentage of the household's adjusted income-usually 30 percent. This formula allows even the poorest households to live in assisted housing.

FHA The Federal Housing Administration of the U.S. Department of Housing and Urban Development is an agency of the federal government whose charge is to assist in providing housing for underprivileged citizens of the United States.

First-Time Home Buyer An individual or family who has not owned a home during the three year period preceding the HUD-assisted purchase of a home that must be used as the principal residence of the home buyer.

HOME The HOME Investment Partnerships Act, which is Title II of the National Affordable Housing Act. Funds made available under HOME through allocations and reallocations, plus all repayment and interest or other return to the investment of these funds.

Homeless Family Family without shelter that includes at least one parent or guardian and one child under the age of eighteen, a homeless pregnant woman, or a homeless person in the process of securing legal custody of a person under the age of eighteen.

Household One or more persons occupying a housing unit.

Housing Development Costs The total of all costs incurred in financing, creating, or purchasing any housing development, including but not limited to a single-family dwelling, which are approved as reasonable and necessary. The costs may include but are not limited to the value of land and any buildings on the land, cost of site preparation demolition, and development; fee paid or payable in connection with the planning, execution, and financing of the development, cost of construction, rehabilitation, reconstruction, fixtures, furnishings, equipment, machines, and apparatus related to the real property; cost of land improvements, necessary expenses in connection with initial occupancy of the housing development, including tenant relocation, if not otherwise being provided for, as determined by Federal Law.

Housing Development (Or Housing Project) Any real or personal property, project, building structure, or facilities undertaking, whether existing, new construction, remodeling, improvement, or rehabilitation, which meets or is designed to meet federal property standards for the primary purpose of providing sanitary, decent, and safe dwelling accommodations for rent, lease, use, or purchase by persons and families of low and moderate income and persons with special needs.

Housing Unit An occupied or vacant house, apartment, or a single room (SRO housing) that is intended as separate living quarters (U.S. Census definition)

Lender An intermediary which is authorized to underwrite mortgage loans to either FHA, VA, USRD, Fannie Mae, or Freddie Mac standards, to fund such mortgage loans, and to sell them to a secondary market source.

Living Wage An earning level that supports self-sufficiency without reliance on public and private subsidies.

Low Income Neighborhood A neighborhood that has at least fifty-two percent (52%) of its households at or below eighty percent (80%) of the median income for the area.

Median Family Income

Lender – An intermediary which is authorized to underwrite mortgage loans to either FHA, VA, USRD, Fannie Mae, or Freddie Mac standards, to fund such mortgage loans, and to sell them to a secondary market source.

Median Family Income

Median Family Income

100%

80%

50%

30%

1 Person

$38,750

$31,000

$19,400

$11,650

2 People

$44,313

$35,450

$22,150

$13,300

3 People

$49,875

$39,900

$24,950

$14,950

4 People

$55,400

$44,300

$27,700

$16,600

5 People

$59,813

$47,850

$29,900

$17,950

6 People

$64,250

$51,400

$32,150

$19,300

7 People

$68,688

$54,950

$34,350

$20,600

8 People

$73,125

$58,500

$36,550

$21,950

Metropolitan Statistical Area A large population nucleus (a county or group of counties with a total population of at least 75,000 and a central city or urbanized area of at least 50,000) together with adjacent communities that have a high degree of social and economic integration within that nucleus.

Mortgage Loan A loan made by a lender on behalf of an issuer to finance the purchase of a qualifying home, evidenced by a note and secured by a mortgage, which meets the requirements of the program.

NIMBY (Not In My Backyard). Neighborhood organizations, other community groups and residents who organize effectively to stop the siting of land uses ranging from public facilities, social service providers, affordable housing (especially multifamily housing) and industrial facilities. This phenomenon is called "NIMBY" since residents often support the goal of affordable housing as long as it is not located near their homes.

Not-for-Profit Organization Any public or private, nonprofit organization that 1) is organized under state or local laws; 2) has no part of its net earnings insuring to the benefit of any member, founder, contributor, or individual, and 3) is neither controlled by, nor under the direction of, individuals or entities seeking to derive profit or gain from the organization.

Overcrowded A housing unit containing more than one person per room (U.S. Census definition).

Project-Based Assistance Rental assistance provided for a project, not for a specific tenant. Tenants receiving project-based rental assistance give up the right to that assistance upon moving from the project.

Public Housing Any state, county, municipality, or other government entity or public body (or its agency or instrumentality) that is authorized to engage in or assist in the development or operation of low-income housing. The term includes any Indian Housing Authority.

Rehabilitation Housing Housing that is to be rehabilitated, but may be rented or owned by a family when assistance is provided, qualifies as affordable housing if the housing (1) is occupied by a low-income family which uses the house as its principal residence; and (2) has a value, after rehabilitation, that does not exceed the mortgage limit for the type of single family housing for the area.

Rental Assistance Rental assistance payments provided as either project-based rental assistance or tenant-based rental assistance.

Section 8 Certificate/Voucher Federal rental assistance programs. Participants pay 30 percent of their income for housing that meets HUD inspection and rent standards. A voucher allows the participant to rent a unit above allowable rents if they pay the difference.

Sheltered Families and persons whose primary night-time residence is a supervised publicly or privately operated shelter, including emergency shelters, transitional housing for the homeless, domestic violence shelters, residential shelters for runaway and homeless youth, and any hotel/motel/apartment voucher arrangement paid because the person is homeless. This term does not include persons living doubled up or in overcrowded or substandard conventional housing. Any facility offering permanent housing is not a shelter, nor are its residents homeless.

Substandard Housing A housing unit lacking complete kitchen or bathroom (U.S. Census definition). By local definition, dwelling units that do not meet standard conditions but are both financially and structurally feasible for rehabilitation. This does not include units that require only cosmetic work, correction or minor livability problems, or maintenance work.

Substantial Rehabilitation Rehabilitation of residential property at an average cost for the project in excess of $25,000 per dwelling unit.

Supportive Housing A housing, including housing units and group quarters, that has a supportive environment and includes a planned service component.

Tenant-Based Assistance A form or rental assistance in which the assisted tenant may move from a dwelling unit with a right to continued assistance. The assistance is provided for the tenant, not for the project.

Transitional Housing Short to long-term housing available for individuals or families who are homeless, or are leaving temporary shelters or institutions, and currently do not have permanent housing. Transitional housing usually includes case management and other supportive services designed to help individuals develop any life, job, or educational skills they may need to live on their own.

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