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HomeMy WebLinkAboutAGENDA REPORT 2004 0616 CC REG ITEM 09D0 MOORPARK CITY COUNCIL AGENDA REPORT ITEM q.7:1). TO: Honorable City Council FROM: Nancy Burns, Senior Management Analyst DATE: June 9, 2004 (CC Mtg. of June 16, 2004) SUBJECT: Consider City of Moorpark Home Buyer Program and Approving Proposal for Services Associated with the City's Home Buyer Program (Workshop Presentations, Spanish Translation, Application Review, Counseling, Loan Packaging) BACKGROUND Seven (7) affordable Below Market Rate (BMR) units are nearing completion in two (2) housing developments: Tract 5307 (Colmer's Moondance project) and Tract 5181 (the TR Partners project). Both projects are in the Moorpark Redevelopment Project area. The Colmer project includes three (3) units being provided by the developer as a condition of the development and 3 units being constructed under contract with the Moorpark Redevelopment Agency (4 Low Income and 2 Very Low Income units). One (1) unit in the TR Partners project will be affordable to Low Income. In addition, seventy -seven (77) more inclusionary Low and Very Low Income units are expected to be completed in Moorpark within the next two -three years. INTRODUCTION This report presents a brief overview of the procedures the City will follow in the establishment and implementation of its Home Buyer Program. These procedures will enable the City to select eligible, qualified first time buyers for the 7 units discussed above and will provide the foundation for ongoing management of the program. Comprehensive Home Buyer Program Guidelines, including underwriting criteria, will be presented at a later date for Council consideration. Honorable City Council June 19, 2002, Meeting Page 2 DISCUSSION These affordable units will be sold at Below Market Rate (BMR) to qualified low and very low income households. The units will be deed restricted and can only be resold to other low income households at a restricted price. Loan documents for the individual BMR units have been developed to enable the City to account for and capture anticipated property appreciation at resale of a deed - restricted unit to another low income household. The difference between the market value and reduced sales price will be recorded as a 2nd Trust Deed, in favor of the City. Staff has held discussions with Cabrillo Economic Development Corporation (CEDC) to determine what services CEDC could provide to assist the City in the roll -out of its home buyer program. These services include assisting in the planning and development of the activities related to outreach, pre- screening of applicants, selection of qualified buyers, and preparing potential buyers for home ownership. An educational workshop and one -on -one counseling for applicants who are not mortgage - ready at this time has also been planned. In addition, loan packaging services are available through CEDC's partner, Neighborhood Housing Services of America (NHSA). NHSA is experienced in addressing the financial needs of underserved populations, using conventional sources of financing that are tailored to the needs of low income buyers. NHSA has provided the City with a forward commitment of funding for 1St mortgage financing for the 7 units soon to be ready for occupancy at an interest rate of 5.95% for a 30 -year fixed rate loan. With the assistance of CEDC, staff has developed a tentative schedule for the City's Home Buyer Program, contained in the attached proposal (Exhibit "A "). Five Orientation workshops were conducted and offered information about eligibility, application procedures, and the deed restrictions to be recorded on the properties. Three workshops were conducted in English and two were presented in Spanish. Cabrillo staff and City staff co- presented the workshops. Pre - screening applications were provided at the workshops. Completed applications and minimal documentation are due to City Hall Monday, June 21. rrr��: • Honorable City Council June 19, 2002, Meeting Page 3 A "virtual voice mail box" was established to enable interested parties to register for Orientation meetings. Both English and Spanish instructions were provided. CEDC staff will respond to questions from applicants regarding the loan process. Flyers providing basic information in English and Spanish about the Orientation meetings were mailed to the 324 individuals on the list of interested parties that the City has maintained for the last 4 years. Approximately 400 flyers were mailed to a list of potential buyers that CEDC has maintained. The flyers were distributed to real estate offices in Moorpark, Catholic Charities, the Chamber of Commerce, and City staff. A press release was issued regarding the roll -out of the Home Buyer Program and display ads were placed in the Daily News, STAR, and Acorn newspapers. Applicants whose initial applications indicate apparent eligibility for the program will be able to participate in a lottery that will provide first preference to Moorpark residents and second preference to those who work in Moorpark. This lottery is tentatively scheduled for July 8, 2004. Based on the outcome of the lottery, applicants with lower numbers will submit complete loan applications and full documentation. These loan packages will be reviewed by Cabrillo staff before final review by City staff and submission to the lender. This review process, but not the method outlined above for selection of potential buyers, was used with Phase I of CEDC's Mountain View project in Moorpark, and was found to be an efficient process. Applicants must complete a home buyer education course prior to close of escrow. A post - purchase workshop which discusses foreclosure intervention, predatory lending practices, etc. will be required of all buyers, as well. All inclusionary units will be monitored annually to confirm continued owner - occupancy. Display ads, flyers, and workshops have stated that deed restrictions will apply to these properties. This means the BMR houses can never be sold at market rate. The workshops have provided an example of the effect of these restrictions on resale price. Subsequent materials, including an annual Honorable City Council June 19, 2002, Meeting Page 4 monitoring letter, will reference and explain the deed restrictions on resale and other restrictions such as owner - occupancy. City staff will meet with buyers at close of escrow for the execution of the loan documents and resale restrictions. The resale price which may be charged to a new low income buyer of a BMR unit will be based on the increase in median income from time of original purchase to time of resale of the unit. The allowable resale price will be sum of the original first mortgage loan plus the buyer's down payment, increased by the percentage increase in median income. This amount may be increased by the value of improvements with an initial cost of one thousand dollars or more, providing the original owner can document these costs. Underwriting guidelines will be based on NHSA underwriting standards, and will include City requirements. These guidelines will include minimum down payment, limit on amount of down payment from a gift, restriction on non - occupant co- borrowers, etc. The loan documents and deed restrictions (Promissory Note, Deed of Trust and Security Agreement, and Resale Restriction Agreement and Option to Purchase) have been prepared and are currently in draft form. They will be presented to the City Council at a later date for approval, along with the underwriting guidelines. At a Special Meeting of the Affordable Housing /Community Development Committee (Councilmembers Hunter and Mikos) on June 2, 2004, the Committee accepted the staff recommendation to recommend Council approval of the City's Home Buyer Program. This Committee will be asked to review additional materials and provide recommendations to the City Council on program details. A summary follows of the process to be used in the selection of eligible buyers for the initial 7 BMR units in the City's Home Buyer Program. Staff will identify additional details as noted above. It is anticipated that this process will provide the foundation for the City's ongoing Home Buyer Program. 000085 Honorable City Council June 19, 2002, Meeting Page 5 Summary of Home Buyer Program initial buyer selection process: • 5 Orientation meetings (3 English; 2 Spanish) • Pre - screening applications offered at orientation meetings; due to City Hall with initial documentation by 5:00 p.m. June 21, 2004 • Lottery at 7:00 p.m. July 8, 2004, for applicants determined to be apparently eligible • Full loan application processing, based on lottery results • Neighborhood Housing Services of America (NHSA) underwriting guidelines to be used, subject to City requirements • Home Buyer Education required prior to purchase, and post - purchase Home Owner workshop (foreclosure intervention, predatory lending, etc.) required after close of escrow • City's loan documents and deed restrictions to be executed with City staff; buyer to receive another explanation of deed restrictions and to sign affidavit confirming receipt of explanation (verbal and written) and the opportunity to have questions answered on this matter • Financial Fitness workshop and one -on -one counseling available for applicants not determined to be mortgage -ready at this time • Names of qualified applicants who do not have the opportunity to purchase at this time to be maintained on a list for consideration when additional BMR units are available • Another lottery to be held in the future, when additional BMR units are nearing completion • 4- bedroom units, when available, to be reserved for eligible households of 5 or more, providing there are qualified households of this size in the application process Summary of initial Home Buyer Guidelines: • Low Income and Very Low Income • First time home buyers (no previous home or mobilehome ownership) • First priority for City of Moorpark residents who have lived in the City of Moorpark since May 31, 2003 • Second priority to people who have worked within the City of Moorpark since May 31, 2003 000086 Honorable City Council June 19, 2002, Meeting Page 6 • 5% minimum down payment, based on Effective Sales Price (no more than 2% of Effective Sales Price may be a qualified gift with remainder from borrower's own funds; under certain circumstances, down payment assistance loan, not to exceed 1% of Effective Sales Price, with 4% from borrower's own funds) • Maximum amount of $5,000 combined (for all co- borrowers) to be established for liquid assets, before such assets are imputed to be generating interest income • Property must be continuously owner - occupied (hardship provisions to be developed that do not provide owner a financial advantage in the event of unforeseen circumstances) • No non - occupant co- borrowers • Intention of City is that buyer's interest in BMR unit may be transferable to eligible heirs (transfers due to death, divorce, etc.) • Following dissolution of marriage, or in the event 1 co- borrower is no longer an occupant of the property, the remaining co- borrower(s) may retain ownership and tenancy, based on financial capacity to pay mortgage; an event of death of 1 co- borrower will be treated in similar fashion • Difference between BMR price and market value is recorded as a 2nd Deed of Trust (at 0% interest and no payments required, unless default occurs, until liquidated at time of resale) • BMR resale limited to another Low or Very Low Income buyer • At time of resale, buyers will share in the equity appreciation of the property (generally determined by subtracting the sum of the original down payment amount, original 1St Trust Deed amount, original amount of 2nd Trust Deed and allowed value of any property improvements from the then current net sales price) by the percentage increase in median income that has occurred since purchase. In the event market price declines, the City will provide for the first 50% of the 2nd Trust Deed, after which this will be shared with the buyer "50/50" • Cost of interior /exterior property improvements in excess of $1,000 may be recovered at time of resale, based upon building permit valuation and /or assessor records and, if necessary, an appraisal. Floor covering, window treatments and routine maintenance type items such as built -in appliance replacement and landscaping are not included. 0000817 A Honorable City Council June 19, 2002, Meeting Page 7 • City will establish future market value and resale price of BMR units based on median income at time of resale; if necessary, an appraisal will be made. • Increases in income of owners over time does not disqualify them from continuing participation in the program. • Insurance and maintenance requirements will be established and monitored, along with owner - occupancy of the units. Funding for the cost of CEDC's services in support of the City's Home Buyer Program will be requested from the Moorpark Redevelopment Agency, from Housing Setaside funds. Exhibit "B" shows current income limits for Ventura County. STAFF RECOMMENDATION: 1. Adopt general program guidelines as contained in this report and authorize staff to complete preparation of all required documents consistent with this report; and 2. Approve proposal from CEDC for Home Buyer Services, with exact costs to be charged per Cost of Services schedule, estimated to total $34,250 for June 2004 -May 2005. Authorize City Manager to sign Agreement, subject to City Manager and City Attorney final language approval. Exhibit "A" Proposal from Cabrillo Economic Development Corporation (CEDC) dated May 25, 2004 Exhibit "B" Income Limits for Ventura County 000088 CEDC Nancy Burns Senior Management Analyst City of Moorpark 799 Moorpark Avenue Moorpark, CA 93021 May 25, 2004 Dear Nancy, EXHIBIT A Thank you for the opportunity for the Cabrillo Economic Development Corporation (CEDC) NeighborWorks® Home Ownership Center (HOC) to work with the City of Moorpark to help move families into affordable homeownership. Attached is: • A revised flowchart outlining the key steps to select qualified buyers for homes that are nearing construction, along with dates for the process that will take place in the next three months • A revised cost of services based on our conversation on Monday, May 17 and a description of CEDC's roles at each step of the process • A copy of the revised memo from May 17`h that describes CEDC's courses, services, and impact in more detail The cost of services reflects the same hourly rate as originally proposed, with a slight increase for the cost of the post - purchase class because it is now 2.5 hours instead of 1.5 hours, and to reflect time for curriculum adjustment. CEDC anticipates spending .5 hours per client in the pre - screening process and .75 hours per client in the advanced screening process, at a charge of $100Jhour. CEDC will invoice the City quarterly based on the number of clients that we see. The cost of services represents the City's anticipated number of clients; CEDC will update the City regularly on the exact number of clients that go through the screening process. Please feel free to contact me with any questions at 805 - 659 -3791 x31, or bmgarcia ncabrilloedc.org. Again, the HOC staff is very excited to assist you and the City in your work; thank you for the opportunity. Sincerely, Bertha M. Garcia P Rc�i., i!CE PREiiBLi' -_ V:(7, E PRE_SIDE` T .,.yiil;JC Vci. P;, 1tif E RY" b,)kR'_., ..t ..... r... 000089 Clients comp! application City of Moorpark/CEDC Homeownership Services Flowchart Orientations (3 English- June 3, 7, 9) (2 Spanish - June 8, 14) Applications Distributed Application Due Date - Monday, June 21 Pre - Screening June 21 -June 25 City approves pre - sreening decisions - notices sent out to applicants stating if they qualify or not for the lottery LOTTERY Tuesday, July 8 Advanced screening July 9 -15 City approves advanced screening decisions - Client determination letters One- sent (July 18) time appeal process Applica t denied Financial Education Class (6 hours) (Offered 2nd and 4th Quarters) Future Lotteries SYMBOLS Joint activity Due Date Client action activity Mpk, CEDC ��� 000090 Page 1 Post- purchase Loan application Homebuyer Education ESCROW course (2.5 Applicant and escrow Workshop (8 hours) CLOSES! hours, 1 accepted process begins August 14 (English) Monday, English, 1 July 26 August 28 (Spanish) August 30 Spanish, offered 2- 4th j quarters Future Lotteries SYMBOLS Joint activity Due Date Client action activity Mpk, CEDC ��� 000090 Page 1 City of Moorpark Cost of Services June 2004 -May 2005 Orientation participation $150.00 14 $2,100.00 Preparation of PowerPoint summarizing CEDC and HOC's role with City of Moorpark program Five orientations in first quarter, three in each subsequent quarter Presentation and all materials will be available in both English and Spanish Pre - Screening $100 /hour 200 0.5 $10,000.00 Review applications to meet initial criteria for lottery exact # TBD Summarize applicant status to Moorpark staff Assist City to prepare and send letters alerting applicants of status CEDC will invoice the City quarterly based on # of clients seen Advanced Screening and One -on -One Counseling $100 /hour 150 0.75 $11,250.00 Review applicant's credit, financial history, and pertinent information in detail exact # TBD Manage all correspondence with applicants, including the appeal process Summarize applicant status to Moorpark staff Assist City to prepare and send letters alerting applicants of status Cost includes any one -on -one meetings between HOC and clients CEDC will invoice the City quarterly based on # of clients seen Pre - purchase workshops $900.00 8 $7,200.00 8 -hour group courses using "Opening New Doors" curriculum Taught at Moorpark facility Adapt curriculum slightly to include time for Mpk. presentation Two workshops per quarter (one in English, one in Spanish) Financial Education workshops $675.00 4 $2,700.00 6 -hour group courses using MoneySmart curriculum Taught at Moorpark facility Classes taught in 2nd and 4th quarters, one class each in English /Spanish Loan Packaging Services Cost to buyer N/A Post- Purchase Classes $300.00 2 $600.00 2.5 -hour class offered in English and Spanish Material to cover combination of predatory lending, foreclosure prevention, tax preparation Cost includes adaptation of existing curriculum Materials $100 /quarter 4 $400.00 Costs cover all education, orientation, and post - purchase course materials Costs to cover all administrative materials for client correspondence TOTAL (subject to change based on number of clients for pre- screening and advanced screening) $34,250.00 000091 May 11, 2004 Scope of Work CEDC NeighborWorks® Home Ownership Center (HOC) Homebuyer Education and Counseling Services City of Moorpark Thank you for your interest in contracting with the Cabrillo Economic Development Corporation NeighborWorks® Home Ownership Center (HOC) to provide homebuyer education and counseling services to residents of the City of Moorpark. Since launching a home ownership education, counseling, and loan packaging division in 1998, CEDC has provided over 2,000 hours of education and one -on -one counseling to over 1,500 households preparing for homeownership, and has helped more than 210 families to purchase a home. The HOC welcomes the opportunity to work with the families on the waiting list for Moorpark's affordable units, as well as other families who plan to purchase a home in the city. Below is an overview of core and supplemental services that the HOC can provide to Moorpark residents; the narrative also includes a brief discussion of the impact and value of our services have on clients. 1. CORE SERVICES A. Pre - Purchase Education CEDC's pre - purchase education curriculum provides up to 16 hours of instruction, consisting of 6 -8 hours of financial education and eight hours of homebuyer education. The financial education curriculum will likely be taught over three evening courses lasting approximately two hours, or one full Saturday session. The homebuyer education curriculum will likely be taught over a full -day Saturday. Classes are typically around 15 -20 people. The HOC will make every effort to offer all courses at a suitable location in Moorpark, to reduce travel time for Moorpark residents. Financial Education. CEDC uses the FDIC MoneySmart curriculum, which is offered in English and Spanish across 10 self- contained modules. Each lesson plan includes a self- assessment and worksheets to help clients tailor the course to their particular needs. The goal at the end of this course is for clients to have the knowledge and confidence to make informed financial decisions for themselves, their families, and their communities. 2. Homebuyer Education. The CEDC Homeowner Course, offered in English and Spanish, will continue where the FDIC curriculum left off, with a review of credit information and the loan process. The curriculum will then focus on several key steps to home ownership, including real estate agents, home inspection, hazard insurance and escrow and title. The course will include its own curriculum and will incorporate presentations from housing and real estate professionals around the County. 000092 May 11, 2004 Please see attached for financial education and homebuyer education agendas. In addition, the HOC will work with the City to adapt the curricula of both classes to make the information most relevant for Moorpark buyers, including adding time to speak about resale and affordability restrictions on Moorpark homes. B. Counseling CEDC will provide one -on -one counseling to help clients better understand their financial history and current financial situation, and prepare for homeownership. Topics typically covered at counseling sessions include a review of credit and credit counseling, money management, and budgeting. The first counseling session usually lasts one hour, with subsequent sessions of 30 minutes apiece. During counseling sessions, clients complete an action plan with concrete steps to help them with the homeownership process. Counseling will take place at the CEDC offices, 11011 Azahar Street, Saticoy, CA 93004. II. ADDITIONAL SERVICES CEDC staff can build on the aforementioned core services in several ways. These include: A. Loan Packaging. In addition to pre - purchase and post - purchase education and counseling, CEDC offers loan origination services according to need and the type of financing offered to the family. HOC loan packaging services are offered through partnerships with a variety of lender partners and Neighborhood Housing Services of America, a secondary market provider. B. Post - Purchase Education and Counseling. Studies prove that post - purchase education is essential to retain homeowners, especially those that are purchasing for the first time. The HOC post - purchase curriculum is divided into two tracks, each comprised of four 1.5 -hour classes. Classes start with a topical overview followed by a presentation by an expert in the related field. The financial track covers foreclosure prevention, refinancing, avoiding predatory lending, and long -term savings. The maintenance and safety track is currently under development, with anticipated topics to include repairs and home maintenance, understanding homeowners' associations, and connection with one's community. The HOC also offers post - purchase one -on -one counseling to families. In the last 18 months, the HOC has experienced an increase in calls from homeowners in the community who are delinquent on loan payments or who have filed Notices of Default. In these situations, the HOC works with the family, the bank, and other outside entities to create a work -out solution that satisfies the needs of all parties involved. While the HOC does not anticipate this problem for families who receive pre - purchase education and counseling services and sound loan products, the service is available for those families in need in the greater community and could be part of its scope of services with the City of Moorpark. 000093 May 11, 2004 III. VALUE AND IMPACT Research has proven that pre- and post - purchase education and counseling enables families to increase their understanding of the homeownership process and take the appropriate steps to move toward homeownership readiness. Education and counseling also increases the chances that homeowners will be able to retain their homes and experience the personal, economic, and societal benefits of being a homeowner. For families who are purchasing for the first time, or who are at greater risk of becoming victims of foreclosure or predatory lending, education and counseling are invaluable to ensuring their success at homeownership. To confirm this research, the HOC recently conducted an internal study to determine the personal, economic, and community impact of homeownership education and counseling services on clients. A core component of the study was the dissemination of a written survey to a random sample of 400 renters and 170 homeowners who utilized HOC services. Key findings included: Eighty -four percent of all respondents noted that their spending habits had changed "greatly" or "somewhat" since receiving HOC services. Clients were most likely to change spending habits by "reducing debt/paying off bills," "shopping smarter," and "changing the way [they] use credit cards." These are all key economic steps toward preparing for the financial responsibility of purchasing and owning a home. • Almost 75 percent of all respondents noted that their understanding of the homeownership process had increased since receiving HOC services • Eighty -nine percent of homeowners indicated that they would recommend HOC services to others, and 82 percent of homeowner respondents noted that HOC staff prepared them for homeownership "extremely well' or "well." The survey and in- person focus groups revealed high customer satisfaction with HOC education and counseling services, and the positive impact of HOC services on moving clients toward homeownership. The HOC expects similar feedback and positive change from Moorpark clients. Thank you again for the opportunity to work with the City of Moorpark. We look forward to discussing this proposal further, and to supporting your efforts toward providing affordable homeownership opportunities to Moorpark residents. 000094 City of Moorpark Home Buyer Education Workshop Presented by the Cabrillo Economic Development Corporation (CEDC) NeighborWorks O HomeOwnership Center English /Spanish Workshop Agenda 8:30 -10:00 AM INTRODUCTION CEDC Staff • Introductions • Review of agenda and workshop expectations • Value of having a loan prior to shopping for a home • Advantages & disadvantages of renting vs. owning Credit • Definition and components • Lender view of credit • Reading and understanding a credit report • Review of a credit report • Credit cleaning companies • Options for those with no credit established • Non - traditional credit 10:00 -10:15 AM BREAK 10:15 —10:45 AM BUDGETING • Importance of budgeting • How to budget 10.45 -11.45 AM LENDING /LOAN PROCESS — Guest Sneaker • Documentation needed for a mortgage loan • Importance of job stability • Types of downpayment (401 K, gift, savings, tax returns) • Points • APR vs. Interest Rate • Explanation of GFE and TIL • Disclosures (ECOA, Fair Housing Act, etc.) • Interest rate lock —in • FHA loans vs. conventional loan • Review of Form 1003 loan application • Components of a mortgage payment (PITI) • Front end and back end ratios 11:45 AM -12:15 PM LUNCH 000095 12:15 -1:00 PM REAL ESTATE AGENTS - Guest Speaker (Agent) • Shopping for a real estate agent • New vs. old homes • Observation of neighborhood and its surroundings • Components of an offer • Sales contracts 1:00 —1:30 PM HOME INSPECTION Guest Speaker (Home Inspector) • Role of the home inspector • Components of home inspection 1:30 -2:00 PM HAZARD INSURANCE Guest Speaker (Insurance Agent) • Overview of hazard insurance • Components of hazard insurance • Other coverage that protects the borrower 2:00 -2:15 PM BREAK 2:15 -2:45 PM ESCROW AND TITLE • Definition of escrow • Definition of title • Holding title, and importance of how title is held • Escrow and title documentation 2:45 -3:45 PM PRESENTATION: CITY OF MOORPARK 3:45- 4:30 PM CLOSING CEDC Staff • Jeopardy Game • Workshop evaluation 000096 City of Moorpark Financial Fitness Workshop Presented by the Cabrillo Economic Development Corporation (CEDC) NeighborWorksOHomeOwnership Center 8:30 - 8:45 Introduction to Financial Fitness 8:45 —10:30 Introduction to Credit - Importance of Credit - Repairing your Credit - Understanding your Credit Report - How Credit history affects you 10:30 —10:45 Break 10:45 —12:00 Budgeting (Money Management) - Why is it important to budget - How to create a budget - Paying yourself first 12:00 —12:30 Lunch 12:30 —1:30 Introduction to Banking Systems The benefits of Banks /Credit Unions How to chose and use a checking/savings 1:30 — 2:15 Your Rights as a Consumer - How to avoid Fraud - Know what questions to ask 2:15 — 2:30 Break 2:30 — 3:00 Test, Workshop Evaluation, Answer questions and Adjourn 00009'7 C C O CO 00 EXHIBIT B UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT HOME, CDBG AND ESG PROGRAMS Household Income Limits and Fair Market Rents For Ventura County, California 1111 J: r7- @77 Ann G:\Regional Dev \Community Dev\ADMIN \HUD 2004 FMR.doc REV: 3112104 INCOME LIMITS (Effective January 2004) — 1 2 3 4 5 6 7 8 Person Persons Persons Persons Persons Persons Persons Persons 30% Median 16,250 18,600 20,900 23,200 25,100 26,950 28,800 30,650 (Extremely Low Income 50% Median 27,100 30,950 34,850 38,700 41,800 44,900 48,000 51,100 (Very Low Income 80% Median 40,250 46,000 51,750 57,500 62,100 66,700 71,300 75,900 (Low Income) FAIR MARKET RENTS (Effective January 2004) -- 0 1 2 3 4 Bedrooms Bedroom Bedrooms Bedrooms Bedrooms $785 $902 $1,142 $1,518 $1,769 G:\Regional Dev \Community Dev\ADMIN \HUD 2004 FMR.doc REV: 3112104