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HomeMy WebLinkAboutAGENDA REPORT 1995 0405 CC REG ITEM 08KConsistent with a requirement of the recorded Resale Restriction Agreement for 15302 Stanley Court in Tract 3963, the City has received written notice (attached) of the original buyer's (Mark and Wendy Harper's) intent to sell their home. Although the Agreement requires that the Buyer provide the names of three licensed real estate appraisers, Mr. Harper has requested that the City waive this requirement, since the appraisal report would only need to be submitted if the City's intent is to purchase the home. Pursuant to the Agreement, within 21 days of receipt of Buyer's written notice of intent to sell, the City must give the Buyer written notice of its intent to purchase the home. DISCUSSION Staff does not recommend the purchase of the home at 15302 Stanley Court. The City already owns another home in Tract 3963 (same size and floor plan) that was purchased in 1994 at a foreclosure sale (that home is currently being rented). Another identical home on Mallory Court was purchased by the City in 1993 (due to a potential foreclosure action), and then sold in 1994. Staff experienced difficulty in finding a moderate - income, first -time home buyer that could qualify for the home loan, due to the price of the home and interest rates. The City Council subsequently removed the Mallory Court home from the Tract 3963 First -Time Home Buyer Program, and it was sold in September 1994. If the City were to purchase the Stanley Court home, staff would experience the same difficulty in finding a qualified first -time home buyer, since the home values have not appreciated and interest rates are even higher than in 1994. The current owners of 15302 Stanley Court are still obligated to comply with all other provisions of the Resale Restriction Agreement, including repayment. of the City's $30,000 second mortgage. 0005? ITEM FTNP5 10ORf'ARK. CALIFORNIA atY COUrfil Nleettng of I 99 A G E N D A R E P O R T ACTION: d C I T Y O F M O O R P A R K TO: The Honorable City Council '' - FROM: Jaime R. Aguilera, Director of Community DevelopmenVY- Deborah S. Traffenstedt, Senior PlannerS`f DATE: March 28, 1995 (CC Meeting of 4 -5 -95) SUBJECT: CONSIDER WAIVING CITY'S OPTION TO PURCHASE 15302 STANLEY COURT -- TRACT 3963 FIRST -TIME HOME BUYER PROGRAM BACKGROUND Consistent with a requirement of the recorded Resale Restriction Agreement for 15302 Stanley Court in Tract 3963, the City has received written notice (attached) of the original buyer's (Mark and Wendy Harper's) intent to sell their home. Although the Agreement requires that the Buyer provide the names of three licensed real estate appraisers, Mr. Harper has requested that the City waive this requirement, since the appraisal report would only need to be submitted if the City's intent is to purchase the home. Pursuant to the Agreement, within 21 days of receipt of Buyer's written notice of intent to sell, the City must give the Buyer written notice of its intent to purchase the home. DISCUSSION Staff does not recommend the purchase of the home at 15302 Stanley Court. The City already owns another home in Tract 3963 (same size and floor plan) that was purchased in 1994 at a foreclosure sale (that home is currently being rented). Another identical home on Mallory Court was purchased by the City in 1993 (due to a potential foreclosure action), and then sold in 1994. Staff experienced difficulty in finding a moderate - income, first -time home buyer that could qualify for the home loan, due to the price of the home and interest rates. The City Council subsequently removed the Mallory Court home from the Tract 3963 First -Time Home Buyer Program, and it was sold in September 1994. If the City were to purchase the Stanley Court home, staff would experience the same difficulty in finding a qualified first -time home buyer, since the home values have not appreciated and interest rates are even higher than in 1994. The current owners of 15302 Stanley Court are still obligated to comply with all other provisions of the Resale Restriction Agreement, including repayment. of the City's $30,000 second mortgage. 0005? The Honorable City Council March 28, 1995 Page 2 RECOMMENDATION Authorize staff to prepare a written response identifying that the City does not intend to exercise its option to purchase 15302 Stanley Court from the current owners, with a time limitation of six months (September 7, 1995). The six -month time limit shall be extended to nine months (December 8, 1995), if escrow is opened during the six -month period. Attachment: Letter dated 3 -27 -95 00658 From: MARK HARPER DATRONJTRANSCD INC. Fax: 1.806 -6794916 Voice: 1806-664 -1717 EXT31D6 To, Ms Debbie Tramnstedt Pape 2 oft Monday, March 27,1996 1:26:26 PM March 27, 1995 Ms. Debbie Traffenstedt City of Moorpark- Community Development 799 Moorpark Ave Moorpark, CA 93021 Dear Ms. Traffenstedt, As a participant in the 1990 City of Moorpark First Time Home Buyers Program, I am writing to provided notice that we intend to attempt to sell property located at 15302 Stanley CT. While the sales agreement provides the City of Moorpark with a right to require that I obtain appraisals and allow the City the opportunity to purchase the property at the appraised value, due to the cost of obtaining such appraisals and as you have not expressed interest in acquiring the property, I request that your waive your right to require such appraisals and your right to purchase the subject property. Due to the decline in the value of the property, no gain will result from the sale, and as such the provisions related to the shared appreciation rights will not be applicable. The subject property is being listed with Ms. Toni Ross at Fred Sands Valley Realtors (805) 584 -1777. If you desire, offers received could be reviewed with you prior to acceptance to determine if the City may desire to purchase the property under similar terms. A� I wish to proceed as quickly as possibly, your prompt response would be appreciated. If you have any questions you may reach me at work at (805) 584 -1717 and may send your response via fax to (805) 531 -1033 or to the address below Sincerely, Mark Harper 15302 Stanley CT. Moorpark, CA 93021 00(359 MAR 27 195 13:2e DATROWMARK HARPER PAGE.002