The Maricopa County Board of Supervisors approved an additional $35 million in funding for the development of affordable housing units across the region and to facilitate homeownership through down payment assistance programs.
The Maricopa County Board of Supervisors approved an additional $35 million in funding for the development of affordable housing units across the region and to facilitate homeownership through down payment assistance programs. This latest round of funding raises the total investment by Maricopa County in affordable housing initiatives to $65 million.
“With this new funding, we’re not only adding new, affordable inventory to the market, we’re also providing down payment assistance so more residents can own their homes. I’m hopeful this can free up more rentals as well,” said Board of Supervisors Chairman Bill Gates, District 3. “What’s good is that we are not simply throwing money at the problem, but really thinking about what gaps we can fill to help address our region’s affordable housing crisis.”
Included in the May 18 approval of the $35 million in funding is a mix of projects that will add to the affordable housing stock and promote homeownership in Gila Bend, the Phoenix metropolitan area, and Wickenburg.
“We are grateful to the Board for the opportunity to bring these projects to fruition which increase the supply of affordable housing and advance homeownership opportunities for low-to-moderate-income individuals and families, helping them enjoy the benefits of homeownership and strengthen the surrounding community,” said Jacqueline Edwards, Director of Maricopa County’s Human Services Department.
The $35 million of federal American Rescue Plan Act (ARPA) funding will go toward future projects as well as these initiatives:
Gila Bend: Community Land Trust: $10,200,000
More than $10 million will be used to acquire, rehabilitate and resell approximately 83 single-family homes for homeownership for applicants earning at or below 120% of the Area Median Income (AMI) adjusted by household size. $5.2 million will be used for homes scattered throughout the Phoenix metropolitan area at yet to be determined locations. $5 million in funding will be dedicated to sites located in Gila Bend.
The project ensures that the homes remain permanently affordable through a Community Land Trust (CLT) program. Through this model, the home is sold to a low-to-moderate income individual or family for below market value. To keep the price low, buyers pay only for the house itself and the CLT retains ownership of the land on which the home is located. This arrangement allows families to build equity and enjoy all the benefits of homeownership while the CLT retains the initial investment and keeps the resale price low for future buyers.
Down Payment Assistance: $4,508,592
Maricopa County will provide approximately 128 future homeowners with $35,000 each in down payment assistance to purchase single-family homes within the county. Eligible applicants will have earnings at or below 120% of the AMI adjusted by household size.
Participants in this program will receive financial and homeownership counseling from a HUD-approved housing counseling agency. Assistance offered may include resolving credit issues, finding additional sources of down payment assistance, and providing support throughout the home buying purchase process.
Phoenix: Alta Vista Ranch: $2,565,000
Maricopa County is providing more than $2.5 million to Habitat for Humanity of Central Arizona to develop and build a 25-home community known as Alta Vista Ranch. The 4.52-acre property is located at the southwest corner of Alta Vista Road and 13th Place in Phoenix and is expected to cost a total of $8.9 million to build. The balance of the funds to complete the project will be provided by other sources including donations and sponsors. The development will feature 25 single-family, energy-efficient homes that will be built in partnership with future homeowners, community members, and sponsors. Homes in the development will range from 1,556 to 1,778 square feet. Eligible future homeowners will have a household income of 80% below the AMI, can pay an affordable, no-interest mortgage loan; and complete 400 hours of volunteer service, or ‘Sweat Equity.’
Phoenix: Acacia Heights II: $1.5 Million
A 1.22 acre-parcel at the southeast corner of North 7th Avenue and Camelback Road will be developed into a 66-unit affordable rental housing community known as Acacia Heights. Maricopa County is contributing $1.5 million in ARPA funding toward construction costs. The development will reflect an intentional focus on families with on-site amenities designed for gatherings and events.
Wickenburg: Casa Del Sol Development: $480,000
This 16-lot subdivision on a 2.9-acre site near 439 W. Palm Drive in Wickenburg will include 12 single-family detached homes designated as affordable housing on a 2.9-acre site. Maricopa County is designating $480,000 in funding to cover $300,000 of infrastructure construction costs with the remaining $180,000 providing 12 eligible future homeowners with $15,000 in down payment assistance. Homes in this development will be energy-efficient and include a 1,600 square foot floorplan featuring five bedrooms and two baths, and a 1,375 square foot option with three bedrooms and two full bathrooms.
Past investments funded by Maricopa County through federal ARPA dollars have offered solutions along a continuum of housing options to serve a variety of needs for families of all sizes. They include a hotel conversion offering 50 efficiency units to help people make the transition from homelessness to permanent housing. Other types of housing stock coming online in 2023 include apartment-style housing dedicated to serving seniors and veterans.
Rent limits for Maricopa County designated affordable housing units in those developments are determined through federal guidelines for income factors to ensure that the units remain affordable for people with limited and low incomes.
For more information on the assistance that is available and making a positive impact for people in Maricopa County, visit Maricopa.gov/Rescue.
About Maricopa County Human Services
As the fourth largest county in the nation home to some of the nation’s fastest-growing cities, Maricopa County’s population is large, growing, and more diverse than ever. Maricopa County’s Human Services Department has five divisions that provide services and programs to people of all ages and abilities to promote their well-being. From offering early education to career training and employment services to case management for aging and adults with disabilities– the Human Services Department serves as a leader in the region to support strong families, neighborhoods, and community relationships. Learn more about the financial, educational, and support resources available to eligible Maricopa County residents at HSD.maricopa.gov.