Avenue CDC is one of five non-profit recipients of Community Housing Capital’s (CHC) $30 million New Markets Tax Credit (NMTC) allocation. With a $5 million NMTC allocation from CHC, Avenue CDC plans to build approximately sixteen affordable homes at three different sites in the Northline community of Houston, Texas. CHC’s NMTC allocation and source loan will allow Avenue CDC to sell the homes at a lower price while not sacrificing construction quality.
Avenue CDC’s mission to provide affordable homeownership opportunities in Houston’s high-cost market has been challenging. The highly distressed census tracts they revitalize through affordable new home construction experience a poverty rate as high as 35.30%, an area median income (AMI) as low as 41.65%, and an unemployment rate as high as 11.70%. Avenue CDC’s proposed average sales price of $265,000 is below most of the maximum mortgage amounts at even the 80% AMI level, making the proposed homes affordable for many homebuyers of varying family sizes.
Avenue CDC will provide pre-purchase financial counseling, homebuyer education, realtor services, and post-purchase counseling and support. Qualified homebuyers earning up to 80% AMI can also use city and county down payment assistance programs that offer up to $30,000 and include 0% interest and forgiveness after five years of occupancy.
Created on 22 April 2022