Program Frequently Asked Questions

If I’m Interested in buying a RootedHomes home, how do I get started?

We recommend the first step you take as an interested homebuyer is to view upcoming and available communities. Here you can browse what properties are available or coming soon. Once you select a property you are interested in, pay close attention to the lottery dates, prices of the homes and type of community.

From there, we recommend getting acquainted with our homebuyer qualifications. Start by reviewing our Get Started page, followed by the Program Details. You can sign-up to attend an information session to learn more about our program.

The most time-consuming part of applying to our program is becoming mortgage-ready by getting pre-qualified with a lender. We recommend starting the process with a lender sooner rather than later. You can view our list of recommended lenders here.

What does mortgage-ready mean?

A mortgage is a type of loan to purchase real estate. Mortgage ready means that you fit the qualifications determined by the bank to pre-approve you so that you can start shopping for real estate. Lenders will pre approve you for a certain amount based on your income.

The factors they consider in determining your pre-approval amount is your income, your credit score, how much debt you currently have and your savings. All of our lenders have been vetted through client feedback and are well versed in working with first-time homebuyers.

How does the application process work?

RootedHomes selects homebuyers for a community via a lottery. Interested homebuyers apply to enter the housing lottery during a specified time window. For Rooted at 19th, that time window will be March 31st - May 15th. During that time you need to fill out an application either online or a paper application.

What do I need for the application?

For the application you need three things:

1. Your pre approval letter that shows you are pre-approved for the affordable sales price of the home.
2. Your Gross Annual Income for the entire household, assets and debts. The application can help calculate your income for you. You must enter your income, your assets and debts one at a time depending on what they are.
3. A bank statement showing you have 1% of the purchase price in savings.

 

If I have inconsistent income, how is my gross annual income calculated during the verification process?

For most of RootedHomes homes all selected homebuyers must earn below 80% of the Area Median Income based on your household size until your closing day. RootedHomes also has opportunities for households above 80% so make sure you check the income requirements for the homes you are applying for.
Our first income verification check is after you are selected. RootedHomes looks at past income and then calculates your income going forward based on your past three months of paystubs or profit and loss statements. RootedHomes will check your income 30 days before your closing date on your home to verify again that you are below the current income cap of 80% of the Area Median Income. RootedHomes monitors your income until the day you close on your home. After you close on your home, RootedHomes no longer monitors your gross annual income.

How does the lottery work?

RootedHomes selects recipients randomly via a lottery system with certain prioritizations. Applicants are assigned up to five lottery points based on three qualifications:

1. First-generation home buyers receive one preference point. A first-generation homebuyer is a first-time homebuyer whose parents do not currently own real estate in the United States.
2. Housing Works clients receive one preference point. Housing Works clients are Section 8 voucher holders or people living in Housing Works owned properties.
3. Employees of our Employer Partners receive two preference points. Each community has specific employers that have pledged to sponsor homes for their employees. For Simpson, our Employer Partners are Mosaic Community Health, St. Charles, Mid-Oregon Credit Union and BASX.
4. Veterans will receive one preference point

After the application period closes, all qualified applicants are assigned a random number and entered into a lottery system. The lottery organizes applicants into tiers based on the number of preference points they receive. The highest tier is 5-point applicants followed by 4-point applicants. The lottery selects the highest point applicants first and then moves down the tiers based on the available number of homes. RootedHomes also selects a waitlist of two positions per home.

Anybody can apply to the housing lottery and RootedHomes does not discriminate against any person because of Race, Color, Religion, Sex, Handicap, Familial Status, or National Origin.

When will homebuyers be notified for Simpson?

Selected homebuyers and waitlist positions will be notified the week of May 19th. All other applicants will be notified by the end of May.

How does Down Payment Assistance Work?

RootedHomes strived to make down payment assistance available to reduce the prices even more for lower income households due to rising interest rates.

For the RootedHomes community, Rooted at 19th, we have $18,000 available for down payment assistance. This down payment assistance makes it possible for lower income households to purchase our homes due to rising interest rates because they can apply for the housing lottery with a lower pre-approval amount. To opt into receiving the down payment assistance you will need to follow this step:

1. Obtain a pre-approval amount for the following prices depending on which home you are applying for: If you are applying for a two-bedroom you need a pre-approval for $240,000. If you are applying for a three-bedroom, you need a preapproval letter of $275,000.