The U. S. Department of Housing and Urban Development (HUD) wants
to make American communities stronger and to build a safer nation.
Public safety improves when police officers live in a neighborhood.
The Officer Next Door (OND) program helps make this goal a reality
by making homeownership faster and more affordable for Law Enforcement
Officers.*
Who Can Participate?
You must be a full-time, sworn law enforcement officer who is
"employed full-time by a Federal, state, county or municipal government;
or a public or private college or university." You must be "sworn
to uphold, and make arrests for violations of, Federal, state, county,
or municipal law." Your employer must certify that you are a full-time
police officer with the general power of arrest. You don't have
to be a first-time homebuyer to participate. However, you cannot
own any other home at the time you close on your OND home. You must
agree to live in the HUD home as your only residence for three years
after you move into it. Additional details and rules may be found
in the program
regulations.
How do I participate?
OND property is listed
and sold exclusively over the internet. Properties are single family
homes located in Revitalization
Areas. Properties available through the program are marked with
a special Office Next Door button. Bids are awarded once each week.
Your bid must be the amount of the list price. You may submit your
bid directly or utilize the services of a real estate broker. Winning
bids are randomly selected by computer. The winning bid is posted
each week on the web site where you made your bid.
You may also buy a home from a government agency or a nonprofit
organization that bought the home from HUD. When an agency or nonprofit
buys the house, HUD expects the full discount to be passed on to
you.
In all cases, HUD requires that you sign a second
mortgage and note for the discount amount. No interest or payments
are required on this "silent second" provided that you fulfill the
three-year occupancy
requirement.
What Are the Benefits for the Officer?
The selected bidder may purchase the property at a 50 percent discount
from the list price. For example, if a HUD home is listed for $100,000,
an officer can buy it for $50,000. To make a HUD home even more
affordable, you may apply for an FHA-insured mortgage with a downpayment
of only $100 and you may finance all closing costs.
If the home you want to purchase needs repairs, you may use FHA's
203(k) mortgage program. This program allows you to finance both
the purchase of the home and the cost of needed repairs. You have
the benefit of one loan for both costs and one monthly payment.
Discuss these financing options with your lender.
Because homes sold through the OND program are located in Revitalization
Areas there may be additional assistance from state or local
government sources. Local or state governments want to encourage
families and businesses to move into Revitalization Area neighborhoods.
Contact your state government housing office or local municipal
government and request information on assistance for homebuyers.
I
already purchased a home under the OND Program. Where can I get
information about my second mortgage?
Information
is available on the OND/TND
Loan Servicing page.
Where can I get additional information?
Regulations for the Officer Next Door Sales Program may be found
at 24
C.F.R. 291.500.
For more information, please contact your local HUD Homeownership
Center. You will find a directory
to your HUD Homeownership Center on the web.
Information is also available from the HELP line at (800) 569-4287.
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