VERIFICATION & ELIGIBILITY
For each designated
affordable for sale unit, the Seller will provide to HOST the name of one applicant for income
verification review. If you are
interested in purchasing a specific affordable home, your name must be provided
to HOST by the seller and/or seller’s real estate agent.
To Begin: Before you begin the income verification
process, all applicants must have a signed sales contract on and loan approval for the affordable
unit they are interested in purchasing. The unit you are purchasing MUST be in
the City and County of Denver. Once you have a signed
sales contract and a loan approval from your lender, you can
begin the income verification process!
Please Note: households interested in purchasing a Denver
affordable home may not own a home, current residence or rental property, prior
to closing on the affordable home. Proof of sale must be provided to the HOST before closing on the affordable home.
Documents You Will Need to Have BEFORE Starting Your Application
1. Executed Purchase Contract for the home you wish to purchase.
2. Completed Loan Application form from your lender.
3. Paystubs – two months of your most recent paychecks for each employed household member age 18 years and older who is currently employed.
4. Bank Statements – two months of complete and recent statements from each bank account.
Please provide the monthly statements that your bank would provide to you in the
mail. Please do not provide screen shots of statements. Please explain all
deposits over $100.00 that are not attributed to your employment income.
5. Verification of Employment form for each household member who is over 15 years old and currently working. Please have this form completed by the employer and emailed to:
firstname.lastname@example.org. We cannot access income information from an automated system. Please have your realtor or lender access this for you and email the complete form to email@example.com.
Asset Statements – two most recent statements, that are at least monthly statements, for ALL asset accounts.
Asset accounts include 401K, pension, stocks, bonds, money market, etc.
Dividends that you receive or that are reinvested back into your account, will
be included with your annual gross income. Any asset funds being utilized
for purchase of the affordable home (i.e. down payment) will be excluded from
the asset calculation if sufficient documentation is provided and approved by
Please Note: There is an asset limit equal to one and a
half (1.5) times the amount of the HOST published Sales Price for an 80% AMI
unit, adjusted for bedroom size, or 95% AMI unit, adjusted for bedroom size depending
on build designation (i.e. standard build vs. high cost structure). However, HOST may allow certain
exemptions for retired or permanently disabled applicants. If you are such an applicant
and wish to discuss a possible exemption, please contact HOST at 720/913-1634.
If self-employed, provide the last two years of complete Federal
Tax Returns (including Schedule C) and copies of any current contracts.
Note: Both business and personal Federal Tax Returns will be required.
8. Federal Tax Transcripts the last
TWO YEARS of FEDERAL income tax returns for each employed household member (age
15 years or older). This includes both individual and business
returns. You can request Federal tax transcripts at http://www.irs.gov/Individuals/Get-Transcript or
you can call the IRS at 1-800-829-1040 and request a transcript. Please
do not provide State Tax Returns.
If you are divorced, please provide a copy of your executed Divorce
Decree, Separation Agreement, Child Support Orders and/or any other associated
Orders relating to maintenance/alimony and/or child support. Your
divorce must be finalized prior to purchasing an affordable unit.
Award letter(s) if receiving unemployment, social security,
pension, survivor, disability, TANF, etc.
11. If receiving a financial gift, please note that gift funds
provided to households seeking to purchase a Denver affordable home are
restricted to 20% of the purchase price of the affordable home. Gift
funds must be solely used towards the purchase of an affordable home (i.e. down
payment) and the gift letter must include the following:
§ Who is receiving the gift funds;
§ The name and relationship of the person giving the
§ The exact dollar amount of the gift funds; and
§ A statement that no repayment is required and that
the gift funds will be used solely for the purchase of a Denver affordable
12. Housing Counseling class certificate - The City and County of Denver partners with several non-profit
organizations that offer FREE homeownership counseling classes. These
classes include information on how to obtain a
home mortgage, how to prepare for homeownership, closing process information,
home maintenance, possible down payment assistance, etc. Please contact
any of the following providers to attend a HUD approved housing counseling class.