The Stewardship Standards for Homeownership Programs was developed collaboratively by a number of national organizations, practitioners, and experts for the purpose of providing an educational resource and measurable framework to help homeownership programs with long-term affordability requirements achieve excellence and maximize impact. View Standards
In addition to basic homebuyer education, the Grounded Solutions Network Stewardship Standards for Homeownership Programs* includes a standard that programs require all of their buyers to complete counseling and/or education on program specifics as part of the application process. This ensures that buyers understand the program restrictions they are buying into and significantly reduces conflicts and confusion down the road. It is in everyone’s best interests that people buying homes with long-term restrictions are doing so understanding what those restrictions entail.
Restriction Document Languages
Many programs provide a “plain English” version of their program restrictions. This document is a shorthand version of the legal restrictions that buyers can easily read and understand and often includes an example of the math for a resale. Programs that serve a significant number of non-English speaking households may have this document translated into several languages.
Buying a home can be stressful, and buying a resale-restricted home adds another layer of complication. The key to ensuring buyers understand resale restrictions is to provide multiple opportunities and various modes of conveying the information. Many programs:
- Have clear written information, including examples of the resale formula available to all buyers.
- Offer some in-person homebuyer education that includes a review of the restrictions and how they work.
- Require that buyers meet with an attorney prior to closing to review the program restrictions and associated legal documents. Some even go so far as to identify the reviewing attorney in the legal document itself so that there can be no confusion down the road that homeowner was well informed at the time of initial purchase.