10/21/08 Special Meeting - Laserfiche WebLink

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Community Development. Director Miller stated that is where the guidelines come in and there would need to be an application process. She asked if the City wants to include investors, or, for example, investors only if it is at a certain income level. Amy Peterson, Edina Realty, Councilmember Elvig's acquaintance, stated that she has seen provisions in the Recovery Act that was approved recently, but she hasn't seen the policies that have trickled down from that yet. She stated that she would caution that the City look at single family and townhomes as separate entities. She stated that the problem for a lot of foreclosures is their current states are not meeting the requirements to get funding because they require an FHA appraisal. She stated that one of the biggest things to be aware of is that there are the buyers out there, but they don't meet the FHA appraisal requirement. She stated that her concern with townhomes is that they need to stay 25% or less investor owned to be approved for the FHA appraisal. She stated that there are a lot of the first time home buyers looking at townhomes and are in a kind of Catch 22 situation. Chair Olson stated that she has no desire to help investors buy properties for rentals, but feels it is different to help them buy properties for rehab and resale. Community Development Director Miller asked if the City wanted to have property value limits. Councilmember Elvig state4 that he thinks the problem with single family homes is as big of a problem as townhomes, so he would like to open it to both. Chair Olson asked about the valuations ofthe single family foreclosures. Community Development Director Miller stated that she has that information and will get it to the Council. Chair Olson asked that the HRA meeting be brought back as the first item of the evening in the future. COMMITTEE REPORTS None. EXECUTIVE DIRECTOR'S REPORT None. COMMISSIONER INPUT None. Housing and Redevelopment Authority / October 21, 2008 Page 4 of5