[Archived] Low Interest Mortgage Funds Available to Alexandrians

City Press Release


	City of Alexandria, Virginia Office of the City Manager Alexandria City Hall 301 King Street, Suite 3500 Alexandria, Virginia 22314-3211 www.alexandriava.gov Telephone: 703.838.4300 Fax : 703.838.6343

For Immediate Release
February 16, 2005
PIO 050-05/bg

Low Interest Mortgage Funds Available to Alexandrians
The City of Alexandria has been awarded $7.8 million in funding for low interest mortgages for low and moderate income first-time homebuyers to help lower their payments and make housing in Alexandria more affordable. The funds come from the Virginia Housing Development Authority’s Sponsoring Partnerships and Revitalizing Communities (SPARC) Program. This is the City’s fourth and largest allocation of SPARC funds since the inception of the program in 2002.

The City will combine the new VHDA funding allocations with local funds to expand homeownership opportunities for low and moderate-income City residents and workers. "SPARC and other VHDA financing programs have become critical resources in preserving homeownership opportunities for low and moderate income Alexandrians," said Mildrilyn Davis, Director of the City's Office of Housing. While assistance will be subject to the availability of funds, the City hopes to assist a number of groups in becoming homeowners including public housing residents, City and school employees, and low and moderate-income households whose apartments are being converted to condominiums. The City expects to assist at least 50 households using the SPARC program along with City-funded first-time homebuyer programs that provide interest free, deferred payment loans of up to $50,000.

In addition to SPARC funds, the City will also receive $1 million in funding through VHDA’s Home Stride Program. Home Stride provides a deferred payment, deferred interest loan of up to $20,000 for eligible households.

Alexandria recently implemented a new program designed to encourage municipal and school employees to purchase homes in the City. Alexandria Mayor Bill Euille stressed the importance of creating homeownership opportunities for lower wage City workers. "The City recognizes the many benefits of having employees living near their work sites, especially law enforcement officers and emergency responders. This allocation of SPARC funds is an excellent complement to the City's existing programs for lower income City residents and workers," Euille said. The City estimates that only 15% of City employees and approximately one-third of school employees currently reside in the City.

For more information, call Shane Cochran, Alexandria Housing Office, 703.838.4622.

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