“Jump-Start” Housing Incentive Program
PURPOSE:
The purpose of this program is to act as a catalyst for the purchase of new or spec homes within the corporate city limits of Spring Valley. The Economic Development Authority (SV-EDA) is committed to satisfying the housing needs of Spring Valley. The SV-EDA realizes that adequate housing is a necessary tool to help foster a successful and growing community.
PROGRAM INCENTIVE
1.Applicants shall receive $3,000.00
2.Half the money is paid in Spring Valley Dollars and half paid in cash as an incentive for buying a spec home or building a home in the City of Spring Valley.
ELIGIBLE APPLICANTS
Eligible applicants include any individual or a family who is a first-time residential homeowner to the City of Spring Valley and builds a “new” home within the corporate limits of Spring Valley for the purposes of making it their primary residence. For the purposes of this program, “new home” means any single family dwelling, including townhomes, (not including “mobile” homes) built after the date of adoption of this program. “Spec” homes which have not yet been lived in or homesteaded may be included as an eligible site in this program. For applications where there is a current resident of SV and a new resident to SV who purchase & hold joint title to a qualifying property, the award for the Jump-Start Housing Incentive will be one-half of the standard award. APPLICATIONS included in this information sheet.
PROGRAM DESCRIPTION
Interested parties shall obtain an application form from City Hall, 201 South Broadway, Spring Valley, MN 55975. Complete the application and return it to the same address.
All applicants shall have control of the subject property (i.e. a signed purchase agreement or deed) prior to submitting an application.
For New Construction: All applicants shall submit detailed construction drawings of the proposed home with their application. All construction shall require a building permit from the city and be completed in compliance with local zoning and the State Building Code.
New houses must be a minimum of 1,000 square feet of livable space in size. Garages are optional and may be attached or detached.
Applications for newly constructed homes must specify the estimated cost of construction.
Once the house is completed, the transaction has been closed, and it has been verified that the applicant has indeed made the new home his or her primary residence, the Spring Valley Economic Development Authority shall issue the incentive to the homeowner. Applicants will be responsible to provide the SV-EDA with a copy of closing documents to show proof of ownership
The Spring Valley EDA reserves the right to reject any and all applications for any reason, specified or unspecified.
The Spring Valley EDA will award up to a maximum of eight (3) applications.
DEFAULT
If an applicant should default on any of the following restrictions, all incentive money received shall immediately be returned to the Spring Valley EDA unless otherwise approved by the Spring Valley EDA.
Failure to reside in the new home as a primary residence for a period of at least thirty-six (36) months.
Constructing a home that was not properly represented in the application package.
Using an unlicensed contractor for the construction of the new home.
Attempting to sell the new home before residing in the home as a primary residence for a period of at least thirty-six (36) months.
APPEAL
If an applicant should default on any of the aforementioned restrictions, all incentive money shall immediately be paid back to the Spring Valley EDA. However, an applicant may appeal to the Spring Valley EDA
Note: Program Sunset date: 12/31/2009 or the number of approved incentive awards
Program may be extended by Board action.
(Adopted 2/14/2007) (8)
(Revised 4/18/2007)
(Extended 7/11/2007) (10)
(Extended 10/10/2007) (6)
(Revised/Extended 2/13/2008) (8)
(Revised/7/1/09) (3 new construction only)
Contact Local Banks to find out about their specific lender incentives.
•First National Bank, 208 N. Broadway, Spring Valley, MN
Phone #507-346-7378. Contact: Loan Officer
•First State Bank Minnesota, 1031 N. Broadway, Spring Valley, MN
Phone #507-346-9836. Contact: Janet Webb
•Home Federal Savings Bank, 715 N. Broadway, Spring Valley, MN
Phone #507-346-7345. Contact: Leslie Schmidt
•Security State Bank, 100 S. Broadway, Spring Valley, MN
Phone #507-346-9899. Contact: Kathy Nagel
Download application by clicking on the link below:
Jump start application 2009.doc