Ability to Pay

The Habitat for Humanity IWV income window of service is 25% to 50% of the median income of the Indian Wells Valley. This sets the upper and lower guidelines for a family of four. The income range is then adjusted for smaller and larger family size based on CA/HUD guidelines.

Minimum Income Guideline

1. Family must meet a minimum gross income over a four year period.
2. Income includes: (a) employment pay, (b) retirement income, (c) public assistance, (d) disability pay, (e) child support, (f) alimony, and (g) income from assets or other legitimate activity
3. Debt to Income Ratio: A family meets this criterion if its total non-housing debt payment does not exceed 10% of family income. Other factors may be considered.
4. Monthly Payment Consistency: If the family has demonstrated the ability to make regular monthly payments for rent, utilities and all other credit obligations, this criterion is met.
5. Liens and Judgments: If the family has no liens or judgments that cannot be cleared prior to closing, then this criteria is met.
6. Closing Costs: A family meets this criterion if the family has available, or can accumulate prior to closing, the amount needed to meet the down payment, utility deposits, homeowner insurance premium, moving costs and other incidental expenses occurring at time of closing. There is also a maximum income guideline

Family Selection Income Guidelines

The income limits used by the Family Selection Committee are based on guidance provided by the Kern County for FY2010 Income Limits Summary.

1. Families whose income is less than 25% of the median probably could not meet the Ability to Pay criteria.
2. Families whose income is greater than 50% of the median probably could get housing through other programs.
3. Exceptions may be made based on extenuating circumstances.