Preliminary Home Buyer Requirements

Guadalupe Valley Habitat for Humanity is an ecumenical Christian organization designed for families with inadequate housing who are motivated to help themselves. We offer an interest free mortgage loan (which includes homeowner's insurance and property taxes.

Persons applying for a Guadalupe Valley Habitat home must be U.S. Citizens or permanent residents of the U.S., and have resided or worked in Guadalupe County for at least six months immediately prior to the date of their application. In addition, the marital status of all applicants must be clear. In other words, they can be married or unmarried, but not separated.

Habitat uses only the following 3 criteria to select partner families:

Ability to Pay

• Total household income is between 30-80% of HUD’s Area Median Income (see chart on the left)

• Monthly expenses, including housing costs are less than 43% of gross monthly income

• Has no outstanding liens or judgments against them

• Able to save $1,000 toward closing costs

Need (not limited to these examples)

• Current housing is overcrowded

• Temporary or transitional housing

• Inadequate plumbing, heating, or wiring

• Current housing and/or neighborhood is unsafe

• Household currently pays more than 30% of total gross monthly income for housing

Willingness to partner

• Agree to complete a minimum of 200 hours of “sweat equity” prior to closing on the home. “Sweat equity” hours are the hours the partner family is required to invest in the construction of their home.

• Agree to complete a series of financial literacy and home maintenance classes.

Steps to Becoming a Habitat Home Buyer

Step 1. Complete a Mortgage Readiness Questionnaire.

Potential Guadalupe Valley Habitat Homeowners must complete a Mortgage Readiness Questionnaire, available to download here, or by visiting the Guadalupe Valley Habitat ReStore (256 W. Court St., Seguin) or contacting our office at (830) 401-0422. If two adults are applying to be homeowners, both persons must complete the questionnaire. Once we have received your completed Mortgage Readiness Questionnaire and verified the information, we will contact you whether your credit and work history meets GVHFH minimum requirements. If your income, credit, and work history DOES NOT MEET our requirements we may refer you to other organizations (at no cost to you) to help you understand how to manage a household budget to better prepare you for becoming a Habitat Homeowner in the future. If your income, credit, and work history DOES MEET our minimum requirements, you will be encouraged to proceed to Step 2 in becoming a Guadalupe Valley Habitat Homeowner. Mortgage Readiness Questionnaires are accepted year-round, including outside of the regular Application Period.

Step 2. Complete an Application.

All potential Habitat Homeowners must complete an Application and submit it during the Open Application Period, March 1-31st, 2021. Applications will be available at the Habitat ReStore (256 W. Court St, Seguin) or on the website for download approximately 1 week prior to the Open Application Period to give applicants additional time to collect documentation on the application. Applications WILL NOT be accepted before or after the Open Application Period closes – NO EXCEPTIONS! Applications will be reviewed for completeness, and applicants will be notified within 30 days following the close of the Application Period if their application is complete or additional information is required. If the application is considered complete, the applicant will proceed to Step 3 in becoming a Habitat Homeowner. If additional information is required, applicants will be notified as to the specific information still needed and allotted a specified period of time to submit the information. Information not received within the allotted time will render the application incomplete and not eligible for the current Application Period.

Step 3. Home visit by Habitat Family Selection Committee.

All Habitat Homeowner applicants must agree to a home visit by the Habitat Family Selection Committee (FSC). During this visit the FSC tours your home to evaluate your need for a Habitat Home based on things such as the following (these are intended as examples only, other conditions may reflect need): overcrowded sleeping arrangements, uneven or weak floors, broken windows, signs of leaks/water damage, inadequate electrical wiring, inadequate plumbing, etc.

Step 4. Habitat Family Selection Committee Final Review.

Family Selection Committee Reviews Applications, if approved by the committee the applications are then presented to our Board of Directors for final approval.)

Step 5. Willingness to Partner.

Once in the program, every family member (18 years and older) is expected to invest 200 sweat equity hours of time and labor in the construction of their home or in the construction of another Habitat home. In addition, future homeowners must attend required financial literacy and homeowner education meetings.

Step 6. Closing on the House.

After all 3 criteria have been met, we will meet with the future homeowner(s) to review what happens when GVHFH formally sells the newly built house to the new homeowner. This is also known as “closing on the house.” Once the homeowner has closed on the house, a Dedication date is set, and then we all celebrate that another deserving family has become a Habitat homeowner.

The whole process takes an average of 6 – 15 months from submitting the Application to Home dedication.