Nonprofits, Tinmouth family collaborate efforts
Toolbox
By Bruce Edwards Herald Staff - Published: September 1, 2008
TINMOUTH — October Hill, Tinmouth's affordable housing project, got off the ground last week with the first of four homes assembled on site off Mountainview Road.
The project is a collaborative effort between the Tinmouth Land Trust and NeighborWorks of Western Vermont. The two nonprofit organizations came up with a plan last year to build high quality, energy-efficient single-family homes on a 10-acre site at an affordable price.
Helping to make the homes affordable was the anonymous donation of land by a long-time Tinmouth family. In addition, each of the four homes receives a $40,000 grant from the Vermont Housing and Conservation Board and a $15,000 grant from the Federal Home Loan Bank. Donated labor and shared septic system also further reduces the cost, representatives from the Tinmouth Land Trust have said.
NeighborWorks spokeswoman Mary Lamson said buyers are also being helped with special mortgage packages, including low-cost mortgage insurance.
"For the buyer, they have lower payments or more buying power," Lamson said.
Last week, a crane lifted and placed the two sections of the first modular home on its foundation. With the exception of flooring and a few odds and ends, the house arrived complete, said Greg Over of NeighborWorks, who is overseeing construction. Over said it will take about three weeks to "stitch up" the house and hook up the utilities.
The Tinmouth Land Trust initially pegged the estimated price of each home at $260,000 but the actually construction costs came in well below that at $195,000, said Land Trust member Susan Lloyd.
But with the grants and the NeighborWorks financing package, Lloyd said the actually cost to the buyer is in the neighborhood of $120,000 to $130,000.
She said the maximum income to qualify for one of the home for a family of four is $48,000.
The Land Trust's primary mission has been to conserve land and that effort has made the town an attractive place to live. But Lloyd said as property values escalated in Vermont, including Tinmouth, many people found themselves priced out of the market.
"We started the project because there was so much anecdotal evidence people couldn't find homes for their kids to live in," she said.
The first family to move into October Hill will be Jeb Smith and Megan Esslinger of Clarendon. Lloyd said the couple and their two children will move into their new home later this month.
The 10 acre parcel south of town is surrounded by 200 acres of conserved land. Each 1 1/2 story, three bedroom homes sit on a third of an acre. To ensure that the homes stay affordable in perpetuity, a covenant restricts how much profit the homeowner can realize when they sell their home.
Built by Preferred Building Systems in Claremont, N.H., Over said the Energy Star-rated modular homes are of the highest quality.
"I've built for 30 years on site and I couldn't build them as good as what they're building because my construction was always subject to the Vermont elements," Over said.
The 1,750 square foot home includes an unfinished basement, a deck and comes with a detached garage.
The Land Trust and NeighborWorks are seeking applications from qualified buyers for the three remaining homes.
Lloyd said they've received 18 applications so far but several applicants either were below or exceeded the income levels.
Given the current real estate market, Lamson said interest remains low.
"The current atmosphere of the real estate market has people nervous," Lamson said. "The state of the economy has people nervous so it has been difficult to find qualified buyers."
She added that once the market rebounds the three remaining homes should sell fairly quickly.
Prospective buyers should contact NeighborWorks at 438-2303.
Contact Bruce Edwards at bruce.edwards@rutlandherald.com.
20