Rules are set for a new Oklahoma Housing Stability Program. When will Stitt give the go-ahead?
Richard Mize, The Oklahoman
4 min read
A house under construction in southwest Oklahoma City.
Ready, set, build − eventually.
Rules are set now for the $215 million Oklahoma Housing Stability Program created by the Legislature earlier this year to build homes for sale, homes and apartments for rent, and to provide homebuyers with down-payment and closing-cost assistance.
Oklahoma Housing Finance Agency trustees approved emergency rules and applications for the program on Wednesday. If approved by Gov. Kevin Stitt, the agency will start accepting applications within 90 days.
"This is the largest allocation of state-appropriated funds ever designated for housing development," said Deborah Jenkins, the agency's executive director. "We are eager to see the increased development of both for-sale and rental homes the Oklahoma Housing Stability Program will bring."
Abegail Cave with the governor's office said Stitt had received the rules, but she did not have a timeline for when or if he would sign them. He has 45 days from the day they were received.
"We are optimistic that the governor will sign the emergency rules. Based on feedback from the authors of the bill, Gov. Stitt provided input when the bill was being drafted," agency spokesman Holley Mangham said.
Housing developers can apply for zero-interest loans to build rental properties and new homes, but they must be repaid within two years or face interest charges.
Prospective homeowners who make less than $150,000 a year can apply for down-payment and closing-cost assistance. They will not have to repay the funds if they live in the home for three years.
Affordability guided by home size in Oklahoma Housing Affordability Program
"As far as home affordability ... there aren’t price limits per se, but the goal is that the 1,000-2,000-square-foot (requirement) will encourage construction of homes for more entry-level buyers," she said.
Developer says Gov. Kevin Stitt needs to approve Oklahoma Housing Stability Program sooner rather than later
A home for lease in Duncan's Highland Trails addition, an affordable housing project by LW Development in Ardmore.
"I'm hoping the governor signs their emergency rules so they can start making awards early next year for construction to start on several housing projects in the spring. As a renewable resource for housing, we'll get the most out of it if we start using it now," said Lance Windel, owner of LW Development, based in Ardmore.
Windel said he was "pretty involved" in the monthlong process of developing the program rules, along with others in the housing business who gave input and participated in Oklahoma Housing Finance Agency public input sessions. He develops and builds affordable housing across Oklahoma.
"OHFA did an excellent job of outreach across the state seeking input on their rules and the best way to allocate the funds," Windel said. "Just like other good housing programs, I expect there to be tweaks over time that really help maximize the amount of housing the state can get out of the program."
What does the Oklahoma City Metro Association of Realtors think of the Oklahoma Housing Stability Program?
Aerial view of North Pointe Townhomes, 11800 N Western Ave., a tax exempt bond-financed development of 184 apartments by Ardmore-based LW Development.
The Oklahoma City Metro Association of Realtors, which participated in development of the rules, had a mixed reaction.
"While we are excited to see attention and funding put toward the development of housing for Oklahomans, we would have liked to see urban areas receive more than 25% of the allocation," said Anya Mashaney, a member of the association board and owner of Spaces Real Estate in OKC.
In response, Mangham said, "The intention of the authors of the bill, as argued on both houses of the state Legislature, is to create additional housing opportunities across the state, particularly in rural Oklahoma."
Mashaney said the program "is a start toward solving our statewide affordable housing crisis, but we believe the $215 million will be spent quickly, and we hope there will be additional funding programs to bridge the gap and help provide accessible housing for all.”
What does the Oklahoma Association of Realtors think of the Oklahoma Housing Stability Program?
A rental home under construction in northwest Oklahoma City.
The Oklahoma Association of Realtors, which also participated in developing the rules, had a more positive assessment, and was glad to see rural Oklahoma get more attention.
State Realtors are proud to help increase the state housing supply, and glad to have help give Oklahoma Housing Finance Agency input, said Will Gattenby, chief operating officer and interim CEO.
"Recently, a study commissioned by the National Association of Realtors found that America has an issue of an 'underbuilding gap' of more than 5.5 million homes across the U.S. since 2001," he said. "Anything we can do to help close that gap and provide more housing opportunity to Oklahomans is a win, and this program is a great first step, especially in rural communities around the state."
Gattenby added, "We are hopeful that the success of this program will demonstrate the need and ability to help solve housing issues in Oklahoma, and hopefully in the future, we can continue to address those issue in even more urban and suburban communities, as well."
