Guam § 4703 - First-time Homeowner Assistance Program.

§ 4703. First-time Homeowner Assistance Program.

(a) Entitlement to Assistance.

(1) Assistance is payable on an application under this

Act if:

(A) the applicant complies with the eligibility

criteria; and

(B) the transaction for which the Assistance is

sought is an eligible transaction.

(2) Only one (1) First-time Homeowner Assistance is

payable for the same eligible transaction.

(b) Eligibility Criteria for Applicants.

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(1) An applicant for first-time homeowner assistance

must be a natural person.

(2) Applicant must be a United States citizen or

permanent resident alien who is a Resident of Guam.

However, unless advised otherwise by the Attorney General

of Guam, Guam Housing Corporation shall satisfy demand

by U.S. citizens before considering permanent resident

aliens who are residents of Guam for the program.

(A) Subject to Subsection (B), an applicant for

first-time homeowner assistance must be a United

States citizen or permanent resident alien who has been

a resident of Guam for a period of not less than five (5)

years immediately preceding the commencement date

of the eligible transaction for which the applicant is

applying;

(B) An applicant who has not been a five (5) year

resident for the period immediately preceding the

commencement date of the eligible transaction for

which the applicant is applying, may qualify for these

programs if the applicant’s residency change was due

to active service in the United States Armed Forces or

for attendance, on a full-time basis, at an off-island

institution of higher education; provided, that the

applicant was a five (5) year resident for the period

immediately preceding the start of such active duty or

education.

(3) Applicant must certify, under penalty of perjury, of

being a First-time Homeowner in accordance with § 4702 of

this Act, and must receive a Certificate of First-time

Homeownership.

(4) Applicant must receive clearance from the Director

of Revenue & Taxation that all income tax returns, business

privilege tax returns and withholding tax returns which are

due from the applicant have been filed (or an extension has

been approved or granted thereon by the Director of

Revenue & Taxation, which extension has not expired), and

that all taxes thereon have been paid or arrangements have

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been made with the Director for payment thereon and such

arrangements are current.

(5) Applicant must attend and complete a home

ownership education program and/or workshop or other

similar program, as approved or provided by the GHC.

(6) Applicant or (applicant’s spouse) must not have

received earlier assistance under this Program:

(A) Subject to Subsection (B), an applicant is

ineligible if:

(i) the applicant or the applicant’s spouse has

been a party to an earlier application under this

Act; and

(ii) assistance was paid on the application.

(B) An applicant is not ineligible if the assistance

was paid but later paid back to the GHC under the

conditions on which the assistance was made, unless

payment back to the GHC was due to fraud or other

illegal acts.

(c) Occupancy Requirement. Applicant must occupy the

home to which the application relates as the applicant’s principal

place of residence within six (6) months after completion of the

eligible transaction. Payment of Assistance shall be paid

pursuant to § 4705(c) of this Act.

(d) Eligible Transactions. An eligible transaction is:

(1) a contract made for the purchase of a home in

Guam not to exceed Three Hundred Seventy-five Thousand

Dollars ($375,000), and shall not include down payment

and closing costs;

(2) a comprehensive home building contract made by

the owner of land in Guam, or a person who will on

completion of the contract be the owner of land in Guam, to

have a home built on the land not to exceed Three Hundred

Seventy-five Thousand Dollars ($375,000), and shall not

include down payment, land, and closing costs;

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(3) an eligible transaction shall include all the money

paid, or to be paid, by a homeowner or the construction

cost, inclusive of the land value, for the home.

(e) Commencement Date. The commencement date of an

eligible transaction is:

(1) in the case of an applicant purchasing a home, the

date when the contract is signed between the buyer and

seller; or

(2) in the case of an applicant building a home, the date

when the construction contract for which the home is to be

built is signed.

(f) Eligible Transaction. An eligible transaction is

completed when:

(1) in the case of an applicant purchasing a home:

(A) the purchaser becomes entitled to possession

of the home under the contract; and

(B) if the purchaser is to obtain a registered title to

the land on which the home is situated, the necessary

steps to obtain registration of the purchaser’s title have

been taken.

(2) in the case of an applicant building a home, the

building is ready for occupation as a place of residence as

identified by the issuance of a certificate of occupancy by

the Guam Department of Public Works, or the execution of

the contract for the purchase of a home, whichever occurs

first.

(g) Eligible Transaction Amount Adjustment. The Board

shall from time to time, conduct a study to determine the cost of

the median price of housing on Guam, and shall by resolution

adopted by the Board increase or decrease the amount of the

eligible transaction to reflect changes in market price.