Moderately priced dwelling units must not be sold or rented at prices or rents that exceed the maximum prices or rents established under this section.
(A) Sales.
(1) Sales of MPDUs within each development subject to this section, must meet the following requirements:
(a) One-third of the MPDUs for sale in each development must be sold to a person whose income does not exceed 70% of the FCMI;
(b) One-third of the MPDUs for sale in each development must be sold to a person whose income does not exceed 80% of the FCMI; and
(c) One-third of the MPDUs for sale in each development must be sold to a person whose income does not exceed 90 % of the FCMI.
(2) The applicable sales price for each MPDU shall be determined based on the 70%, 80% and 90% FCMI thresholds to ensure that, within each threshold band, the respective buyer’s total monthly mortgage payment does not exceed 30% of their threshold monthly income.
(3) The Director may allow an applicant to pay an increased sale price for an MPDU when the Director finds, in exceptional cases, that a price increase is justified to cover the cost of modifying the external design of the MPDUs when a modification is necessary to reduce excessive marketing impact of the MPDUs on the market rate units in the subdivision. The Director must approve the amount of any increase for this purpose, which must not exceed 10% of the allowable base price of the unit.
(1) The rent, excluding utilities when they are paid by the tenant, for any MPDUs within each development subject to this section, shall be set as follows:
(a) One-third of units must be rented at a rate equivalent to 30 percent of the monthly income of a household whose annual income does not exceed 60% FCMI;
(b) One-third of units must be rented at a rate equivalent to 30 percent of the monthly income of a household whose annual income does not exceed 70% FCMI; and
(c) One-third of units must be rented at a rate equivalent to 30 percent of the monthly income of a household whose annual income does not exceed 80% FCMI;
(2) The Director, in setting the maximum rent for the rental units, must consider the current cost of building MPDUs, available interest rates and debt service for permanent financing, current market rates of return or investments in residential rental properties, the value of the MPDU at the end of the control period, and any other relevant information. The Director must consult with the rental industry, employers and professional and citizen groups to obtain statistical information and current general market and economic conditions which may assist in setting a current maximum rent. The Director must consider the extent to which, consistent with county codes and housing standards, the cost of MPDU rental housing units can be reduced by the elimination of amenities. The Director must also consider from time to time changes in the income levels of persons of moderate income and their ability to rent housing.
(Ord. 02-25-321, 11-21-2002; Ord. 14-23-678, 11-13-2014; Bill No. 22-27, 10-18-2022)