(5/3) With the rising cost of real estate
in the county, middle- and low-income families
have found themselves pushed out of the
county. Thurmont may take advantage of a
county program to help keep those families in
town.
The Frederick County Commissioners adopted
a Moderately Priced Dwelling Unit program in
2002. The program caps sales prices and rental
fees on dwelling units and targets to
price-controlled units to residents earning
moderate incomes. Frederick County’s first
eight MPDUs are in the process of having their
sales closed. The county program only applies
to projects outside of municipal boundaries,
though.
“If its really going to be effective, it
needs to be spread out,” Margie Lance,
coordinator MPDU program told the town
commissioners during their April 24 meeting.
Mayor Martin Burns said there is a
possibility that if the town were to adopt the
county’s program, there is a possibility that
the county could administer the program for
the town.
“It’s a good program,” Burns said. “I see
it as a win-win for everyone.”
This would promote the programs goal of
increasing the county’s supply of MPDUs as a
natural function of development.
The new program applies to developments of
25 or more units that are on public water and
sewer. These developments are required to have
at least 12.5 percent of their units as MPDUs.
MPDUs can be slightly smaller, on smaller lots
or not as many features as market-priced
homes. If the developer creates a greater
percentage of MPDUs, the development can
receive density bonuses that allow for the
creation of greater density than allowed by
the zoning.
These units have price controls on them for
15 years if they are units for sale and 25
years if they are units for rent. The program
also sets stipulations for the sale of MPDU
units. A house which costs $335,000 at market
value would probably sell for around $177,000
as an MPDU.
The income limits are based on federal
standards. For rental units, the county uses
50 percent of the federal Department of
Housing and Urban Development limit and 70
percent for home buyers. This means a family
of four can qualify for a Frederick County
MPDU to buy if they earn no more than $66,150
and no more than $47,250 if the family wants
to rent an MPDU.
For more information on the program visit
Frederick County’s web site at
www.co.frederick.md.us/housing.
