Lena Springs Estates

What Lena Springs Estates's governing documents say

This is a restrictive covenant recorded against a single-family home lot (Lot 21 of Lena Springs Estates) in Navassa, NC, as part of an affordable housing program. It binds the current and future owners of this specific property, not the entire community. The document is a deed restriction tied to a second mortgage loan from the North Carolina Housing Finance Agency, requiring the home to remain owner-occupied and affordable for 10 years.

• Owner-occupancy requirement: The owner must occupy the residence as their principal residence within 60 days of the declaration date and for the entire 10-year affordability period.
• Leasing & rentals: Renting the residence or any part of it is prohibited. The property cannot be used as an investment property, recreational home, or second home.
• Business use restriction: The residence cannot be used primarily for a trade or business, and the owner may not deduct any portion of the home as a business expense on tax returns.
• Affordability period: The restrictions last for 10 years from January 27, 2022. A sale or refinancing does not end the period. The restrictions may revive after foreclosure if the prior owner reacquires the property.
• Transfer & recapture: Any transfer of title or possession requires prior written approval from NCHFA. If the sale proceeds are insufficient to pay the loan in full, NCHFA may accept net proceeds, but can demand full payment if the sale price is below fair market value.
• What this document doesn't cover: This document does not create a homeowners association, set architectural rules, regulate pets, parking, or other typical HOA matters. It only imposes affordability and occupancy restrictions on this single lot.

Plain-language summary generated from the governing documents on file for this community. It may be incomplete and is not legal advice — read the full documents below or consult the official recorded versions.