Group to Build House for Low-Income Family : Thousand Oaks: Habitat for Humanity plans to sell the home through a zero-interest loan. Officials hope the idea spreads.

Habitat for Humanity is preparing to build a house in Thousand Oaks for a low-income family to buy with a no-interest loan, the first such project since the Ventura County chapter of the nonprofit group started 10 years ago.

Thousand Oaks officials have committed up to $80,000 to buy land for the project. Land costs represent the single largest expense blocking home ownership for low- and moderate-income families in Ventura County, organizers said.

Until now, the group has used its volunteers and money on mostly rehabilitation of residences occupied by senior citizens and disabled people throughout the county, said Bruce Wallick, the project’s volunteer director. The nationwide group helps build and rehabilitate low-cost housing for needy families.

Recently, a prefabricated house was donated to the group and moved to Oak View for a low-income man to buy, Wallick said. But the Ventura County group has never built a house from the ground up, he said.

Organizers hope other cities will follow the lead of Thousand Oaks so similar projects can sprout across the county, Wallick said. The city’s Redevelopment Agency is paying for the land, officials said.

“We absolutely hope there will be many more,” Wallick said.

State law requires redevelopment agencies to spend 20% of their funds on affordable housing, said Olav Hassel, the city’s housing services manager. The agency’s primary purpose is to collect property taxes from the city’s downtown to reinvest in area improvement projects.

But before the money is doled out to Habitat for Humanity, the group must ensure that neighbors are agreeable to the idea, Hassel said. The Redevelopment Agency, made up of Thousand Oaks City Council members, must approve the lot for purchase before it can be sold, Hassel said.

“Habitat will have to be welcomed by residents in the area,” Hassel said.

Organizers have not picked a site for the house, Wallick said. Volunteers are talking to neighbors in areas under consideration to explain the project and gauge reaction, Wallick said.

As with Habitat for Humanity projects across the nation, the family chosen to move in will be required to work 500 hours with the organization in lieu of a down payment.

“Habitat’s goal is to build communities, not houses,” Wallick said.

The family will have to pay back only the cost of the materials, expected to be about $65,000, organizers said. The loan from Habitat will be without interest, which will bring the payments to about $400 per month.

To qualify for consideration, families must meet state guidelines qualifying them as very low-income families. For instance, a family of four must earn less than $27,600 to be considered for the house, said Virgil Nelson, the group’s executive director.

Restrictions on the deed will require the house to be sold only to low-income families. If it is sold to a family that is not low income, Habitat will be required to pay back the Redevelopment Agency’s money, officials said.

About 150 volunteers from the Thousand Oaks area have stepped forward to help with everything from office work to fund-raising and construction, including a local architect who has volunteered to design the house, Wallick said.

Organizers are hoping to begin construction in March and finish within eight months, Wallick said.