Illustration. The following is an illustration of the computation of the break-even amount based upon hypothetical amounts.
(1) Operating Expense (see § 904.109 ): | ||
Administration | $8.50 | |
Homebuyer services | 2.00 | |
Project supplied utilities | 3.00 | |
Routine maintenance-common property | 3.00 | |
Protective services | 2.00 | |
General expense | 6.50 | |
Nonroutine maintenance-common property (Contribution to operating reserve) | 2.00 | $27.00 |
(2) Earned Home Payments Account (see § 904.110 ) | 12.00 | |
(3) Nonroutine Maintenance Reserve (see § 904.111 ) | 7.50 | |
Break-Even Amount | 46.50 |
The break-even amount does not include the monthly allowance for utilities which the homebuyer pays for directly, nor does it include any amount for debt service on the Project notes.
24 C.F.R. §904.108