Eagle County mortgage professional launches firm that can simplify compliance with deed restrictions
Chris Neuswanger uses mortgage industry technology to track information needed for deed restrictions
Deed restrictions are a common tool for keeping housing units affordable for future buyers and renters. But, like homes, those restrictions require upkeep. Chris Neuswanger believes he’s found a way to make that upkeep a bit easier.
Deed restrictions usually require homeowners and tenants to provide annual statements of compliance with the requirements of those restrictions, usually including statements of where and how much people work. For instance, most restrictions in the county require owners and tenants to prove they work an annual average of at least 30 hours per week in the county. Other restrictions limit tenants’ income.
Neuswanger, owner of Eagle One Financial, a local mortgage company, has found a way to use that company’s technology to make it easier for homeowners, renters and local governments’ housing offices to keep that information current.
Neuswanger said the idea for this venture, called Eagle One Compliance Services, came from 2023 litigation between the town of Vail and the owner of Altus Vail over deed restrictions there.
At the time, Neuswanger thought, “It wouldn’t be hard to police (deed restrictions) with the tools we use in the mortgage business.”
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So Neuswanger got to work building a platform in which each homeowner or renter could build an account with information entered on one side, which the housing agency could monitor.
With the permission of the user, the system can pull information straight from the Internal Revenue Service. That will allow housing agencies to keep better track of work income, rental documents and other information without government staff having to sift through physical documents.
Lots of staff time
That sort of work can stack up staff hours “to the moon,” Neuswanger said.
Vail Housing Director Jason Dietz is in his first year on the job there but formerly held that position in Summit County. In an email, Dietz wrote that he first started looking into software solutions in 2017 in that position.
Technical solutions are becoming more common, he wrote, adding he believes those solutions are something from which the town could benefit. The town is currently looking into “various” platforms, including the one offered by Neuswanger’s company.
Kim Bell Williams, the executive director of the Eagle County Housing and Development Authority, wrote in an email that the county uses a system called Homekeeper, and currently is at 100% compliance, with owners in its deed restriction program “fairly well trained” to complete the form every year.
Technical compliance solutions also ensure the integrity of information, Neuswanger said, even if it’s something as simple as adding a spouse to forms.
You don’t want to lose these
Having accurate information can also provide early warnings to housing agencies in case a homeowner is in danger of foreclosure. Neuswanger noted that in those cases, housing agencies can find themselves in danger of losing a deed restriction. That can be an expensive proposition since those restrictions generally come with government subsidies.
Bell Williams wrote that during the recession that began in 2008, the county had to purchase some units at Miller Ranch in Edwards out of foreclosure to keep the deed restrictions on those homes. It was an expensive proposition, she added.
While Eagle One Compliance is fairly new, Neuswanger said he’s already given presentations to several communities and has had a positive reception.
“I’m confident a lot of these agencies will sign up.
And there’s a lot of potential work. Boulder has roughly 700 units under restriction, he noted. The town of Vail has hundreds of units and is adding more. And, he noted, communities that don’t keep up with compliance can lose those restrictions.
“Denver has lost hundreds,” he said. With the system set up, “I’ll turn it on and let it rip,” he said.
