This is a program for ensuring the community's ability to conserve, rehabilitate and improve residential properties occupied by low-to-moderate (LMI) residents
Owner-Occupied loans provide 0% interest loans with deferred payment
for home repair loans for LMI owner occupants.
RENTAL REHABILTATION
Rental Unit loans provide 0% interest loans for repairing units rented to LMI tenants
and/or creating new low or moderate income rental units by:
converting vacant properties into rental units
and/or converting large single-family homes into duplexes
Repairs that bring the unit to decent, safe and sanitary condition using HQS Inspection/Evaluation of property.
Examples include but are not limited to:
-Roofs
-Siding
-Windows
-Plumbing
-Electric
-Septic
-Well
-Properties scheduled for sale, acquisition or condemned properties
-Mobile homes in a mobile home park (applicant must own land to be eligible)
-Reimbursement for work which has been contracted for or completed prior to signing agreement with the CDBG program
-Accessory buildings, garages or sheds
-New construction or expansion of the size of the structure
-Owner-occupied or land contract buyer prior to applying. Contract must be written, legally binding and properly recorded. Contract seller will be required to sign mortgage
-Owner of low-to-moderate income renter-occupied unit(s)
-All occupants directly benefiting from the Community Development Block Grant (CDBG) housing rehabilitation program must be at or below the appropriate income limit for their county
-Include all sources of gross income and income from assets for all household members who are at least 18 years of age
-Property taxes paid to date
-Mortgage must be current
-All mortgages, judgments and liens in addition to the rehab cost cannot exceed 120% of the Fair Market Value of the property
-Property must be insured
Please note: All CDBG loans over $50,000 require state approval
If there is a request to subordinate loans, each request will be subject to the following criteria as agreed upon by the Central Housing Region Committee:
-No additional debt can be incurred to the property
-There would be a savings due to a lower interest rate being offered to the borrower
-There would be better terms offered by the bank refinancing the debt