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YOU CAN Keep
Your Home Safe, Livable and Accessible!
Rehabilitation Loan Program Summary
Am I
Eligible for a Minnesota Housing Rehabilitation Loan?
Yes, if you:
-
Own and occupy the property as your principal residence for more than
six months.
-
Have clear title to the property (contracts for deed & life estates are
ineligible).
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Mortgage payments are current.
-
Real estate taxes are current.
-
Homeowners insurance is current and levels of coverage meets program
requirements.
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Do not have assets that exceed $25,000.
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After-Rehab Value of home (tax value of home, including land + total
cost of rehab) may not exceed HUD’s limit. Current limit is
$262,848.85 (11/2009). -
Meet the income limits. Current income limits are:
|
Size
of Household |
11/2009
Income Limits |
Size
of Household |
11/2009
Income Limits |
|
1 Person |
$17,600 |
5 Persons |
$27,150 |
|
2 Persons |
$20,100 |
6 Persons |
$29,150 |
|
3 Persons |
$22,650 |
7 Persons |
$31,200 |
|
4 Persons |
$25,150 |
8 Persons |
$33,200 |
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As a prerequisite to application for the Rehab Loan Program, Borrower
must have applied to the Energy Assistance Program through Lakes & Pines
CAC (1-800-832-6082).
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Homes built prior to 1978 will undergo a lead-based paint inspection and
any potential lead hazards will be addressed.
Loan
Features
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Maximum loan amount is $24,999 (an additional $10,000 may be added to
satisfy any necessary lead-based paint hazard reduction requirements).
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Loan Funds are limited and may not be available at all times. A waiting
list is maintained.
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Maximum loan term is 15 years for properties taxed as real estate and
manufactured homes taxed as real property; and 10 years for
mobile/manufactured homes taxed as personal property located within a
mobile home park. Secured by mortgage and/or lien.
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All loans are interest-free, deferred loans which are forgiven at the
end of the loan term.
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If the borrower sells, transfer title, or ceases to occupy the property
during the loan term, the loan will become due and payable in full.
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During the term of the loan, the Borrower’s ability to use any equity in
the property may be severely restricted. Minnesota Housing allows
subordinations only under limited circumstances and only with prior
written approval.
Improvement Possibilities
Chisago County HRA-EDA administers the Minnesota Housing Finance Agency (MHFA)
Rehabilitation Loan Program which assists low income homeowners in financing
basic home improvements that directly affect the safety, habitability,
energy efficiency of their homes. Some of the possible repairs include
updating electrical wiring, furnace replacement, plumbing, roofing and
septic repairs. Lead paint hazards will be addressed.
To
Apply:
Please contact Chisago County HRA-EDA, 651-674-5664, for an application.
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