Homeowner Rehabilitation

Low-income households with needed interior repairs may qualify for assistance.

What is a Homeowner Housing Rehabilitation?

A Homeowner Housing Rehabilitation is a program that restores homes that do not meet standard living conditions, but are both financially and structurally feasible for repairs. This does not include homes that only require cosmetic work, correction of minor livability problems or maintenance work. Examples of repairs might be replacing damaged sheetrock, replacing broken fixtures, and installing heating and cooling systems.

How Do I Qualify for a Homeowner Housing Rehabilitation?

The Homeowner Housing Rehabilitation Program is designed to assist low-income households with needed repairs who own their own home and occupy the home as their primary residence.

What is a Low-Income Household?

Households with a total annual household income of no more than 80% of the median income for the area are considered by this program as low-income. Income limit charts are revised annually and can be found at the bottom of this page in the Downloads Section or at the Housing & Community Development Office.

Who Do I Include in my Household?

Anyone who occupies or lives in the home.

What All is Included in Determining my Household Income?

• Wages from a Job
• Retirement Benefits or Pension
• Public Assistance (TANIF, WIC, etc.)
• Social Security Benefits
• Child Support or Alimony
• Business Income

Anyone 18 years old or older who has an income, must provide their income information and be included in the household income calculation.

Any Other Qualifications?

• Property Taxes must be current
• Property owner must have clear title to the property
• Mortgage (if applicable) must be current
• Water Bill must be current
• Property must not have any outstanding property code violations or liens (such as high weeds and grass, debris, junk vehicles, etc.)

Sounds Too Easy! What’s the Catch?

The rehabilitation assistance is in the form of a repayable loan. The repayable loan has two portions: (1) repayable, and (2) forgivable. Anywhere from 5% to 95% of the provided assistance may be repayable. The repayable amount depends on your income and the total amount of assistance provided. Most homeowners will be required to start repayment of the loan within 30 days after the completion of the rehabilitation project. The forgivable portion of the loan will be forgiven over 5 years if all obligations of your loan are met. The City’s repayable loan will be secured by a mortgage on your home.

The homeowner must provide proof of homeowners insurance prior to any assistance being provided and must maintain their homeowners insurance until all obligations with the City have been met and the City has released its lien.

The household will be required to voluntarily move out of the home for a minimum of 60 days. This includes all personal items, furniture, etc. The relocation will be at the sole cost of the homeowner and not paid for by the City.

Not all repairs or improvements requested by the homeowner are guaranteed to be completed. Rehabilitation funds will be used for those repairs necessary to bring the home up to acceptable living conditions.

How Do I Apply for Assistance?

Assistance applications may be found at the bottom of this page in the Downloads Section or picked up at the Housing & Community Development Office.

Submittal Requirements:

• Complete Application
• Social Security Cards for all household members and Driver’s Licenses
• Bank Statements for all accounts from the last two months
• Pay Stubs for the last two months
• Public Assistance Benefit Letter
• Social Security Benefit Letter
• VA Benefit Letter
• Retirement Benefit Letter
• Child Support Statement from DHS
• Divorce Decree
• Last Year’s Tax Return
• Proof of Property Ownership
• Most Recent Mortgage Statement
• Homeowner’s Insurance Certificate

The above list of requirements may not apply to all applicants. Some circumstance may require additional information.

Completed applications along with all required documentation will need to be hand delivered to the Housing & Community Development Office. All household members 18 years old or older will have additional paperwork to sign in our office.

I’ve Applied, What’s Next?

1. Staff reviews application packet and conducts all required verifications
2. Applicant is conditional approved for assistance
3. Staff contacts homeowner to schedule a walk-through and evaluation of the home/repairs
4. Staff sends out bid invitations and receives bids for the required work
5. Homeowner signs all required loan documents and rehabilitation contract
6. Homeowner receives relocation notice (approximately 2 weeks to relocate)
7. Homeowner Rehabilitation is conducted (approximately 60 days)

It may take up to a year after application submittal to receive a homeowner rehabilitation depending on the number of applications and funding levels

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