| Author |
Message |
|
|
lillibridge
Guest
0.10 Dollars($)
|
 Posted: Sat Feb 17, 2007 4:06 pm Post subject: rural housing repair and rehabilitation loan |
|
|
I have heard about rural housing repair and rehabilitation loan of HCFP for people with very low income and residing in rural areas. I am not able to find much details about it. If anyone can provide how this program works and who is eligible for the loan, that will be great help.
_________________
Need help choosing the right loan? Get free consultation from community lenders/consultant |
|
| |
|
 |
 colin
Moderator
Joined: 30 Jun 2006
Posts: 602
Location: Waltham, Massachusetts
112.62 Dollars($)
|
| Posted: Sat Feb 17, 2007 4:26 pm Post subject: |
|
|
Hi Lillibridge,
Welcome to Mortgagefit forum.
I can provide you with the details about this program.
Housing and Community Facilities Programs (HCFP) which is an agency of the U.S. Department of Agriculture (USDA) provides this loan.
Rural Housing Repair and Rehabilitation Loan (RHRRL) also called Section 504 program is available for residents of rural areas/non-metropolitan areas having very low income.
It can be used for repairs or modernization of a home or for removing health & safety hazards. This loan is a 1% loan with minimum or no application & closing costs and can be repaid over a twenty year period.
To be eligible for the loan the homeowner's income should be below fifty percent of the area median income and the loan is only available to sixty two years or older homeowners.
Colin |
|
| |
|
|
lillibridge
Guest
0.10 Dollars($)
|
| Posted: Sat Feb 17, 2007 4:39 pm Post subject: |
|
|
| is there any limit on the maximum loan amount and the type of improvements allowed to be done or any standard that should be met? |
|
| |
|
|
blue
Joined: 21 Oct 2005
Posts: 1138
Location: MARYLAND
137.62 Dollars($)
|
| Posted: Sat Feb 17, 2007 5:00 pm Post subject: |
|
|
Hi Lillibridge,
I have some more information for you.
Under this program loans up to $20,000 & $7,500 of grants are available. If the loan amount is $7,500 or more then a mortgage & full title service is required. A combination of grant and loan is made if the person can repay part of the cost. Such combined amount can be up to a maximum of $27,000. Grant funds under this program can only be used to pay for such repairs & improvements which result in removal of safety and health hazards. In addition such grants can be recaptured in case that property is sold within 3 years.
Regarding the standards for repairs, if water & waste system or related fixtures are installed then those should meet local health department specifications. And the water supply and sewage disposal system should be as per the HCFP specifications.
Do let me know if you need any further assistance.
Thanks
Blue
_________________
Lets help each other. Try my blog |
|
| |
|
|
