- The maximum deferred loan amount is $25,000.
- The loan is deferred for a period of 15 years with no monthly payments.
- The loan is forgiven over 15 years and does not require repayment unless the home is sold prior to the 15-year forgiveness period. Loans must be repaid upon sale of the home if any balance on the loan remains.
- The combined loan-to-value ratio may not exceed 95%.
- Residents may have only one deferred loan out with the City at a time, unless one of the loans is an emergency loan.
Improvements must be permanent. Such improvements include alterations or repairs to the property that correct defects or deficiencies in the property that affect the safety and habitability of the home. Work can also include upgrading the home’s energy efficiency.
Examples of eligible improvements include:
- Hot water heaters
- Structural repair
Community Development Block Grant
The program is funded through the Community Development Block Grant program under the Department of Housing and Urban Development.