It’s essential that all residents, no matter the income or situation, have access to programs and financial assistance in order to repair, maintain, or make necessary modifications to their home. Luckily, there are multiple programs and grants in place to help.
See below for useful information on how to get help with home repairs by utilizing these programs and options available to you.
USDA Program 101
This program is also referred to as the Section 504 Home Repair Program. This program is sponsored and provided by the USDA and assists rural residents in predetermined areas with necessary repairs, modernizations, and improvements to their home. Only those that have been unable to secure a loan elsewhere and who are below 50% of the median income level for the area will qualify. There are also grants available sometimes to those who are 62 years of age or older.
The stipulations and terms of the USDA Program 101 loans are clearly laid out, and include some of the following:
- The loan can be for no more than $20,000
- The grant can be for no more than $7,500
- The interest rate of the loan is set at 1%
- The grants do not need to be repaid unless the property is sold before a time period of 3 years is up
- Loans will be repaid over the course of 20 years
HUD Title 1 Property Improvement Loan
This type of loan is given in conjunction with a private lender and can be used to finance large and small improvements for those who qualify. The improvement loan does not have to be for a structure that is residentially occupied but must be used in order to substantially improve the condition and/or livability of the property.
HUD 203(k) Rehabilitation Mortgage Insurance
This program is available to FHA home buyers in order to improve, repair, or upgrade their home; up to $35,000 can be financed. All repairs and improvements must first be inspected and approved by a certified home inspector and/or an FHA home appraiser.
This program is different than other programs available in that it can be financed along with a new mortgage in order to facilitate the rehabilitation of a new home purchase. It can also be combined with the current mortgage of a home already purchased in order to secure necessary rehabilitation to the home.
Stipulations of the loan state:
- The home must be at least 1 year old.
- Repairs must exceed $5,000
- The total value of the home must fall within FHA limitations in the area
- Repairs are required to meet energy efficiency and structural standards in accordance with HUD guidelines.
Area Agency on Aging
This establishment is focused on helping seniors age and continue to reside within their homes. In order to accomplish this, this program often will offer assistance to qualified seniors in order to make necessary modifications and/or repairs to their home so that they can continue to safely live there.
This is a non-profit organization that, together with volunteers and skilled tradesmen, helps those in need by providing critical repair services to homes for families and individuals in need - up to 10,000 each year.