The Rental Rehab program is kind of like a grant in that it is a forgiveness loan. This program finances up to 50% of total rehab costs, or up to the per unit maximums, whichever is less, as a forgiveable deferred loan. This program does not offer financing for acquisitions of property, archetectural plans, or drawings.
The Rental Rehab program is designed to increase the availability of affordable, quality rental housing for low income families within the city limit. The use of the property after rehabilitation must be for multifamily dwellings of 10 or more units.
Who may participate in the program? Any owner who agrees to follow RRP guidelines in providing decent, safe, and sanitary housing to low income households at affordable rents.
How much assistance do I qualify for? You may receive up to 50% of total rehab costs or up to the per unit maximum.
How Do I Know if My Project is Eligible to Recieve Funding?
- Building is located within city limits, contains at least 10 dwelling units or more and requires a maximum of $3,000 of rehab work for each dwelling unit.
- Upon completion of the project the owner agrees to rent a percentage of the units to low income tenants at or below 60% of median income.
- Owner agrees to set maximum rents charged per unit.
- Owner must arrange for the city to conduct annual maintenence inspections of the property.
- The owner must report tenant income and rental information each year.
- RRP funds will not be used to assist owner occupied units.
- The owner must posess a fee simple title to the property.
What is the Application Process?
- Non refundable $250 application fee required at time of application.
- All projects inspected by a city building inspector and the city's archetectural consultant to evaluate existing building conditions and access scope of rehab work.
- The city will provide a preliminary scope of work and construction specifications for the owner.
- All loans are reviewed by a committe comprised of banking and finance departments.
So if you are a landlord or investor who is interested in helping your community by offering affordable housing to struggling families in need, this is the perfect program for you. To better your chances of receiving funding, hire the services of a professional grant writer who shares your vision to help the community and can communicate that thoroughly in the proposal.
To locate rental rehab programs in your area, be sure to consult your local Department of Community Developement and Planning offices.
