Federal Grants to Help IL Homeowners Afford Critical Repairs

$6.1 million in grants to stimulate economic activity

CHICAGO – January 22, 2014 – (RealEstateRama) — A new round of $6.1 million in federal funds will help low-income homeowners, including seniors and persons with disabilities, afford the necessary repairs to stay in their homes. The Illinois Housing Development Authority (IHDA) today announced the Single-Family Owner-Occupied Rehabilitation (SFOOR) program will ensure 148 homeowners can keep up with necessary but costly repairs – and will keep communities strong by stabilizing neighborhoods and creating local economic activity.

On behalf of Governor Pat Quinn, IHDA will allocate the federal HOME Investment Partnerships Program (HOME) grant money to 31 public and not-for-profit organizations. Work may include roof repairs, siding, plumbing and heating system upgrades, or window or electrical wiring replacements. Statewide, the work will generate an estimated 45 jobs, $4 million in income and wages for local businesses and $338,600 in local taxes.

“Governor Quinn’s administration is focused on strategies that help keep homeowners in their homes and keep communities intact,” IHDA Executive Director Mary R. Kenney said. “Reinvestment in these homes will help alleviate the financial burden of home maintenance, increase energy efficiency, improve the overall housing stock and create economic activity in communities across the state.”

With the recent approval of the IHDA board, the program will be available to homeowners in May.

Homeowners can apply to the sponsors for forgivable loans of up to $40,000, based on the amount of rehabilitation needed. For expenses up to $14,999, the loan will be forgiven over five years; and loans between $15,000 and $40,000 are forgiven over 10 years. If a homeowner sells their home before the loan expires, they must repay the remaining balance of the loan.

Eligibility Requirements Include:

• Household income must be at or below 80 percent of the area median income (Four-person household: $57,900 in Chicago area; $50,950 in Peoria; $53,700 in Metro East, and; $50,250 in Rock Island)
• Homeowners must continue to occupy the property to be rehabilitated as their principal residence

More information will be available at www.ihda.org, and through the agencies and organizations offering the grant assistance.

The following organizations will make the grant money available to homebuyers in May: