Property Improvement Loan Insurance for Improving All Existing Structures and Building of New Nonres

To facilitate the financing of improvements to homes and other existing structures and the building of new nonresidential structures.


Agency - Department of Housing and Urban Development

The Department of Housing and Urban Development's mission is to increase homeownership, support community development and increase access to affordable housing free from discrimination. HUD fulfills this mission through high ethical standards, management and accountability, and by forming partnerships with community organizations.

Office - Contact HUD at 800-767-7468 for a program brochure #2651 and list of lenders.


Program Accomplishments

In Fiscal Year 2007, HUD insured 2,970 loans.

Uses and Use Restrictions

HUD insures lenders against loss on loans.

Insured loans may be used to finance alterations, repairs, and improvements for existing structures and the building of new nonresidential structures which substantially protect or improve the basic livability or utility of the properties.

The maximum loan amount is $25,000 for improving a single family home or for improving or building a nonresidential structure.

For improving a multifamily structure, the maximum loan amount is $12,000 per family unit, not to exceed a total of $60,000 for the structure.



Eligibility Requirements

Applicant Eligibility

Eligible borrowers include the owner of the property to be improved, a lessee having a lease extending at least 6 months beyond maturity of the loan, or a purchaser of the property under a land installment contract.

Beneficiary Eligibility

Individuals/families.

Credentials/Documentation

The responsibility for credit approval of borrowers is exercised by HUD-insured lenders. This program is excluded from coverage under OMB Circular No. A-87.

Aplication and Award Process

Preapplication Coordination

None.

This program is excluded from coverage under E.O.

12372.

Application Procedures

The borrower applies directly to an insured lender, or through a lender's approved dealer. This program is excluded from coverage under OMB Circular Nos. A-102 and A-110.

Award Procedures

None.

Deadlines

None.

Authorization

National Housing Act, Title I, Section 2, as amended, 12 U.S.C. 1703.

Range of Approval/Disapproval Time

HUD does not participate in the approval or disapproval of individual loans.

Appeals

Reapplication in case of refusal should be submitted to an approved lender.

Renewals

Not applicable.

Assistance Considerations

Formula and Matching Requirements

HUD insures private lenders against losses of up to 90 percent of any single loan with maximum insurance coverage limited to a total of 10 percent of the total amount insured. The interest rate is a negotiable interest rate agreed upon between the borrower and lender. The annual insurance charge is $1 per $100 of the amount advanced.

Length and Time Phasing of Assistance

Loans mature in 20 years and 32 days or earlier. Loans may be refinanced, but may not extend beyond 30 years from the date of the original note.

Post Assistance Requirements

Reports

None.

Audits

The Department of Housing and Urban Development reserves the right to audit the accounts of lenders in order to determine their compliance and conformance with HUD regulations and standards.

Records

Lenders are required to service and maintain records in accordance with acceptable lending practices of prudent lending institutions and the HUD regulations.

Financial Information

Account Identification

86-4077-0-3-371.

Obigations

(Loans insured) FY 07 $42,413,306; FY 08 est $54,367,000; and FY 09 est $54,367,000.

Range and Average of Financial Assistance

The maximum loan amount is $25,000 for improving a single family home or for improving or building a nonresidential structure. For improving a multifamily structure, the maximum loan amount is $12,000 per family unit, not to exceed a total of $60,000 for the structure.

Regulations, Guidelines, and Literature

"Fixing Up Your Home," HUD-52-H(7), no charge.

Information Contacts

Regional or Local Office

Contact HUD at 800-767-7468 for a program brochure #2651 and list of lenders.

Headquarters Office

None.

Criteria for Selecting Proposals

Not applicable.



Social Entrepreneurship
Spotlight



Social Enterprises: Key to Enhancing a Nation’s Health

Social Enterprises: Key to Enhancing a Nation’s Health
Glasgow Caledonian University (GCU) has launched a series of noteworthy research projects to learn if...



Jobs in the Social Sector

  Fundraising & Development Jobs
  Program Director Jobs
  Social Services Jobs
  Foundation Related Jobs
  Education Jobs





More Federal Domestic Assistance Programs


Foreign-Trade Zones in the United States | Ready-To-Learn Television | Measuring Interoperability Progress through Individuals Access and Use of the Electronic Health Data | VHA Primary Care | Help America Vote Mock Election Program |  Site Style by YAML | Grants.gov | Grants | Grants News | Sitemap | Privacy Policy


Edited by: Michael Saunders

© 2004-2016 Copyright Information Organizers, LLC