BALTIMORE CITY / HEALTHY NEIGHBORHOODS
MATCHING REHAB GRANT
To help stimulate the purchase and renovation of homes and the home improvement for owner-occupied homes in the 41 “Healthy Neighborhoods” Baltimore City has committed $1 million to match dollar-for-dollar rehab loans made from the Healthy Neighborhoods Loan Pool to eligible borrowers. The maximum match is $10,000. In 2005 Healthy Neighborhoods and 10 banks established a $40 million loan pool, the Healthy Neighborhoods Loan Pool, which lends at favorable terms and below-market rates to finance and improve homes in Baltimore’s middle neighborhoods.
To be eligible for a Matching Rehab Loan a borrower must:
- be an owner-occupant of or be purchasing a home in a Healthy Neighborhood;
- borrow at least $5,000 for rehab from the Healthy Neighborhoods Loan Pool; and,
- earn no more than 120 % of 2014 Adjusted Area Median Income.
TERMS OF THE LOAN
For the full term sheet, click here.
Under the new program, homebuyers who buy and renovate homes or homeowners who seek funds to improve their homes receive a dollar-for-dollar match of the rehab loan from the Healthy Neighborhoods Loan Pool.
During the first five years of occupancy, the Matching Rehab Loan will be structured as a recoverable grant and recorded as a second or third deed of trust against the property. The borrower shall pay the cost of recordation of the deed of trust which cost may be included in the loan. All closing costs, including loan inspection fees will be charged to the borrower and may be paid from the proceeds of the loan. Matching Rehab Loans will be reduced by 20% for each complete year that the borrower owns and occupies the property after rehabilitation is complete. No points, only third party costs will be charged on these funds.
FOR MORE INFORMATION
Healthy Neighborhoods, Inc.
2 East Read Street, 2nd Floor
Baltimore, Maryland 21202
Telephone: 410-332-0387 ext. 148