GOALS:

To address and correct dangerous conditions in a residence which present a threat to the personal health or safety of the home-owner, based upon City building code requirements and federallead hazard regulations.

MAXIMUM LOAN AMOUNT:

A maximum of $15,000 will be made available for selected rehabilitation assistance and mandated lead hazard clearance.*

ELIGIBILITY:

•    Homeowners within the city limits of Mobile.
•    Total household incomes under 80% of the local median income.
•    Clear title to the property (no liens or judgments).
•    Loan cannot exceed appraisal value of house. 

FORMS OF ASSISTANCE: 

Very low-income households may be eligible for a non-payment loan. Ten percent of this loan is forgiven annually, with the entire loan forgiven at the end of 10 years.   Low-income households will be eligible for repayment loans with interest rates below the prevailing home mortgage loan rates based upon the income range of the applicant.    *If the cost of code and lead hazard compliance exceeds the $15,000 loan maximum, the homeowner will be required to demonstrate capacity to fund additional costs prior to loan being approved. 

Examples of household income limits:

PRIORITY APPLICATIONS:

Applications will be taken on a first-come/first served basis.  Priority will be given to applicants who meet the following criteria:

•   Head of household – age 62 or older;
•   Household members having a physical disability needing special accommodations, as required under the Americans
    with Disabilities Act; 
  
  
•   Children under the age of 6 in the house-hold testing with elevated lead level counts   attributable to housing   conditions.
   

ELIGIBLE REPAIRS

INTERIOR OF STRUCTURE

1.   Heating
2.   Electrical
3.   Plumbing
4.   Floor systems
5.   Accessibility needs for special populations.
6.   Energy efficiency improvements, including doors and windows.
7.   Others as necessary for the correction of safety-related items.

EXTERIOR OF STRUCTURE

1.   Repair or replacement of roof systems.
2.   Repair or replacement of rotted wood, pier foundations, or other defective materials.
3.   Accessibility needs for special populations.
4.   Others as necessary for the correction of safety-related items or additional security needs; i.e.; the addition of       security locks (not including burglar bars).

LEAD HAZARD REDUCTION

HUD regulations mandate that all homes built prior to 1978 must be made safe for young children from lead-based paint hazards.  A portion of your funds will go toward interim lead controls in order to pass a lead clearance test conducted by a certified Lead Based Paint firm or agency.

FREQUENTLY ASKED QUESTIONS

Will I have to put a mortgage on my home?

YES!  The Mobile Housing Board does secure its loans with a home mortgage.  Please refer to the FORMS OF ASSISTANCE section to see the type of mortgage for which you might be eligible.

Do I have to pay any out-of-pocket expenses?

NO.  There are no closing costs associated with this loan.  All loan funds will go toward rehabilitation work.

What if my home needs more work?

You may reapply for additional work each time the Mobile Housing Board has an open application period.  You will refinance your mortgage each time.

Who determines what work I will need?

The scope of work to be done will be determined by a Rehabilitation Specialist of the Mobile Housing Board working with the applicant.

How do I get a contractor?

Contractors may be selected from a list provided by the Mobile Housing Board or any contractor who meets the Mobile Housing Board’s criteria.

For More Information on the HOME REPAIR LOAN/GRANT PROGRAM  contact:

The Community Development Division
151 South Claiborne Street
Mobile, Alabama 36602