Laserfiche WebLink
Draft Exhibit B-11 <br /> Terms of the City's Last Resort Deferred Loan Fund <br /> The Last Resort Deferred Loan program is designed specifically for homeowners in the City <br /> of New Brighton that have home improvement needs but do not qualify for other home <br /> improvement loan or grant programs. Applicants will be considered for this program only <br /> after it is determined that they are not eligible for all other traditional home improvement <br /> program options, including MHFA, CEE, CDBG, etc.. <br /> 1. Available Funding/Eligible Properties: Funding will be available in the form of a deferred <br /> payment loan up to $10,000 for owner-occupied permanent single-family and two unit <br /> homes. Owner-occupied mobile homes are also eligible for funding of up to $7,500. <br /> 2. Interest Rate: 0% <br /> 3. Loan Term: The loan is due and payable when the home is sold or title transferred or after <br /> twenty(20)years from the date of the loan note, whichever comes first. The loan may be <br /> prepaid at any time. The City, at its discretion, may extend the maturity date of the loan. <br /> 4. Income Limit: Annual household income should be calculated based on current gross <br /> income projected forward 12 months. <br /> FAMILY SIZE 110% OF MEDIAN <br /> 1 $64,680 <br /> 2 $73,920 <br /> 3 $83,160 <br /> 4 $92,400 <br /> 5 $99,880 <br /> 6 $107,250 <br /> 7 $114,620 <br /> 8+ $121,990 <br /> 5. Loan Security: All deferred loans will be secured with a mortgage or lien in favor of the <br /> City. Borrowers will pay all filing fees. <br /> 6. Loan - to -Value Ratio: The ratio of all loans secured by the property, including the new <br /> loan must not exceed 110% of the property value. <br /> 7. Underwriting Decision: Standard and prudent underwriting criteria will apply. This <br /> program is not available to borrowers with pending bankruptcies or foreclosures, unpaid <br /> judgments or liens, or non-payment of real estate taxes/assessments. Property owners must <br /> be current on all mortgage payments. CEE will approve or deny loans based on a credit <br /> report, income verification and other criteria as outlined above. <br /> 8. Eligible Improvements: Eligible improvements will be determined through a site visit to <br /> the property by a CEE Remodeling Advisor. <br /> City of New Brighton Home Improvement Program Page B-4 <br /> Center for Energy and Environment 6/2011 <br />