Clark County Housing Authority
212 S. Main St.

PO Box 57

Greenwood, WI 54437 

Rental Rehabilitation Loans

(715) 267-7356

Rental Rehabilitation Loans - No Interest, Deferred Payment Loans from Clark County:

Doors, Foundation, Furnace, Handicap Accessibility,

Insulation, Painting, Plumbing, Roof Repair,

Septic Systems, Siding, Wells, Windows, and Wiring

What type of loan is available?

NO INTEREST, DEFERRED PAYMENT LOANS. Clark County uses the Community Development Block Grant (CDBG) Revolving Loan Fund to make no interest, deferred payment loans to landlords who agree to fix up units rented to low/moderate income families.

The program works as follows:

1. A landlord who agrees to rent to low and moderate income households can borrow 50% of the rehabilitation cost from a lender of their choice and 50% from Clark County.

2. The CDBG loan will be deferred for the term of the private loan, or it will be deferred one year for every $1,000 of CDBG funds borrowed, whichever is less.

3. Once the bank loan is satisfied, or the maximum allowable deferral is met, the landlord will begin to repay the county at a 0% interest rate over a period of time to be specified by the landlord, but not to exceed 10 years.

OR

1. A landlord who agrees to rent to low and moderate income households can secure a CDBG loan from Clark County to cover 50% of the rehabilitation cost and use personal funds to cover the other 50%.

2. The CDBG loan will not be deferred, but will be paid back at a 0% interest rate over a period of time to be specified by the landlord, but not to exceed 10 years.

Who qualifies?

Any landlord owning a rental property located in Clark County is eligible. However, the landlord will be required to meet both the county's and the private lender's lending requirements.

What restrictions are placed on the rehabilitated units?

Owners of rental property participating in the program must agree to rent to low or moderate income families for a period of five years or the term of the loan, whichever is less. The income limits by household size are as follows:

Household Size Gross Income*

1 $30,750

2 $35,100

3 $39,500

4 $43,900

5 $47,400

6 $50,900

7 $54,450

8 $57,950

*These limits are adjusted annually.

The owners must also agree to maintain the rents at the present level, except for increases to cover loan payback and inflation. Rents must also meet a rent reasonableness standard. These conditions apply for five years or the term of the loan, whichever is less.

What is the maximum loan amount available?

The CDBG loan cannot exceed 50% of the actual cost of rehabilitation and cannot exceed $7,000 per rental unit.

What type of improvements are eligible?

Doors, electrical wiring, furnace, insulation, painting, plumbing repairs, roof repairs, septic systems, siding wells, windows, foundation repairs and handicapped accessibility improvements are examples of eligible projects.

Where can I apply?

You may apply by contacting the Clark County Housing Authority at (715) 267-7356.

If you are eligible, the Housing Inspector will work with you to determine the work description and a cost estimate.

The Housing Authority Board will meet monthly to consider all pending applications. If your loan is approved, the Grant Administrator will provide you with bid specifications for your project.

You choose the contractor and authorize him/her to proceed. A final inspection will be done to review the work and you approve all payment requests.

Updated 3/21/2006