Loan and Grant Programs
Residential Property Rehabilitation Programs
Single Family Development Incentive Grant Program (SFDIG)
The Single Family Development and Rehabilitation Incentive Grant Program is offered to stimulate private single family home development and major renovation projects in accordance with NRHA design standards in designated neighborhood conservation areas. Single family developers and builders are eligible to participate in this program.
The following activities that support homeownership efforts, that may qualify for approval, include one or more of the following:
- Demolition of blighted structures that result in the building of new single family homes on the cleared land and sold to homeowners as their primary residences.
- Rehabilitation of an existing historic home defined as a contributing structure in an officially designated historic area or identified on the National Historic Register.
- Conversion to single family homeownership of a duplex or triplex where the resulting home will be sold to a homeowner as their primary residence. The conversion must result in one fee simple home.
- Conversion of a single family home from rental-market to homeownership where the homeowner will use the property as their primary residence.
The amount of the grant is limited as follows:
- Up to a maximum of $20,000 per structure plus up to $5,000 in matching funds for abatement activities. For demolition activities the amount is $20,000 per structure or the actual cost of demolition (whichever is the lesser) regardless of the number of homes developed on the site as a result of the demolition activities.
- The grant is deployed at the end of the development process and only when all criteria have been satisfied.
Requests for a SFDIG grant will be considered on a case-by-case basis and subject to funding availability.
For an application to be considered, the following must first be discussed with designated NRHA staff.
- A description of the proposed development plan and a detailed pro forma
- Project time line
- For new construction, if available, proposed preliminary site plan and building plans
- For renovations of existing homes provide preliminary scope of work write-ups and proposed floor plans or other appropriate drawings. All rehabilitations must include partial demolition to reduce the building to framing and foundation only
- Estimate of development funds leveraged with the Development Incentive Grant. The greater amount leveraged, the more weight given to the application.
- The designation of the house as affordable to a family below 80% of AMI, which typically means a sales price of approximately $165,000 for a three bedded 1600-1800 square foot house. More detailed information will be provided regarding this section during preliminary discussions with NRHA staff.
- Commitment to homeownership. The grantee must ensure occupancy of the property by a bona fide homeowner who will use the property as their principal residence. This requirement is waived for the rehabilitation of a significant historic property at the sole discretion of NRHA staff.
- All homeowners must be provided a one year warranty in addition to specific component and mechanic warranties.
Grant Review & Approval
Each development incentive grant request will only be reviewed after a complete submission package as outlined above has been received. Grant approval will be subject to funding availability. The determination of Development staff is final.
The Grant will be disbursed upon (1) a successful review of construction plans by NRHA staff (2) a review and confirmation of the partial demolition as prescribed and a final inspection for conformance with plan review (3) a certificate of occupancy being provided (4) there is evidence of occupancy by a bona fide homeowner who intends is to use it as their primary residence, and (4) for demolition activities the grant will also only be provided once all the above criteria have been met.
Equity Secure Program
The Equity Secure Program provides assistance to homeowners with incomes of up to 80% of the area median income to undertake rehabilitation of their homes to correct code, health and safety violations, to meet conservation standards and to address exterior aesthetic improvements to the extent possible.
Repair or replacement as needed of plumbing, heating, electrical, roof, structural systems and provide handicap accessibility alterations to achieve decent, safe, sanitary conditions up to a level of conservation standards, as well as eligible exterior aesthetic improvements. To also include the additional cost for the reduction or elimination of lead based paint hazards identified on surfaces being disturbed during the prescribed rehabilitation.
Up to $45,000 for rehabilitation.
Up to an additional $20,000 for lead controls directly associated with the rehabilitation.
Total $65,000 (Not to exceed regulatory limits).
Type of Assistance
Due on Transfer Loan and Forgivable Loan, as applicable
(100% Public Funds - CD or HOME, as applicable and available)
Deed of Trust in the amount of the total rehabilitation cost
Due on Transfer Loan amount: “As-If” less “As-Is” Appraised Value
Forgivable Loan amount: Total rehabilitation cost less Due on Transfer
Loan amount (Forgivable Loan amount forgiven upon transfer)
Total household income ≤ 80% Area Median Income
Pay closing cost (Estimated average $375)
Provides a means for rehabilitation to achieve decent, safe and sanitary housing
Provides exterior aesthetic improvements
Property owner and neighborhood
Minimal use of public funds
Verifiable legal ownership and occupancy of the property
Household income must be sufficient, at a minimum, to pay all housing expenses
Mortgage payments, real estate taxes, and homeowners insurance payments must be up to date at the time of application and remain so during time of processing and closing
Property cannot be located in an APZ crash zone
Property insurance coverage sufficient to protect the value or total indebtedness, whichever is greater
Flood insurance required for ALL properties located within a flood zone (If applicable, flood insurance must be maintained until loan is satisfied)
Contract for needed repairs is awarded by the homeowner to a qualified contractor whose bid proposal falls within 10% (above or
below) of the cost as estimated by NRHA
For more information about the programs NRHA has available, contact your neighborhood conservation specialist:
Home Repair Program (previously known as Emergency Repair Grant Program)
Up to $12,000
Up to an additional $2,500 for lead controls directly associated with the correction of eligible health and safety repairs. (Not to exceed regulatory limits.)
Type of Assistance
Due on transfer of loan.
80% Area Media Income
Repair or replacement as needed of plumbing, heating, electrical, roof, structural systems and provide handicap accessibility alterations to achieve decent, safe, sanitary conditions. To also include the additional cost for the reduction or elimination of lead based paint hazards identified on surfaces being disturbed during the prescribed rehabilitation.
Deed of Trust in the amount of total repair cost.
Other Underwriting Criteria Required
Must be a City of Norfolk Homeowner
Verifiable legal ownership and occupancy of the property.
Household income must be sufficient, at a minimum, to pay all housing expenses.
Liquid assets must not exceed $12,000.
Mortgage payments, real estate taxes, homeowners insurance payments must be up-to-date at the time of application and remain so during time of processing and closing.
Property cannot be located in a APZ crash zone.
Property insurance coverage sufficient to protect the value or total indebtedness, whichever is greater.
Contract for needed repairs awarded by the homeowner to lowest qualified contractor whose proposal falls within 15% (above or below) of the cost as estimate by NRHA.
Applicant(s) are only eligible to obtain assistance once every five (5) years.
U.S. Department Of Housing And Urban Development
2013 Income Guidelines
Number of Persons in Household
Maximum Annual Household Income
Aesthetic Improvement Grant/Loan Program
To provide financial incentives to homeowners of residential property to undertake upgraded exterior improvements to enhance the aesthetic quality.
Up to $5,000 per property, subject to funding availability
CDBG, CIP or other Public funds
Rate and Term
Qualified improvements may include landscaping, fencing, exterior lighting, window shutters, architectural-grade roof shingles and exterior surface improvements, etc.
Establishes a certain aesthetic quality of properties within the Conservation Neighborhood
NRHA will determine project eligibility and qualified improvements
Property must meet all applicable code and conservation program rehabilitation standards to qualify
Property located within a 100 year flood zone and/or APZ crash zone can be assisted based on availability of CIP funds only
Applicant must provide owner, property and household information and a copy of their current property insurance policy
Real estate taxes must be current
100% match required
Maintenance Agreement required
This is a one time, per property, per owner, grant
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