Cuyahoga Land Bank offering low interest renovation loans if you buy vacant Euclid homes
Home buyers can receive up to $10,000 for repairs
Joe Pagonakis, newsnet5.com
11:58 AM, Apr 29, 2013
6:33 PM, Apr 29, 2013
EUCLID, Ohio - The Cuyahoga Land Bank is now working with the city of Euclid to make it even easier for individuals and families to own and renovate vacant homes listed in the land bank inventory.
The land bank has launched the Advantage Plus Loan Program in the city of Euclid, which builds upon the Cuyahoga Land Bank's Owner Occupant Buyer Advantage Program.
The city of Euclid and Neighborhood Housing Services of Greater Cleveland have signed on as partners for this new "loan" program.
The new Advantage Plus Loan Program is geared specifically toward prospective owner-occupiers, and people that want to rehabilitate a property in order to make it their home.
The Cuyahoga Land Bank encourages anyone to bid on properties in its inventory, but also understands many properties need extensive work, which requires the purchaser to have either renovation expertise or the ability to pay contractors to make the necessary repairs.
Participants are required to provide proof of funds to cover the acquisition, renovation costs, and a 10 percent renovation cost reserve of the property they purchase; the Advantage Plus Loan Program helps address this financial challenge.
"Renovating one of our properties can be a wonderful opportunity to get a great home for a great price," said Cuyahoga Land Bank President, Gus Frangos. "But it can also be daunting to someone that is not a professional rehabber."
"We designed the Owner Occupant Advantage Program to make it easier for the average person to be able to make rehabbing an old property the path to their dream home. Advantage Plus Loan takes it one step further by assisting with the expense of repairs."
The Advantage Plus Loan Program will offer low-interest, short term "loans" on houses in the City of Euclid.
Qualified owner-occupant buyers in the Advantage Plus Loan Program may receive up to $10,000 for renovation work.
"Euclid residents can expect to see more investment and new families coming to their neighborhoods in the near future as a result of the Advantage Plus Loan Program," said Mayor Bill Cervenik. "With the support of Euclid City Council, we are pleased to partner with the Cuyahoga Land Bank to market and support this creative program that builds upon the housing opportunities in our community."
In order to be considered a qualified buyer for the Advantage Plus Loan Program, the applicant must:
- live in the property as their primary residence for at least three years; - agree to renovate the property according to the specifications provided by the Land Bank and satisfy all municipal Point of Sale requirements; - provide satisfactory documentation to the Land Bank that shows they have the ability to pay for the acquisition, renovation, and 10 percent renovation cost reserve. - agree to follow all the rules as promulgated by the Land Bank - be in accord with the Land Bank's Property Transfer Policy.
Advantage Plus Loan Program applicants must also:
- have a minimum credit score as determined by the Land Bank; - have been employed for at least two years; and - meet certain income limits.
To view properties currently available for the Advantage Plus Loan Program and start the process of placing an offer, interested buyers should visit the land bank website.
Residents can also report vacant homes by sending us pictures and information on condemned properties in our neighborhood, and we'll forward the information to your city building department in an effort to move the properties to progress.
More information on how residents can volunteer in their neighborhoods and make them better can be found by contacting Hands on Northeast Ohio.