Direct Housing_Natural Disaster Loans and Grants
Program Objective
To assist qualified recipients to meet emergency assistance needs resulting from natural disaster. Funds are only available to the extent that funds are not provided by the Federal Emergency Management Agency (FEMA). For the purpose of administering these funds, natural disaster will only include those counties identified by a Presidential declaration.
Eligibility
Eligible Applicants
- Local governments
- Public nonprofits
- Federally recognized tribes
- U.S. territories
- Individuals / families
- State
Applicants must own and occupy the home in a rural area. Loan recipients must have sufficient income to repay the loan. Grant recipients must be 62 years of age or older and be unable to repay a loan for that part of the assistance received as a grant. The applicant's income for a loan may not exceed the very low-income limit which can be obtained in any Rural Development (RD) field office.
Beneficiaries
- 11
- 33
- 34
- 61
- 65
Applicants/borrowers are the direct beneficiaries when they meet all eligibility criteria.
How to Apply
Application Procedure
Applicants must file Form RD 410-4 at the Rural Development field office serving the county where the dwelling is located.
Award Procedure
Final approval of the application is given by the local or area office loan approval official.
From 30 to 60 days subject to the availability of funds, from the time the application is filed if no backlog of applications exist.
Program details & compliance
Use of Funds
Allowed Uses
To assist very-low income owner- occupants to repair or replace damaged property as a direct result of a natural disaster. Loans are made in counties named by the Federal Management Agency as being eligible for Federal assistance under an emergency declaration by the President.
Required Documentation
Natural disasters will only include those areas identified by a Presidential declaration. Funds are only available to the extent that funds are not provided by the Federal Emergency Management Agency (FEMA). Applicants must establish that physical damage was caused by natural disaster. For Section 504 loans/grants, there must be evidence of ownership and verification of income and debts. For grant recipients, evidence of age is required. The applicant must be unable to get credit elsewhere and demonstrate repayment for the loan.