Property Improvement Loan Insurance for Improving All Existing Structures and Building of New Nonresidential Structures
Program Funding
Annual program obligations reported to SAM.gov.
Program Objective
To facilitate the financing of improvements to homes and other property types.
Eligibility
Eligible Applicants
- Nonprofit Organization
- Homeowner
Eligible borrowers include the owner of the property to be improved, a lessee having a lease extending at least 6 months beyond maturity of the loan, or a purchaser of the property under a land installment contract.
Beneficiaries
- Nonprofit Organization
- Homeowner
Individuals/families.
How to Apply
Award Procedure
The HUD approved lenders makes the loan approval or denial decision.
HUD does not participate in the approval or disapproval of individual loans.
Program details & compliance
Description
Insures HUD- approved lending institutions against loss of default for loans made to perform home improvements or improvements to other properties.
Mission Categories
Primary: Property and Mortgage Insurance
Use of Funds
Allowed Uses
HUD insures lenders against loss on loans. Insured loans may be used to finance alterations, repairs, and improvements for existing structures and the building of new nonresidential structures which substantially protect or improve the basic livability or utility of the properties. The maximum loan amount is $25,000 for improving a single family home or for improving or building a nonresidential structure. For improving a multifamily structure, the maximum loan amount is $12,000 per family unit, not to exceed a total of $60,000 for the structure.
Required Documentation
The responsibility for credit approval of borrowers is exercised by HUD-approved lenders.
Lenders must be approved by FHA to participate in the program