The City of Eau Claire Housing Division is accepting applications for their Rehabilitation Loan Program.   There is currently at two year waiting list for this program.

Please complete the on-line application at CDBG Rehabilitation Loan Application. 

Questions? Please contact Tom Gordon at 715-839-4943.

Eligible applicants may receive up to a $20,000 loan, plus up to $7,000 in grants for repairs such as roofs, windows, siding and furnace repair or replacement. The loan may not exceed 50% of the value of the property.  

Investor loans are eligible for $20,000 plus $4,000 per additional unit up to four (4) units ($32,000) for investment properties. 

Types of Loans

There are two types of loans available within the Rehabilitation Loan Program:

Deferred Payment Loan

Households with a gross annual income at or below 50% of the area median income as determined by HUD (see income table below) may qualify for a deferred payment loan. Repayment of the Deferred Payment Loan is required when you sell, transfer title, lease or vacate the home.

Installment Loan

Households with a gross annual income between 50% & 80% of the area median income as determined by HUD (see income table below) may qualify for an Installment loan. Repayment of an Installment Loan is made with regular monthly installment payments. Repayment of an installment loan in full is required when you sell, transfer title, lease or vacate the home.

Loan Security

The loan amount is placed as a lien against your property and recorded with the Register of Deeds. 

 

Eligibility

• The property must be within the city limits of Eau Claire
• The City's Assessed value of the home cannot exceed $165,750
• Property a minimum of 25 years old
• Owner(s) must be credit worthy
• Owner(s) must have possession of property for a minimum period of one (1) year prior to applying
• Must be current on your property taxes
• Owner may not have participated in the Rehabilitation Loan Program for a period of ten (10) years prior to application
• There must be sufficient equity in the property to cover the amount of loan
• The annual gross household income cannot exceed income limits set by the US Department of Housing and Urban Development (HUD) as follows:

Income Qualifications (updated 7/23)

Installment Loan (0% Interest Rate)
Family Size	Maximum Income
1	$51,150
2	$58,450
3	$65,750
4	$73,050
5	$78,900
6	$84,750

 

Deferred Loan (0% Interest Rate)
Family Size	Maximum Income
1	$32,000
2	$36,550
3	$41,100
4	$45,650
5	$49,350
6	$53,000

 

When the loan application form is completed, you have the opportunity to list the home improvements you would like to see done and discuss them with the Rehabilitation Specialist. However, Federal and City regulations require that all items not meeting code, as identified during the property inspection and all lead paint hazards, must be rehabilitated as part of the loan funds. Funds cannot be used for cosmetic renovations or extensions.

Eligible Types of Work

• Roof and window replacement
• Plumbing repairs and upgrading
• Electrical repairs or upgrading
• Carpentry repairs
• Heating system replacement
• Energy saving repairs
• Siding repairs or replacement

Lean More

• CDBG Rehabilitation Loan Program Brochure
• CDBG Rehabilitation Loan Program Brochure - Hmong Version
• CDBG Loan Processing Procedure