Keeping
Cleveland Heights
in good repair!
 

FINANCIAL ASSISTANCE FOR HOME REPAIRS

If you need to finance home repairs, check out Home Repair Resource Center's financial assistance programs. Unlike financing companies, we’re a nonprofit organization. Our only purpose is to help Cleveland Heights residents make repairs to their homes.

In addition to the programs we offer, we have information on other community resources, such as the County HELP and Historic Preservation Loans (low interest-rate programs for conventional borrowers.)

Our loan programs can provide special financing assistance to Cleveland Heights residents — homeowners whose income falls within the low- and moderate-income (LMI) guidelines or people who cannot qualify for a conventional bank loan (income limits do not apply.)

The Assist 0% Benefit (for LMI households) allows a homeowner to borrow for home repairs with a smaller monthly payment, often as low as $40 to $50 a month (example: $4,000 over 6 years is only $55 a month.) A grant reduces the amount borrowed, so that the repayment to the bank is the same as if it were a no interest loan. The total amount paid is only the actual repair cost.

The Assist Deferred Loan Match (for LMI households) lets a homeowner defer paying 1/2 the cost of repairs to major systems of the house: roof replacement, furnace/boiler replacement, major plumbing or electrical repairs, major structural repairs to footers and foundations, and replacement of storm or sanitary sewer lines. There is no monthly payment and 0% interest on the deferred half of the loan, and it doesn't need to be repaid until title to the home is changed (unless the borrower chooses to repay earlier). In return, the homeowner provides a "match" of 1/2 the cost. This half may be provided on one’s own, or borrowed using the Assist 0% Benefit. Since only half the cost is being financed, the payments are lower—a big help if a budget is tight!

 

The Incentive Grant (also for LMI households) provides a grant of $500 toward the cost of replacing any one of four major systems (roof, heating, plumbing or electrical system). It applies only in conjunction with bank financing and the Assist 0% benefit. The grant serves as an incentive for homeowners to invest in these repairs early, before damage to the structure occurs.

The Challenge Fund can guarantee a bank loan for home repairs for homeowners who can afford a monthly payment but aren’t able to qualify for bank financing—because of past credit problems, not enough equity in the house, too much debt, or other reasons. There are no income limits for this program. Maximum loan is $8,500, currently at 8.34% interest. (For LMI homeowners, this loan guarantee can be used with the Assist 0% Benefit and/or Deferred Loan Match.)

If any of these programs sound as if they might help you, call Home Repair Resource Center at 216-381-6100 for further information. Even if you’re not sure you can afford a loan at this time, the budget counseling process can help you sort through your options, whether for now or for the future. You’re welcome to explore possibilities—there’s no obligation, and our advice and services are always free!

Home Repair Resource Center also offers individual counseling and classes on a variety of issues related to home ownership: home purchase, maintaining and rebuilding credit, refinances, and foreclosure prevention.