City Launches Loan Program For Homeowners Facing Code Violations

RACINE, WI — The City of Racine is launching the “Rebuild Racine” program for homeowners facing health code violations, mayor Cory Mason's office announced Thursday.

According to officials, the city has allocated about $680,000 for low-interest or forgivable loans ranging between $500 and $20,000 to home owners to address building or health code orders issued against the property by the City of Racine, or property maintenance issues that would qualify as building or health code violations.

“One of the benefits of running for City wide office is that you knock on doors in every part of the community. I have seen the conditions first hand and heard the message loud and clear from our residents that the City must to do more to reinvest in our neighborhoods. So when we put together this year’s budget, we intentionally set aside resources to make sure we could provide home owners’ access to capital to repair their homes,” Mason said in a statement.

Key Provisions:

• When the applicant's income level is at or less than 80 percent of the Area Median Income, the loan will be forgiven after a term of five years from date of closing.
• When the applicant's income level is between 80 percent and 120 percentof the loan, half of the loan amount will be forgivable, while half of the loan amount is non-forgivable with 3 percent simple interest payable over a five year term from date of closing.
• When the applicant's income level is between 120 percent and 140 percent of the loan, the loan will be repaid over a term of five years at 3 percent simple interest from date of closing.

Homeowners can go can get more information and apply for loans by calling the Neighborhood Services Division at (262) 636-9197 or by filling out a pre-application available online at www.racinehousingloans.com.