Issues with vacant homes runs much deeper than the streets they occupy. Abandoned properties cause the value of homes in the surrounding areas to decrease and remain low. The neighborhood looks abandoned and unattractive, and there is a risk of increased criminal activity in areas with vacant properties.
The city and taxpayers also share the financial burden of unoccupied properties in the form of lost property tax revenue and the cost to demolish an abandoned building if it doesn’t sell. There are revenue losses resulting from new families who are discouraged from moving to the neighborhood and would-be investors who take their dollars elsewhere.
Jim Glass, Partner and VP of Engineering at DAWGS comments. “We’re in the business of securing vacant properties, which means on a daily basis we see first hand how abandoned, neglected and unsecure properties can cripple the growth of a community and put neighborhoods at a greater risk for criminal activity. The Trust Fund Homebuyer Rehabilitation Program is a great way to encourage prospective buyers to consider buying and renovating a vacant property and to help get blighted neighborhoods back on track.”
Trust Fund Homebuyer Rehabilitation Assistance Program
The Trust Fund Homebuyer Rehabilitation Program is administered by the Illinois Housing Department Authority (IHDA) and financed by the Illinois Affordable Housing Trust Fund. This program and other similar initiatives are helping to strengthen communities with vacant homes by turning them into valuable homeownership opportunities.
Acquisition Assistance Benefits:
- Households earning at or below 50% of the area median income (AMI) are eligible for a maximum grant of up to $5000 to purchase a vacant home.
- Households earning between 51% and 80% of AMI are eligible for a maximum grant of up to $3000 to purchase a vacant home.
Acquisition assistance will be provided as a forgivable grant with a five-year recapture period.
Rehabilitation Assistance Benefits:
In addition to acquisition assistance, qualifying households may be eligible for up to $20,000 in rehabilitation assistance for home modifications and repair. Rehabilitation assistance will be provided as a forgivable loan with a five-year recapture period.
Eligibility Requirements for Acquisition and Rehabilitation Assistance:
- Property must be a vacant single-family property located in an eligible Illinois geography (mobile homes and multi-unit properties are not eligible)
- Household income must be at or below 80% of AMI
- Homebuyer must occupy the property as their principal residence
- Homebuyer must contribute the greater of at least $1,000 or 1% toward the purchase
How to Apply:
Prospective homebuyers must contact one of the Homebuyer Rehabilitation Assistance participating agencies to apply.
