Home buyers can get money for repairing their new home.
Many federal agencies provide home repair grants to income-qualified households. These programs typically serve families in the very low-to-low income range. The U.S. Department of Housing and Urban Development has developed these income limits based on the average household income for each county, or the area median income. Since some counties have higher household incomes than others, the income limit levels vary across the country. Participants who accept government home repair funding must comply with the guidelines of the grant award.
American Dream Downpayment Initiative
Homebuyers can receive up to $10,000 to purchase and rehabilitate a home through the American Dream Downpayment initiative. To qualify for help, the homebuyer's income cannot exceed 80 percent of the area median income. The homebuyer also cannot have previously owned a home within three years before submitting an application for help. Homebuyers can only use the money for rehabilitation work when it is conjunction with the purchase of a home. They must complete renovation within one year of the home purchase.
USDA Home Repair Grant
The U.S. Department of Agriculture provides home repair grants up to $7,500 to seniors aged 62 years of age or older. The home must be in a USDA-designated rural area of the country for the senior to qualify for a grant. Homeowners can use the money toward correcting health and safety issues on the property and modernizing the home. They may have to repay the grant if the senior sells the home within three years of receiving the grant funding. The senior's income cannot exceed 50 percent of the area median income to qualify for a home repair grant.
Specially Adapted Housing Grants
The Department of Veterans Affairs provides specially adapted housing grants to veterans with a service related disability. Veterans can receive up to $63,780 to modify their home for their specific disability. The veteran must have an injury that includes loss of use of both arms and legs, blindness in both eyes or a severe burn injury. Recipients can use the grant to purchase a specially adapted home, purchase a home that will be specially adapted or adapt a home that is already owned.
Weatherization Grant Program
HUD and the Department of Energy have created a partnership to provide weatherization grants to low-income households. The weatherization process makes the home more efficient and lowers utility bills. Typical weatherization measures include installing insulation, repairing or replacing heating and cooling systems and installing energy efficient lighting and appliances. HUD provides grants up to $6,500 per household for weatherizing the home. Owners and renters of both multifamily and single family homes are eligible for the program. To qualify for help, the household's income cannot exceed 200 percent of the federal poverty level. The average savings per household on an annual basis is estimated at $350.
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