Housing Loans

 

RACDC – Housing Revolving Loan Fund

RACDC offers programs for home repair and down payment assistance for income eligible residents of Randolph, Braintree and Brookfield. Funds are available to assist homeowners, landlords and first-time homebuyers, providing loans geared to individual financial situations. Education on the home buying process is provided to first-time homebuyers of any income. Help with applications, budgeting and credit rebuilding is available.

Funds are available for:

  • plumbing
  • weatherization
  • electrical
  • roofing
  • lead paint removal
  • septic systems
  • well and spring improvements
  • heating systems
  • health and safety hazards
  • down payment assistance
  • closing costs

HOW DOES THE RANDOLPH AREA HOUSING REVOLVING LOAN FUND WORK?

Each Loan package is designed to meet the individual’s financial situation and ability to repay. Many loan options are available including low-interest and deferred loans. As loan payments are made, the fund “revolves” and offers assistance to help individuals like you.

FOR HOME REPAIR: Once eligibility is confirmed, the Rehab Specialist from RACDC will meet with the homeowner or landlord to identify necessary repairs and prepare an initial inspection report, including a preliminary cost estimate. A financial analysis and report is prepared for action by a Loan Review Committee. If approved, a loan closing is held and funds are disbursed into a Construction Escrow Account in the name of the Borrower. Then the proposed work is put out to bid with local contractors. The homeowner or landlord may name the contractors they want to bid on the work. In some cases, the homeowner or landlord provides the labor or “sweat equity” and program funds are used for materials. Upon job completion a final inspection is performed by the Rehab Specialist. Both the Borrower and the Rehab Specialist must be satisfied that the work was completed per contract prior to final payment to the contractor. Regular monthly loan payments are made upon completion of the work and the close of the Construction Escrow Account, in accordance with the loan terms.

FOR DOWN PAYMENT ASSISTANCE: Once eligibility is confirmed, individuals will attend a series of workshops on the home buying process or work one-on-one with a counselor at the CVCLT Home Ownership Program to look at possible barriers to homeownership. Some individuals will do both. The request for funding is brought before the Loan Review Committee for action. If approved, a loan closing will take place and funds will be disbursed in accordance with the terms of the loan documents.