Small Operation Saves Houses
Cheryl Moses is Executive Director of this neighborhood agency which is embarked on an unusual project to “recycle” empty homes in a hundred square blocks southwest of Chicago Avenue and Lake Street in Minneapolis.
Their unusual plan allows buyers to qualify for low-cost loans and payments up to 50% of their gross monthly income. The catch is that they must buy an existing home within the target area which is presently empty and needs substantial renovation. The agency has the flexibility to finance the original purchase and supply rehab money and to combine the two amounts into one long-term mortgage. Construction specialists on the NHS staff are available to evaluate the cost of rehabilitation.
The limitation on this plan is funding and for the present, only a few applicants are accepted as potential buyers and others must await their turn. Long range benefits: the neighborhood eliminates abandoned homes, low income buyers are enabled by the flexible finance plan.