Reconstruction program

Program Purpose

This program provides assistance to low-income, owner-occupied households for substantial housing rehabilitation or reconstruction of a unit which is not feasible for standard repairs.

Before & After

Fairmont BeforeFiarmont After












Eligibility Requirements

The applicant must:

  • Own and occupy the single-family residence for which assistance is requested.
  • Not have the means to make the needed repairs (assets, property, insurance, etc.).
  • Not have excessive property encumbrances for rehabilitation and no encumbrances for reconstruction.
  • The city must determine that the housing unit is substandard.
  • The property must be brought up to applicable codes.
  • The applicant's gross annual household income must not exceed the current HUD income limits (see chart).

HUD Income Limits

Family Size
Extremely Low - 30%
Very Low - 50%
Low - 80%
1 $12,870$21,450$34,320
2 $14,700$24,500$39,200
3 $16,530$27,550$44,080
4 $18,630$30,600$48,960
5 $19,830$33,050$52,880
6 $21,300$35,500$56,800
7 $22,770$37,950$60,720
8 $24,240$40,400$64,640

Income limits are updated annually by the U.S. Department of Housing and Urban Development (HUD).

Terms & Conditions

The applicant must enter into a legally binding agreement, which places a lien on the property. During the lien period, the applicant must:

  • Keep all property taxes and property insurance (including flood, if applicable) current
  • Maintain the property as their principal residence and in a safe and sanitary condition
  • Consent to annual inspections by the city and provide verification of compliance

The maximum subsidy loan payment shall not exceed the current Section 221(d) (3) mortgage limits.

For more information, please contact Paula M. Long by email or at (386) 671-8058.