The program is adaptable for participation by a wide variety of owners. Loans can be made to individuals, trusts, associations, partnerships, limited partnerships, State or local public agencies, consumer cooperatives, and profit or nonprofit corporations.
Eligibility
For-profit borrowers must agree to operate on a limited-profit basis (currently 8 percent on initial investment). Borrowers must be unable to obtain credit elsewhere that will allow them to charge rents affordable to low- and moderate-income tenants.
Tenancy
Very low-, low-, and moderate-income families; the elderly; and persons with disabilities are eligible for tenancy of Section 515-financed housing. Very low income is defined as below 50 percent of the area median income (AMI); low income is between 50 and 80 percent of AMI; moderate income is capped at $5,500 above the low-income limit. When rental assistance is used top priority is given to very low-income households.
Fund Uses
Rural Rental Housing Loans are direct, competitive mortgage loans made to provide affordable multifamily rental housing for very low-, low-, and moderate-income families; the elderly; and persons with disabilities. This is primarily a direct mortgage program, but its funds may also be used to buy and improve land and to provide necessary facilities such as water and waste disposal systems.
Business Loans and Grants
| Business Loans and Grants | |
|---|---|
| Business and Industry Guaranteed Loan (B&I) Program | Rural Business Investment Program |
Multifamily
| Multifamily Options | |
|---|---|
| Guaranteed Rental Housing | Housing Preservation Grants (HPG) |
| Multi-Family Housing Preservation and Revitalization (MPR) | Rental Assistance Program |
| Rural Rental Housing | |
