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Homeowner Programs
Mayor Street's strategy for neighborhood transformation
involves extensive support for existing homeowners and new homebuyers.
Anti-Predatory Lending
Don't Borrow Trouble Campaign
Home Equity Loan Preservation Program (HELPP)
PHIL-Plus/Mini PHIL Home Improvement Loan
Homeowner Loans and Grants
Basic Systems Repair Program -
Tier II (BSRP)
Philadelphia Home Improvement
Loan (PHIL)
Senior Housing Assistance Repair Program (SHARP)
Adaptive Modification Program
Historic Properties Repair Program
PHIL Energy Loan
Homebuyer Assistance
HomeBuyNow
(Employer-Assisted Housing Program)
Settlement Grant Assistance Program
Homelessness Prevention Program
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Anti-Predatory Lending
Don't Borrow Trouble Campaign
Predatory lending is the practice of charging excessive interest rates
and up-front fees on loans secured by the borrower's home. Targeting vulnerable
homeowners, predatory lenders drain equity from communities, forcing homeowners
to foreclosure and increasing vacancy rates throughout the city. The City
simultaneously employs four tactics to combat predatory lending: Consumer
Education and Outreach, Legal Assistance, Creation of Alternative Loan
Products, and Research. In order to connect people with needed housing
counseling services, a local non-profit operates the "Don't Borrow
Trouble"™ hotline:
215-523-9520
The Hotline, a program seeded by Freddie Mac, operated
by Philadelphia Legal Assistance,
takes calls from homeowners who want more information about loans
home equity or mortgage loans or people who think they may be victims of
predatory lending. The Hotline has been publicized in the local press,
on TV, and in the City's water bills. Hotline operators refer callers in
need to housing counseling agencies for further assistance. The Homeownership
Counseling Association of Delaware Valley trains housing counselors
to identify predatory practices as well as to seek relief for victims.
Legal Assistance
Attorneys at Community Legal Services
provide advice to housing counselors on complex predatory lending
cases and, where possible, litigate cases to seek relief for homeowners
that have been victimized. Callers to the "Don't Borrow Trouble"SM
Hotline are sometimes referred directly for legal assistance, housing counselors
refers others.
Alternative Loan Products
To help homeowners avoid predatory lenders, the City, along with the Greater
Philadelphia Urban Affairs Coalition and
eight banks (Beneficial Savings Bank, Citizens Bank, Commerce Bank, Fleet
Bank, PNC Bank, National Penn Bank, Sovereign Bank, United Bank of Philadelphia
and Wachovia), is proud to offer the PHIL-Plus
and Mini-PHIL loan program and Energy-related improvements through the PHIL Energy Loan program.
The City also supports The Home Equity Loan Preservation
Program (HELPP), which allows a limited number of individuals who have
been victimized by predatory lenders to refinance at a reasonable rate.
Research and Coordination
The Reinvestment Fund meets monthly with housing counseling and legal agencies
to review predatory lending cases, provide strategic advice and identify
trends.
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Home Equity Loan Preservation
Program (HELPP)
This program provides assistance to homeowners who
have been victims of predatory lending. HELPP provides an opportunity to
refinance high cost unaffordable loans with a more affordable loan product.
This enables the homeowners to regain control over their finances and increase
the likelihood that they will stay in their home. To be eligible, a homeowner
must reside in the City of Philadelphia, be an owner-occupant of a single
family home, and the victim of a predatory loan. Loans generally do not
exceed $45,000. The Homeownership Counseling Association of the Delaware
Valley administers the HELPP program.
PHIL-Plus/Mini PHILHome Improvement Loan
This program helps Philadelphia homeowners with
less-than-perfect credit get the funds needed to make large repairs
or to do small improvements for their home. Single-family residences may contain
between one and four residential units (duplex, triplex, quadraplex). Condominiums
are not eligible. Leftover funds can be used to pay off existing debt.
Features include:
- Borrow up to $25,000 (PHIL-Plus) or
$10,000 (Mini-PHIL)
- Fixed interest rate
- No property appraisal required
- Income guidelines apply
- Apply for a 1-percent rate reduction after 24
consecutive, on-time monthly payments
- No fee
Participating Banks:
- Citizens Bank
- Commerce Bank
- PNC Bank
- Sovereign Bank
- United Bank of Philadelphia
For more information call the
hotline at 215-523-9520 or contact one of the free housing counseling agencies.
Click
here for a list. A counselor
helps with the loan application with a participating lender. The homeowner
is responsible for getting the repair work done but the counselor can help
review contractors' estimates and work orders.
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PHIL Energy Loan
Homeowners can borrow money to make energy related improvements to their home such as replacing a heater or adding insulation. Energy-related improvements may help reduce rising heating, gas and electric bills by up to 10 to 30 percent.
Loan Features:
- Priority loan application processing
- Borrow up to $10,000 for energy-related improvements
- Repayment terms up to 10 years
- Fixed interest rate
- Interest rates vary among lenders
- No equity in property required
- No bank fees
- Free inspection of completed work
- Up to half of the loan may be used to pay off existing debts
For more information click here
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Homeowner Loans and Grants
Basic Systems Repair Program
- Tier II (BSRP)
The Basic Systems Repair Program helps maintain stable neighborhoods by
providing homeowners with needed repairs and improvements.
Typical repairs include heating system replacement,
plumbing and drainage system replacement, wiring, roof replacement and
structural systems repairs (floors, ceilings, walls, etc.) Eligible homeowners
receiving Tier II services may also receive up to $2,000 per property in
weatherization assistance. Currently, the average cost for Tier II services
is $4,435 per unit. Click here for
complete guidelines.
Philadelphia Home Improvement Loan Program (PHIL)
The Philadelphia Home Improvement Loan (PHIL) program
lends up to $25,000 at 3 percent and 5 percent fixed rates to Philadelphia
homeowners. Citizens Bank, Wachovia, Fleet and PNC Bank, serve as lenders
in the expanded Philadelphia Home Improvement Loan (PHIL) program. If you
own and occupy your home in the City of Philadelphia, a PHIL loan can provide
up to $25,000 to make repairs and improvements. There are no equity or
home-appraisal requirements and a homeowner can apply even if they just
bought the home. The program features low rates and expanded income guidelines.
Click here for full details
at the PHIL website PhilaLoan.com
 
 
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Senior Housing Assistance Repair
Program (SHARP)
This program helps maintain stable neighborhoods by providing seniors with
assistance in making home repairs. SHARP provides essential repairs averaging $1,192 each to the homes of
residents who are 60 or older.
Click here for more information
Adaptive Modification Program
The Adaptive Modification Program provides increased
access to and mobility within the home for low-income Philadelphia residents
with permanent physical disabilities.
Adaptive modifications must meet one or more of the following objectives:
- Improve the resident’s
ability to enter and exit the home;
- Increase the resident’s
ability to perform activities of daily living; and/or,
- Enable the resident to remain
in the home and/or prevent institutionalization.
Click here for more information
Historic Properties Repair Program
Philadelphia boasts architecture of historical significance throughout its neighborhoods. The Historic Properties Repair Program funded with NTI taxable bond funds and operated by the Preservation Alliance for Greater Philadelphia through the Office of Housing and Community Development makes grant funds available to low-to-moderate income residents to enable them to make historically competent façade repairs.
Click here for more information
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Homebuyer Assistance
Home.Buy.Now
(Employer-Assisted Housing Program)
One way to stimulate investment in neighborhoods is to provide new opportunities
for homeownership.
In coordination with the Greater Philadelphia Urban Affairs Coalition, NTI administers the City's new HomeBuyNow program which encourages businesses to become active investors in Philadelphia neighborhoods by helping to create homeownership opportunities for their employees.
The program benefits can take many forms,
including settlement assistance, housing counseling, reduced mortgage interest
rates, mortgage guarantees, and home improvement loans for existing homeowners.
The City uses NTI bond funds to offer matching grants of up to $5,000/per
employee to employers participating in the program.
Click here for more information
Settlement Grant Assistance
Program
Helping more families to become homeowners has a stabilizing effect on
neighborhoods. The aim of the settlement grant program is to lower the
barriers to homeownership for low- and moderate-income families. The program
provides approximately 600 homebuyers per year with pre-purchase counseling
and up to $800 in settlement grant assistance. Applications are taken by housing counseling agencies: click here for a list.
Homelessness Prevention Program
The Homelessness Prevention Program will prevent or reduce homelessness by providing assistance to low-income Philadelphians. It will also contribute to NTI’s on-going efforts to combat vacancy stemming from predatory lending and mortgage foreclosures by providing resources to individuals and families in danger of losing their homes. Click here for more information
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