Affordable Housing Resources for Residents
These are the resources currently available for eligible residents of the City of Madison. Please check back often for any updates!
USDA Loans & Grants
All information has been sourced from the U.S. Department of Agriculture here: https://www.usda.gov/topics/farming/grants-and-loans
For assistance, contact
Northeast Georgia Area Director, Kathleen Henderson
Monroe Area Office (770) 267-1413 ext. 4 | 111 East Spring Street, Suite B |Monroe, Ga 30655
1. Single Family Housing Direct Home Loans
Also known as the Section 502 Direct Loan Program, this program assists low- and very-low-income applicants obtain decent, safe and sanitary housing in eligible rural areas by providing payment assistance to increase an applicant’s repayment ability. The amount of assistance is determined by the adjusted family income.
Be without decent, safe and sanitary housing
Be unable to obtain a loan from other resources on terms and conditions that can reasonably be expected to meet
Agree to occupy the property as your primary residence
Have the legal capacity to incur a loan obligation
Meet citizenship or eligible noncitizen requirements
Not be suspended or debarred from participation in federal programs
Properties financed with direct loan funds must:
Not have market value in excess of the applicable area loan limit
Not be designed for income producing activities
Borrowers are required to repay all or a portion of the payment subsidy received over the life of the loan when the title to the property transfers or the borrower is no longer living in the dwelling.
Limit of funds to receive in: Morgan County $473,800
No downpayment required
Applications open year round
2. Single Family Housing Guaranteed Loan Program
The Section 502 Guaranteed Loan Program assists approved lenders in providing low- and moderate-income households the opportunity to own adequate, modest, decent, safe and sanitary dwellings as their primary residence in eligible rural areas. Eligible applicants may purchase, build, rehabilitate, improve or relocate a dwelling in an eligible rural area with 100% financing. The program provides a 90% loan note guarantee to approved lenders in order to reduce the risk of extending 100% loans to eligible rural homebuyers – so no money down for those who qualify!
Loan price is going to be the same as the purchasing price
Meet income-eligibility (cannot exceed 115% of median household income)
Agree to personally occupy the dwelling as their primary residence
Be a U.S. Citizen, U.S. non-citizen national or Qualified Alien
Interested applicants can apply for a Section 502 Guaranteed Loan through USDA Rural Development’s network of approved lenders. These approved lenders are also your point of contact for any questions or scenarios you wish to have reviewed for possible eligibility.
USDA Section 502 Guaranteed Loan funds may be used for:
New or existing residential property to be used as a permanent residence. Structures can be detached, attached, Condos, PUDs, Modular, or Manufactured. (Cannot be an income-producing property). Closing costs and reasonable/customary expenses associated with the purchase may be included in the transaction
A site with a new or existing dwelling. No set acreage limits.
Repairs and rehabilitation when associated with the purchase of an existing dwelling
Essential household equipment such as wall-to-wall carpeting, ovens, ranges, refrigerators, washers, dryers, heating, and cooling equipment if the equipment is conveyed with the dwelling
Site preparation costs, including grading, foundation plantings, seeding or sod installation, trees, walks, fences and driveways
3. Single Family Housing Repair Loans & Grants in Georgia
Also known as the Section 504 Home Repair program, this provides loans to very-low-income homeowners to repair, improve or modernize their homes or grants to elderly very-low-income homeowners to remove health and safety hazards.
To qualify, you must:
Be the homeowner and occupy the house
Be unable to obtain affordable credit elsewhere
Have a household income that does not exceed the very low limit by county
For grants, be age 62 or older
Maximum loan is $40,000
Maximum grant is $10,000
Loans and grants can be combined for up to $50,000 in assistance
Grants must be repaid if the property is sold in less than 3 years
4. Homeowner Assistance Fund
Assistance is up to $50,000 via a grant. Payments owed before July 1, 2019, or over $50,000, cannot be considered for assistance.
Types of Assistance
Mortgage Reinstatement: a one-time payment to the lender to catch up or reduce delinquent payments or payments currently in forbearance. Must owe three (3) or more mortgage payments to be considered for reinstatement assistance.
Principal Curtailment: a one-time payment to the lender to reduce the mortgage loan balance if the homeowner suffered a permanent loss of income caused by the pandemic.
Housing Related Expenses: a one-time payment to the vendor to bring or help bring the housing expense current.
Delinquent Association Fees
Delinquent Non-Escrowed Property Taxes
Due or Delinquent Non-Escrowed Property Insurance
Delinquent Water, Gas, and Electric Utility Bills (Only in conjunction with mortgage assistance)
The homeowner, the borrower, or the homeowner’s spouse (living in the home with the homeowner) had a hardship caused by the pandemic that resulted in a significant loss of income or a significant increase in expenses.
All applicants (homeowner, borrower, spouse residing in home) meet Georgia legal residency requirements.
The Georgia home is the primary residence of the applicant.
The mortgage loan (if there is a loan) met conforming limits at the time of the loan’s origination.