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RENTAL REHABILITATION LOAN PROGRAM


Application        Tenant Forms       Landlord Qualification Statement

The NIDC Rental Rehabilitation Program has expanded so that purchasers of City-owned tax foreclosed properties throughout the City of Milwaukee Community Development Block Grant (CDBG) area are eligible to apply for financing under the program.  Click here for more information about this expansion.

Loan Terms
The Rental Rehabilitation Loan Program offers rehabilitation assistance to responsible investors who agree to rent to income-eligible tenants.  The property must be a City of Milwaukee owned tax foreclosed property located in the Community Development Block Grant Area OR be located in a NIDC Targeted Investment Neighborhood (TIN) and meet program standards when the rehabilitation is complete.

Generally, units must have at least 2 bedrooms to qualify.

The property's debt compared to its value and its cash flow will be considered as part of our loan underwriting.

Provided they meet other program requirements, landlords are eligible for forgivable loans of up to $14,999 per unit. The loans bear no interest rate, and after 5 years they are forgiven.

The owner must provide at least one matching dollar for each Rental Rehab dollar received. For example, the owner of a duplex would be eligible for up to $29,998 through the Rental Rehab program as long as the landlord invests at least $29,998 of his or her own funds (bank loan, cash, etc). The landlord is required to spend his/her money first.

NIDC works only with responsible investor-owners.
Applicants must have a Landlord Training certificate from the Department of Neighborhood Services (DNS).
Advance registration is required.
Please call the Landlord Training Registration Line at 414-286-2954
or email:  LandlordTraining@milwaukee.gov.
The website is http://city.milwaukee.gov/Landlordtraining

Click here for the 2014 Landlord Training Class Schedule

We check to make sure landlords are current with property taxes on all owned properties in the City and that they have a good record with the DNS.  

Program priorities
Exterior repairs such as roofing, siding, porch repairs
Lead paint abatement including replacement windows
Energy conservation
Plumbing, electrical, heating
Kitchen, bath, and other remodeling are possible

 

The property must meet building code requirements upon completion of the rehab. In addition, the property must pass periodic re-inspections over a 5-year period.

Tenant Income Guidelines (02/05/2014)
and Rent Controls  (05/01/2014)

Landlords must provide annual re-certification of tenants’ income, and monthly rents are capped at $721 for a 2-bedroom apartment, $931 for a 3-bedroom apartment, and $968 for a 4-bedroom apartment.

Tenant income cannot exceed:

Family Size Income Limit Family Size Income Limit
1 $29,600 4 $42,200
2 $33,800 5 $45,600
3 $38,000 6 $49,000
Technical Assistance
The standards for the Rental Rehab Program are high. Experienced rehabilitation specialists perform a thorough inspection of the property, identifying problem areas. The rehab specialist works with the owner to write a scope of work (a list of the work that needs to be done) and then helps the owner get bids from contractors. Once the work starts, the rehab specialist makes periodic inspections to make sure the work meets program requirements.

 

Page last updated on 09/23/2014

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NIDC

809 North Broadway
3rd Floor
Milwaukee, WI 53202

(414) 286-5608 

NIDC@milwaukee.gov