For Homeowners

Home Rehabilitation Loan Program

In order to preserve the housing stock in South St. Paul, the HRA offers loans that enable eligible residents to invest in their home’s upkeep and maintain quality homes in their neighborhoods.

The Home Rehabilitation Loan Program assists low and moderate-income homeowners with making repairs and improvements to their homes. Funds are commonly used for roof replacement, furnace replacement, electrical and plumbing repairs, insulation and special needs improvements (such as ramps, bathroom and kitchen modifications).

The HRA Rehabilitation Specialist will inspect the home, determine work items and prepare a scope of work. The HRA provides guidance to proceed, and to secure established contractors to perform the rehab work. HRA staff will also provide technical assistance during the bidding and rehabilitation period.

Eligible applicants must own their home, be current on mortgage and tax payments and have a gross annual income within the program income limits. The HRA offers a deferred loan with a maximum loan amount of $25,000.

Deferred Loans

• 6% Interest
• No Monthly Payments Required
• If the loan is repaid within the first five years the interest is forgiven
• Repayable when ownership changes or you move from the property

For more information, contact the HRA's Rehabilitation Specialist at (651) 554-3274.

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Blighted Property Acquisition Program

The South St. Paul HRA administers a Blighted Property Acquisition Program in order to stop deteriorating influences in neighborhoods. Under the guidelines, a home must be in poor physical condition, with health and safety standard violations, and not be suitable for rehabilitation. The property can be owner-occupied, condemned by the City or repossessed by the VA or FHA. Property must be vacant upon acquisition.

Guidelines require that the sale of the property be voluntary, meaning that owners would approach the HRA to acquire the property – or in the case of a vacant, blighted property, the HRA could contact an owner to see if the owner would be interested in selling the property.

To obtain more information about this program contact the HRA at 651-554-3270.

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Rediscover South St. Paul

New Construction Program

In 1997, the City and the HRA initiated the Rediscover SSP New Construction Program in order to provide additional housing that is attractive to residents and outsiders alike.

The HRA, through its Blighted Property Acquisition Program, acquires substandard properties throughout the community and then razes the structures in order to make lots available for new home construction.

The newly constructed homes must be owner-occupied, single family dwellings valued at $200,000 or greater. Three bedroom and two bathrooms are the preferred design with have attached or detached garages. All house plans must be prepared in consultation with an architectural designer or architect and adhere to the Minimum Architectural Standards adopted by the HRA.

How the New Construction program works:

• Information on available lots may be obtained from Larry Danich of Metzen Realty (651-455-2214) or any other realtor. As lots become available Larry notifies interested parties. Lots are listed “For Sale” on the Multiple Listing Service (MLS).
• Offers are accepted by Larry for a specified period of time (usually two days). The potential buyer submitting the best offer can purchase the lot, contingent upon approval of an acceptable house plan. Builders are required to identify a buyer for the home at the time the HRA accepts the offer.
• A $500 participation fee is collected which gives the buyer 60 days to prepare house plans and enter into a development agreement. The fee is non-refundable, non-transferable and not part of the sale price.
• After the buyer submits an approved house plan, the HRA publishes a notice of public hearing to sell the property.
• The public hearing is held to consider the land sale and review house plans.
• The lot is sold to the buyer.
• The buyer has 12 months from closing to construct the home.

First-Time Homebuyer Program

In the market for your first home? Whether you are buying an existing home or building a new one, the Dakota County CDA's First-Time Homebuyer Program provides a financial resource to make your purchase successful.

For information regarding program eligibility, income limits and interest rates call the Dakota County CDA at (651) 675-4442 or visit the CDA's website at www.dakotacda.org.

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Remodel Advisor Program

The South St. Paul Remodel Advisor Program assists residents by providing technical assistance through a remodeling advisor. This service is provided free of charge with funding provided by the City of South St. Paul.

The Remodel Advisor will meet with you at your home to answer remodeling questions, discuss ideas, estimate project costs, and generally help you feel comfortable with the remodeling process. He can also assist in determining the improvements to be made in your home, identify a potential general contractor and provide some thoughts about design.

To get started with a remodeling project, contact the Remodel Advisor’s voice mail at 651-554-3248.

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