For homeowners with low to moderate incomes, Dubuque provides low-payment, 0% interest loans to assist with renovations

Dubuque, Iowa – To address local housing needs, the Iowa Finance Authority gave more than $12.5 million to towns throughout the state. The money can be used by counties and cities to support first-time homebuyers, address homelessness, provide rental assistance, and more.

$250,000 was given to the City of Dubuque to assist residents with low-to-moderate incomes in renovating their homes. For those living at or below 80 percent of the area median income, the city provides loans of up to $25,000 with no interest.

Maintaining the city’s housing stock is a top concern because over 80% of Dubuque’s homes were constructed prior to 1980, according to Maddy Haverland, project manager for Dubuque Urban Development & Housing Rehabilitation. She pointed out that many older homes require renovations, but it is more difficult to obtain insurance coverage because of rising rates.

“These help people to be able to make those repairs for their homes because things that people may have filed a claim for may go unrepaired because they can’t pay the deductible,” Haverland explained.

According to Haverland, the loan program contributes to the preservation of the city’s affordable housing stock.

According to Haverland, “we also see a lot of older adults on a fixed income who want to age in place and maybe have some deferred maintenance on the home.” “Those homes need to be maintained, repaired, and rehabbed in an affordable manner.”

Dubuque anticipates assisting 15 individuals through the loan program in the upcoming year, including Perry Sopina. He resides in a home constructed circa 1900 in downtown Dubuque.
A faulty sewer line is one of the repairs that need to be made to his house. According to Sopina, the patch costs $15,000.

“I don’t have a lot of spare money to do something like this right now because things are so pricey. “I would have needed to obtain a bank loan,” Sopina stated.

With the exception of homeowners who earn 30% of the local median income, monthly payments under the city’s loan program can reach $60. The loan is due when the house is sold in specific circumstances.

Sopina is no longer employed full-time. He earns less than 30% of the local median income while working part-time at the ImOn Ice Arena.

“It relieves me of a lot of financial burden,” Sopina added. “This is simply saving me a great deal of stress and time.”

It is anticipated that the $12.5 million in IFA awards will benefit 2,636 families across 27 Local Housing Trust Funds.