Residential Rehabilitation Loan Program FAQs

The interest rate on individual rehab loans is 3% per annum, simple interest, for a maximum term of 20-years.

Decisions are made on a case-by-case basis considering the property value and type, as well as the applicant's income, indebtedness and ability to repay.

Payments are either amortized or deferred for 20-years and can be paid off at any time. 

In cases of exceptional hardship, a deferred payment loan may be approved with no monthly payments required. Repayment of the loan is deferred either for a specified period or until the property is sold or the title transferred.

A loan may be paid in part or in full, ahead of the maturity date without prepayment penalties.

No. Should the property be sold during the life of the loan, or should the title change for any reason, the outstanding balance will become due and payable. 

It must be performed by a licensed contractor. The homeowner is responsible for selecting a contractor and entering into a contract. Rehab staff is available to advise the owner on his/her selection and on specific contract terms.

The owner has the choice of hiring a general contractor or engaging individual subcontractors and coordinating the job himself or herself.

If authorized by Marin Housing, an owner with the requisite skills can perform some or all of the work. In those cases, loan funds can be used to pay for materials, or for outside labor, but not for the owner's own labor.