Home Rehabilitation Program

Owner-Occupied Housing Rehabilitation Program


The City of Lowell, DPD, provides eligible homeowners a deferred, no interest loan to address substandard and non-code-compliant violations which present a health or safety issue to the homeowner. The purpose of the loan is to improve the living standards and quality of life for low and moderate income homeowners in the City who ordinarily might not be able to make such needed repairs to their homes.

Loan Terms

  • A Housing Rehabilitation loan is a deferred -meaning that the homeowner makes no monthly payments. The term of the loan is due in the event that the property is sold, refinanced, transferred, or rented. The loan can also be called if there are violations of conditions of the program.
  • The actual loan amount depends on several factors: the extent of work, the available owner-equity in the property, the current monthly housing costs and, on amortized loans, the homeowner's ability to repay.
  • The interest rate is 0% per year.
  • The principal payments are deferred for the term of the loan.
  • A borrower may pay the entire deferred payment loan at anytime without penalty.

Homeowner Eligibility


To qualify for the program, you must:
  • Own, live in, and be on the title to the home to be rehabilitated located in the City of Lowell limits.
  • Meet certain income guidelines.
  • Have owned your home for at least three years.

Property Eligibility


To qualify for the program, property must be:
  • Able to support the loan-to-value ratio after the rehab is complete.
  • Free of encumbrances, liens or existing loans that do not meet the requirements of the Program.
  • Able to pass current state and federal guidelines regarding lead-based paint.
  • Valued under the After-Rehabilitation Limits set by HUD as determined by comparisons or appraisal.

Project Eligibility


The following activities are eligible under this Program:
  • Improvements required to correct unsafe, unhealthy or unsanitary conditions, including some general property improvements which may include Energy Efficiency.
  • Repairs and improvements needed to correct any condition causing the home to be substandard.
  • Cost of improvements necessary to ensure accessibility of the property to physically handicapped homeowners occupying the property.

How to Apply


  • Contact the program manager, Phil Ferreira at 978-674-1410, or email. Projects are taken on a first-come, first-served basis, except for emergency repairs, which may sometimes be given priority.
  • When your project reaches the top of the list, you will be sent an application package in which your income, savings and existing mortgage will be requested and verified, along with a credit report.
  • There is no charge to apply for a loan. Loans are secured by a deed of trust recorded on the property.
  • The borrower must maintain fire insurance coverage, and stay up-to-date with all City of Lowell obligations.