HOME CONVERSION GRANT FUNDS STILL AVAILABLE

The Home Conversion grants are still available for homebuyers purchasing a home within the city limits of Salisbury. Applicants interested in the program should contact Salisbury Neighborhood Housing Service (SNHS) at 410-543-4626.
Home Conversion Grant

•The maximum grant award is $3,000. Property must be within the city limits.

•The property being purchased must have been a rental property for at least the previous three years continuously.

•Applications must be submitted to SNHS at least two weeks prior to settlement whether funds are being used for downpayment/closing or rehab.

•Applicants should check with their mortgage lender to see how the grant will be treated in the mortgage qualification process.

•Home Conversion grants may be considered taxable income. It is the applicant’s responsibility to report the income on their taxes.

•All persons listed on the mortgage loan documents must also be listed on the deed and anyone on the deed must also be on the mortgage.

•Home Conversion funds can be used toward downpayment, closing costs or rehabilitation of the property.

1.If funds are being used for downpayment/closing costs, the $3,000 check will be cut directly to the settlement attorney.

2.If funds are being used for rehabilitation, funds will be dispersed upon presentation of invoices or receipts related to the rehab of the property. If a contractor is being used, contractor must hold a MHIC license.

3.If funds are being used for rehab, applicant will be required to execute a rehab grant agreement.

•Upon receipt of grant funds, a lien will be placed on the property for a period of 5 years. The balance of the lien will be reduced 20% each year until the end of the 5th year when the lien will be completely forgiven. If the property is sold or title transferred or refinanced during the first five years, or if the property ceases to be owner occupied, the pro-rated portion of the lien balance shall be immediately due and payable.

If you have any additional questions or need clarification on any of the program requirements, please call Cheryl Meadows at Salisbury Neighborhood Housing Service, 410-543-4626.