Highland approves home buyer program
Highland home buyers can now take advantage of a new home buyer program offered by the city.
On Monday night, the City Council unanimously approved starting a Community Development Home Buyer Program to assist people with the purchase of a home in historic Highland (now defined with the borders of Hemlock on the west, Poplar Street on the east, Sixth Street on the north and 21st Street on the south).
Under the program, the city will provide a home buyer a five-year, forgivable loan for a maximum of $3,000, if they purchase a home in the defined area, Highland Economic Development and Marketing Director Lisa Peck said.
There are now a number of homes for sale in this area. Some of these homes are now being rented.
“The primary purpose of the program is to help to stabilize equalized assessed values by preserving the older housing stock in the community by encouraging home ownership in existing single family homes in the eligible area,” Peck said. “Both this goal and the goal of maintaining diversity of revenue streams are objectives of the proposed Strategic Plan.”
Peck believes the program will also be of benefit to potential home buyers in the community by providing assistance with the down payment and closing costs associated with the purchase of a home
“Many people are well able to afford monthly house payments, but struggle to come up with the cash necessary to purchase a home,” she said. “This program would assist to alleviate those concerns.”
The funding for this program would be a transfer from the General Administration fund to the Economic Development fund, mirroring the First Purchaser’s Building Permit Fee Rebate program previously funded by the city.
The program will be administered by the Community Development Department with the assistance of local participating lending institutions and realtors.
Similar programs are being offered by Madison County and the cities of Alton and Granite City.
Highland city officials have spent the past month defining properties that will qualify under the program.
Under the program, property being purchased may be either a detached single-family home or condominium.
“This program will not lend money for the purchase of rental property, manufactured or mobile homes,” Peck said.
This story was originally published July 11, 2015 at 3:00 AM with the headline "Highland approves home buyer program."