Under Kane County's Foreclosure Redevelopment Program (FRP), foreclosed houses up-and-down the Fox Valley are being beautifully renovated and are available for purchase (at very attractive prices!) to eligible homebuyers. Outlined below are the homebuyer eligibility criteria, FRP financing terms, and steps in the home-buying process.
National Foreclosure Settlement Program:
As part of this program, Kane County's Office of Community Reinvestment is also working in partnership with the Community Foundation of the Fox River Valley under the National Foreclosure Settlement Program to purchase and redevelop foreclosed homes under a grant funded by the office of the Illinois Attorney General.
Click here to View Available Homes, and find program guidelines, application forms and information about homes redeveloped under both the Foreclosure Redevelopment Program and the National Foreclosure Settlement Program.
Homebuyers must not exceed certain income limits in order to purchase a home under the Foreclosure Redevelopment Program; certain guidelines and limits are specific to each home. Click the "View Available Homes" link to see the guidelines for each home.
The Foreclosure Redevelopment Program is not just for first-time homebuyers, but program rules require that homes purchased serve as the primary residence of the homebuyer. (Sorry, no investors.)
In order to purchase one of these homes, Homebuyers must follow the steps outlined in the application/guidelines, and complete homebuyer counseling from a HUD certified counselor/agency*. Please make sure that the agency can confirm that they are in compliant with HUD's guidelines for Homebuyer Counseling. Homebuyers will be required to provide a certification from the Housing Counselor. *Local HUD-certified Housing Counseling agencies include: The Neighbor Project (Aurora) (630-906-9400); DuPage Homeownership Center (Wheaton) 630-260-2500; Consumer Credit Counseling Service of Northern Illinois (Elgin) (815-338-5757).
Homebuyers are required to have a minimum investment in the purchase equal to 1% of the purchase price, and must obtain a first mortgage from a lender of their choice.
Homebuyers are eligible to receive a soft-second mortgage of up to $15,000. No interest accrues on the soft-second loan, and no payments are due until the home is sold, the title is transferred, or the home is no longer used as the homebuyer's principal residence.
Homebuyers must submit an application and be deemed "QUALIFIED" before they are able to submit an offer to purchase one of the available homes.