Terms and Minimum Requirements
The City of Salem’s Critical Repair Loan Program is intended to assist low to moderate-income homeowners with financing necessary to make critical and immediately needed repairs to their homes. The program provides homeowners up to $10,000 to make approved essential repairs and helps to preserve the City’s housing stock. Critical Repair funds are limited and requests are processed on a first-come, first-serve basis. The borrower and the home must meet the minimum requirements as outlined below; additional requirements may apply. Please read all requirements before submitting an application.
| Loan Terms |
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| Interest Rate: |
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0% interest |
| Loan Amount Per Unit: |
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$10,000 maximum |
| Term: |
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Deferred payment |
| Repayment: |
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Loan is due in full at sale, lease, or if property ceases to be owner occupied. |
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| Additional terms may apply. Terms subject to change. |
Eligible Borrower
- Annual household gross income cannot exceed 80% of the median income for Salem.
- Liquid asset cap of $5,000.
- Clear of bankruptcy for five years.
Eligible Homes
- Owner occupied and located within the city limits of Salem.
- Qualifying structures include: single-family homes, condominiums, and manufactured homes.
- After rehabilitation property value cannot exceed $271,050.
- Mortgage and taxes must be current.
- Home must be insured.
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