Kentucky Housing Corporation
The City of Paducah has obtained funding from the Kentucky Housing Corporation (KHC) to help provide quality housing to families who meet certain income requirements. The funds are being made available through the Kentucky Home Investment Partnerships Program (HOME Program). The Purchase Area Development District (PADD) administers this program locally.
The City has constructed and sold two new single-family homes and rehabilitated three existing single-family homes in the Fountain Avenue Neighborhood, one of which has sold. Four more new or rehabilitated single-family homes will be available under this grant by March 30, 2010. The homes will then be sold to families that meet the income criteria, as defined by the Department of Housing and Urban Development (HUD), and other eligibility criteria. The following house designs are being considered for the new homes:
For a list of current KHC-funded homes, please click here.
If you are interested in purchasing a KHC home, you must first submit a financial eligibility application to Mr. David Hargrove at the Purchase Area Development District (PADD). PADD staff will review the application and determine if the eligibility requirements are met. If you are determined to be eligible to purchase a KHC home, you will then meet with a local lender to determine how much you will be able to finance with a mortgage to supplement the financial assistance from the City of Paducah and KHC. Once this is determined, you will meet with Paducah Planning Department Staff to discuss the available houses and assess your housing needs.
The new or rehabilitated homes will be located on property already owned by the City of Paducah. Therefore, land purchase costs are kept down. Further, the City will be investing ten percent of the total construction or rehabilitation costs, which will be forgiven at the rate of 20 percent over five years. The maximum amount the City of Paducah will fund is $20,000. Funding from KHC will be forgiven at the rate of ten percent over ten years as well. The maximum amount KHC will fund per new home or rehabilitation project is $36,000. You, as the homebuyer, must obtain a bank mortgage for the balance to purchase the home. Homebuyer training is required and provided.
This is a great opportunity for income-qualified families to be able to own their own home. Please contact David Hargrove with the Purchase Area Housing Corporation at (270) 251-6158 or Charlie Doherty with the City of Paducah Planning Department at (270) 444-8690 for more information.