Appalachian Renovation Loan Program

he Appalachian Renovation Loan Program (ARLP) will improve homeownership for the residents of the Appalachian counties. The program goal is to help provide safe and sound housing to residents in the most Distressed and At-Risk counties through loans for repairs or improvements.

Who is eligible to apply?
A homeowner of a single-family (one-to-four unit) home who is located in a targeted county that requires repairs or modifications for their home.

Eligible Property Types:
For Distressed Counties: Single Family 1-4 unit residence or manufactured home (single or double-wide). For At-Risk Counties: Single family 1-4 unit residence or manufactured home (double-wide only).

Ineligible Property Types:
Commercial properties, multifamily properties, and properties listed on a state or national historic register.

Targeted counties for this program are:
Bledsoe, Campbell, Carter, Claiborne, Clay, Cocke, Fentress, Grainger, Greene, Grundy, Hancock, Jackson, Jefferson, Johnson, Lawrence, Lewis, Macon, McMinn, Meigs, Monroe, Morgan, Overton, Pickett, Polk, Rhea, Scott, Sevier, Unicoi, Union, Van Buren, Warren and White

Who selected or designated these counties?
The Appalachian Regional Commission (ARC) designated the above counties as Distressed or At-Risk. ARC uses an index-based classification system to compare each county in the nation with national averages on three economic indicators—three-year average unemployment rates, per capita market income, and poverty rates. Based on that comparison, each Appalachian county is classified within one of five economic status designations—Distressed, At-Risk, Transitional, Competitive, or Attainment. For more information on the ARC or their Distressed Counties Program, please visit their website www.arc.gov.

ARC logo

What are the minimum and maximum loan amounts?
The minimum loan amount is $5,000. The maximum loan amount is $25,000.


What are the terms of the loans?

For 2015 ARC Distressed Counties:

  • Maximum Loan Amount of $25,000
  • 0% Interest Rate
  • No monthly payment
  • 5-Year Loan Term
  • No Prepayment Penalty

For 2015 ARC At-Risk Counties:

  • Maximum Loan Amount of $25,000
  • 4.0% Interest Rate
  • Repayable
  • 5-Year Loan Term
  • No Prepayment Penalty
** Post Purchase Homebuyer Education will be required for all ARLP loans and must be completed prior to closing.


How do I apply for a loan?
In order to apply for an ARLP loan you must contact an approved ARLP Program Participant. The Program Participant will determine if you meet the basic loan qualifications and if your repairs or improvements fall within THDA’s approved activities.

How do I locate a Program Participant in my area?
Below are the three approved agencies for the State. Place cursor over the agency’s name for county listing. If your county does not appear in the list, please email sfspask@thda.org for assistance in locating a Program Participant in your area.

Agency
Counties Served
Clinch-Powell RC&D
7995 Rutledge Pike, Rutledge, TN 37861
(865) 828-5927
Claiborne, Grainger, Hancock, Jefferson and Union
Upper Cumberland Development District
1225 South Willow Avenue, Cookeville, TN 38501
(931) 432-4111
Clay, Fentress, Jackson, Macon, Overton, Pickett, Van Buren and Warren
Eastern Eight Community Development Corporation
214 E. Watauga Avenue, Johnson City, TN 37601
(423) 232-5097
Carter, Greene, Hancock, Johnson and Unicoi

ARLP FLOW CHART

Click to enlarge