HOUSE BILL No. 6655

 

November 14, 2006, Introduced by Reps. Kolb and Zelenko and referred to the Committee on Commerce.

 

     A bill to provide a loan program to assist certain homeowners

 

of certain homes with certain renovations; and to describe certain

 

duties of certain state agencies.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"Michigan-plus existing home renovation loan act".

 

     Sec. 2. The state housing development authority shall

 

administer a loan program for qualifying homeowners. The state

 

housing development authority shall cooperate with mortgage lenders

 

to administer the program and shall set the interest rate for the

 

loan in consultation with private mortgage lenders who participate

 

in the program. It is the intent of the legislature to assist

 

first-time homeowners and others with financing of repairs and

 


improvements in order to secure home ownership and improve the

 

housing stock in communities.

 

     Sec. 3. A qualifying homeowner who has purchased an existing

 

home within 2 years of applying for a renovation home loan may

 

apply for a home loan of up to $25,000.00 for qualifying

 

renovations.

 

     Sec. 4. Renovations that qualify for a Michigan-plus

 

renovation loan include 1 or more of the following:

 

     (a) Roof repair or a new roof.

 

     (b) Heating systems.

 

     (c) Cooling systems.

 

     (d) Septic tanks.

 

     (e) Electrical wiring.

 

     (f) Structural repair.

 

     (g) Energy efficiency upgrades.

 

     (h) Minor foundation improvements.

 

     (i) Handicapper accessibility.

 

     Sec. 5. The state housing development authority shall

 

implement the Michigan-plus renovation loan program no later than

 

180 days after the state housing development authority has reached

 

agreement with private mortgage lenders on the mechanics of program

 

administration.

 

     Sec. 6. As used in this act, "qualifying homeowner" means a

 

homeowner who owns a home with an appraised value of $200,000.00 or

 

less.