LOUISVILLE, Ky. — Louisville Metro’s popular down payment assistance program, which helps low- and moderate-income families purchase homes, will likely receive additional funding thanks to a city budget surplus.
What You Need To Know
- Louisville's down payment assistance program could soon receive additional funding
- Mayor Craig Greenberg, D-Louisville, has earmarked more than $1 million to the program from a budget surplus
- This money could help around 30 households, according to city officials
- Metro Council must now approve the reallocation
The program provides financial support to homebuyers, typically offering $30,000 to $35,000 per household.
Laura Grabowski, the city’s director of Housing and Community Development, said these funds are partially forgivable, with the remainder requiring repayment.
Grabowski said the assistance program was so popular, it had to be closed to new applicants a few weeks ago when funds started to run out. However, Mayor Craig Greenberg, D-Louisville, has proposed reallocating around $16 million from a budget surplus to city programs, including more than $1 million for down payment assistance.
“That would help around 30 households become homeowners; it's really important,” Grabowski said. “It's been important for a long time, but it's especially important right now because of the deficit of affordable housing options that we have and the rising prices of houses.”
The Housing Partnership Inc., a nonprofit that assists homebuyers, primarily in west Louisville, said it believes nearly all of its clients take advantage of this assistance program.
Patrick Cornett, the organization’s executive vice president and CFO, said the funding is helpful for families.
“Everyone in the city benefits from having healthy neighborhoods," Cornett said. "Everyone does. You may not be the person getting the money yourself, but you will benefit from it."
The Louisville Metro Council’s Budget Committee will discuss the surplus funds in early December, with a full council vote to follow.