Building Neighborhoods and Affordable Homes Program
The Building Neighborhoods and Affordable Homes Program (BNAH) encourages homebuyers to move into five targeted neighborhood areas: Englewood Square, North Lawndale, South Lawndale, Humboldt Park/Garfield Park and Woodlawn.
|Target Areas||Target Area Boundaries||Ward|
|59th St., Stewart Ave., Marquette Road. Morgan St.||16|
|North Lawndale||Roosevelt Road, Albany, Ogden, Homan avenues||24|
|South Lawndale||18th St., Sacramento Ave., 27th St., Kostner Ave.||12, 22, 24|
|Humboldt Park/Garfield Park||Division St./Grand Ave., Kedzie Ave., I-290, Keeler Ave.||27, 28, 37|
|Woodlawn||61st St., Harper Ave., 69th Place, St. Lawrence Ave.||20|
The program is funded with $5 million from the Affordable Housing Opportunity Fund ($1 million per target area).
Grant funds can be used as follows:
- To fill an appraisal gap (difference between sales price and appraised value); and
- If the appraisal gap is less than $60,000, any remaining amount may be used for:
- Closing costs
- Down payment
- Senior loan principal reduction
- Appraisals, inspections, pre-paid interest/points, 1 year pre-paid insurance.
There is a cap of $15,000 for non-neighborhood residents, $20,000 for current neighborhood residents (as defined by program regulations,) for the non-appraisal gap assistance.
The Department of Housing administers the program from the application stage through closing, and then monitors the property for 10 years to verify owner occupancy.