Fargo, Moorhead and Gate City Bank invest in housing programs

FARGO — Gate City Bank is partnering with the cities of Fargo and Moorhead to invest in neighborhood housing improvements.

Fargo

In Fargo, the 2019 Neighborhood Revitalization Initiative (NRI) Housing Program application period is now open and will allow more owners of older homes in Fargo to improve their properties. The 2019 NRI Program is made possible through a new $2 million loan pool investment by Gate City Bank.

Details of the program include:

  • Interest rate as low as 4.30 percent APR (annual percentage rate).

  • Repayable over 10 or 15 year term.

  • Available to homeowners of an owner-occupied residence that is 40 years or older.

  • Assessed value of the home must be less than $250,000.

  • Maximum loan amount is $75,000.

The deadline to apply is Oct. 31. For more information, visit FargoND.gov/NRI.

Moorhead

In Moorhead, Gate City Bank is working with the city to invest in mature neighborhoods and by providing the Neighborhood Impact Program. The low-interest loan program includes inspection services from the city, to help homeowners identify needed repairs and conduct major improvement projects on older homes.

The program was originally made available by Gate City Bank to Moorhead residents in 2005; since then, more than 135 homeowners have taken advantage of the loans. Improvements ranged from safety repairs, such as furnace replacements and accessibility improvements, to patio additions and new garages.

Moorhead Neighborhood Impact Program loan terms:

  • Rates as low as 3.96 percent APR.

  • Repayable over 10 or 15 years.

  • Minimum loan value $10,000; maximum loan $75,000.

  • Maximum loan-to-value 90 percent (GCB valuation guidelines).

Program funds may be used to address code and structural corrections, energy improvements, and general property improvements. Loans are available to finance new improvements not yet under construction, and if there are code corrections identified during the inspection, they must be addressed as part of the project.

The project must include at least one of the following:

  • Foundation work (drain tile, bracing, new foundation).

  • Major exterior improvements (siding, roofing, windows).

  • Addition of bedroom or living space.

  • Major interior remodeling or replacement of major mechanical systems (furnace, electrical system).

  • Conversion of rental unit to owner-occupied home.

To qualify, loan applicants must be the owner-occupant of the home and meet Gate City's credit standards for repayment of the improvement loan.

Property requirements include:

  • Built before 1990.

  • Located within the city of Moorhead municipal boundaries.

  • Zoned for residential use.

  • Outside of the 100-year flood plain.

  • Assessed value under $250,000.

  • Owner-occupied one or two-unit residences (if there is a second unit, it must be a registered rental unit).

  • Up-to-date on property taxes and special assessments.

Applications are reviewed on a first-come, first-served basis as funds are available.