What is SCHAP?
The Parodneck Foundation’s Senior Citizen Homeowner Assistance Program (SCHAP) provides financial assistance to senior citizen homeowners who are living in physically deteriorated housing or who are in danger of losing their homes to foreclosure. The program, which has been in operation since 1986, provides no- and low-interest loans and extensive technical assistance to qualified seniors. This support enables seniors to retain their homes and improve their living conditions, thereby helping them avoid financial insolvency, displacement, and/or loss of independence. To date, SCHAP is the only affordable financial and home improvement program in New York City targeted exclusively to low income senior homeowners. Since 1986, SCHAP has assisted over 1,000 homeowners (see map for locations - SCHAP Loans 1986-2015). Loans do not exceed $20,000
WHO IS ELIGIBLE FOR ASSISTANCE THROUGH SCHAP?
To be eligible, a senior must reside in any of the five boroughs in the City of New York, be at least 60 years old, and have been an owner-occupant of a one- to four-family home for at least two years. Also, be current with their mortgage loan and NOT have a reverse mortgage on their home. We have expanded this program to include non-senior homeowners but have limit funding.
WHAT PROGRAMS DOES SCHAP OFFER?
Parodneck Amortizing Loan Fund (RLF)
This product includes low-interest (3%) repayment loans that can be used to cover the costs of home improvements. This loan is repaid monthly over a ten-year (120 months) period. Borrower pays an origination and loan-processing fee of 3% of the principal amount; they remain fully responsible for all applicable recording fees.
Parodneck 10-year Deferred Loan
This product includes interest-free loans, origination and loan-processing fee of 3% of the principal amount for home improvement. Upon the 10th year (120 months) loan anniversary the loan is to be repaid in full.
Affordable Housing Corporation (AHC)
Grant amount is leveraged with one of the above listed loans. For households with less than 112% of Area Median Income; terms vary based on loan amount (2, 5 or 10 years)
Parodneck Repayment Loan Fund
This program provides low-interest (3%) repayment loans that can be used to cover the costs of home improvements. This loan is repaid monthly over a ten-year period. The loan is payable in full if the house is sold or ownership is transferred, if the borrower moves out, or upon death of the borrower. A processing fee (10% of the construction amount), a $250 legal fee, and a $1,200 engineering fee are added to the loan amount at loan closing.
The Parodneck Foundation Revolving Loan Fund:
This program provides low interest (0-6%) repayment loans for repairs or for payment of real estate taxes, mortgage arrears and other professional services (related to the senior's home) such as legal and architectural fees, all on a case-by-case basis. Generally, loans do not exceed $10,000. A 5% processing fee is charged for this loan.