City to Offer Residents Low-Interest Loans

The California Department of Housing and Community Development will give Pico Rivera nearly $500,000 to provide low-interest home improvement loans to residents, city officials said Tuesday.

The grant, which comes from federal funds allocated by the state, will allow low-income homeowners to make repairs and necessary improvements, said Bill Shannon, assistant to the city manager. In previous years, homeowners have used the loans to shore up foundations, fix leaky roofs and add extra rooms to ease overcrowding, Shannon said.

The grant is expected to arrive within the next two months. Shannon said homeowners will then be able to apply for the loans, which carry a 3% annual interest rate, as long as they earn less than 80% of the countywide median household income.

That 80% figure amounts to $41,050 for a family of four or $28,750 for a single-person household, he said.