Housing Hardship Loan Program

Housing Hardship Loan Program

The Town of Plainfield Housing Hardship Loan program will use American Rescue Plan (ARP) Act funding to provide low interest loans to low-to moderate income homeowners to complete non-luxury construction projects on their homes. This Program is NOT the Town’s Community Development Block Grant (CDBG) Housing Rehabilitation Program and is managed separately.


The objective of the Housing Hardship Loan Program is to provide financial assistance to low-to moderate income households experiencing a hardship for the purpose of making vital repairs to their housing unit(s). The units covered by this program must be located in the Town of Plainfield, which also includes Moosup, Central Village and Wauregan. The primary emphasis of the program is to provide sustainable, safe, decent, and sanitary living conditions. Building Code violations will be addressed where physically and financially feasible. Properties will be made lead, radon and asbestos safe if an issue is discovered.  Additional emphasis will be to increase the energy efficiency of the units, and correct incipient code violations. 

Financial Assistance/Funding Limits

Applicants may request funding not to exceed $15,000 for single family homes and $20,000 for 2 family homes. Funding is provided as direct payment loans only. Pro-rated Direct Loans are available on a case-by-case basis. See program guidelines for more details.

Loans may not exceed 3% interest, and terms of the loan agreement will be determined by the Board of Selectmen.

One hundred percent (100%) of all single-family units rehabilitated must be occupied by eligible low and moderate-income households.

The property must have sufficient equity upon completion of the project to support the Town’s loan.  Typically, the Town’s loan will not exceed 90% of the after-repair(s) loan to value ratio.

Eligibility Requirements

To qualify applicants must:

  • Own a 1-2 unit residential property located within the Town of Plainfield which is to be assisted.
  • Occupants' must qualify as low-to-moderate income according to HUD Standards (See Program Guidelines for more details)
  • Applicants must prove they are unable to make necessary, non-luxury, repairs to their home due to a temporary, long term, or permanent financial hardship beyond their control. (unemployment/underemployment, disability, illness, significant loss of income, etc.)

Eligible Usage/Activities

  • Loans may only be used for non-luxury construction projects such as roof repairs, electrical work, plumbing repairs, alterations to address code /safety violations, or any other activities that will improve the safety of a home.

Ineligible Properties/Activities

Loans MAY NOT be used for:

  • Any non-residential property.
  • Any property with outstanding back taxes where no locally approved payment plan is in place.
  • Luxury construction activities such as pools or decks
  • Landscaping, plantings or fencing.
  • Construction, repairs, or improvements to out-buildings such as sheds, carports, gazeboes, barns, etc
  • Work that would result in permanent relocation.
  • No project will be performed on residential properties where the value of the project is more than 75 % of the replacement cost of the dwelling based on after rehabilitation value, less the land value and or infrastructure without prior written authorization from the Municipality.
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For complete Program details, please review the Town of Plainfield Housing Hardship Loan Program Guidelines!

To apply, please complete the 
Town of Plainfield Housing Hardship Loan Application, and return it to the Plainfield Economic Development Department with all required attachments, and application fee.