Advantage Plus Loan Program
(City of Euclid Only)
The Advantage Plus Program builds upon the Cuyahoga Land Bank's Owner Occupant Buyer Advantage Program (OOBAP).
Both the City of Euclid and Neighborhood Housing Services of Greater Cleveland (NHSGC) have
signed on as partners for this 'loan' program.
The Advantage Plus Loan Program, like OOBAP, is geared specifically toward prospective owner-occupiers --
people that want to rehabilitate a property in order to make it their home. While anyone can put in an offer
on a property in the Cuyahoga Land Bank's inventory, many properties need extensive work, which requires the
purchaser to have either renovation expertise or the ability to pay contractors to make the necessary repairs.
Generally, the properties that the Cuyahoga Land Bank places into the OOBAP program, on the other hand, are
selected because they require a moderate investment and much of the work needed can be undertaken by someone who
is handy. These properties are typically in better condition than others in the Land Bank's inventory and a buyer
may obtain more equity from the onset.
Working with OOBAP since it was launched in August 2012, the Cuyahoga Land Bank has realized
that even with the preferences set up for potential owner-occupant buyers through OOBAP, there are still
financial barriers that make purchasing a home to renovate difficult for some buyers. Currently, OOBAP
articipants are required to provide proof of funds to cover the acquisition, renovation costs,
and a 10% renovation cost reserve of the property they purchase; the Advantage Plus Loan Program helps
address this financial challenge.
In addition, the City of Euclid will waive all permitting and inspection fees related to property renovations done through the Advantage Plus Loan Program, although a buyer will have to pass all applicable city inspections.
Terms and Conditions apply including but not limited to:
Income limits and minimum credit score. You must agree to reside at the property for at least three years.
Advantage Plus Loan Program Steps:
- Review renovation specifications (Rehab Spec) and any applicable Municipal Point-of-Sale (POS) reports.
(Rehab Specs, POS inspection reports and other property details can be viewed and downloaded by clicking on the property picture.)
- Submit the Property Purchaser Application to the Cuyahoga Land Bank indicating your interest in visiting the property.
- A Cuyahoga Land Bank representative will contact you to make arrangements to view the property.
- After visiting the property, determine if you want to bid on the property (note: the stronger the offer, the more likely you are to be the successful bidder).
- Submit the Complete Bid Package listed below - as to the Cuyahoga Land Bank offices by 4:30pm or by
mail on or before the bid end date. Bids received or post marked by the bid end date may NOT be accepted.
- After the bid period ends, the Cuyahoga Land Bank staff screen to ensure that the buyer does:
-Not own any real property that is in material violation of state and/or local codes or has a history of code violations
-Not own any real property that has a history of being a site for criminal activity during the purchaser's ownership
-Not own any real property that is tax delinquent
-Not have lost any title or had any foreclosure filings against any properties within the past three years
-Use property consistent with current zoning requirements of the respective municipality
-Comply with all fair housing and market regulations
- If the buyer, with the strongest bid, successfully passes the screening, the Cuyahoga Land Bank will notify the buyer
of the successful bid and then forward a conditional purchase agreement in accord with the terms as proposed by the
buyer in the Buyer Bid Form and the Cuyahoga Land Bank's
Deed-In-Escrow Program. At this point, the buyer will get an
opportunity to view the property again to make sure that the renovation specifications and corresponding costs are 100% accurate.
- If the buyer would like to receive up to $10,000 in loan funds related to the renovation they will next be
DIRECTED to Neighborhood Housing Services of Greater Cleveland (NHS) for loan review. The buyer
will also be required to sign a third party authorization form that states that information can be shared between NHS and the Cuyahoga Land Bank. COPIES of the following documents will need to be
provided to NHS:
-Proof of ALL household Income covering last 60 days - most recent consecutive pay stubs
-W2's & 2011 Federal Income Tax Returns (Form 1040) - all pages
-W2's & 2012 Federal Income Tax Returns (Form 1040) - all pages
-If self-employed, copy of 1099's and a Quarterly Profit and Loss Statement
-Last two months bank statements/credit union accounts - showing your savings for the house purchase - all pages
-Bankruptcy information - ONLY if you have filed bankruptcy within the last 5 years
DO NOT CALL NHS until directed by the Cuyahoga Land Bank staff. REMEMBER, bring COPIES of the above documents ONLY.
- If the buyer fails to pass the
screening, referenced above, and does not abide by the Property Transfer Policy, then the Cuyahoga Land Bank will consider the next highest bid.
- If the buyer qualifies for the loan, they sign a mortgage, a promissory note, and put the bid amount into an escrow account.
- At that point, the Cuyahoga Land Bank issues a Notice to Proceed, and renovation work can start.
- Once the buyer has completed the property renovation, and closed
all permits, if any are applicable, the Cuyahoga Land Bank will inspect the work. Once the property is renovated to the agreed specification, the title company will transfer the deed to the buyer.
WORK CANNOT BEGIN UNTIL THE NOTICE TO PROCEED IS RECEIVED AND SIGNED BY BOTH PARTIES.
BUYERS CANNOT LIVE IN THE HOUSE UNTIL ALL WORK IS COMPLETE AND TITLE IS TRANSFERED.
Complete Bid Package:
- Bid Form (Indicate Advantage Plus Loan Program if you would like to use loan funds)
- Signed specification sheet
- Proof of funds (e.g. bank statements, line of credit, etc.)
- Acknowledgement of CCLRC rules, regulations and/or procedures, if applicable
Click here to learn more about the Advantage Plus Loan Program.
The Cuyahoga Land Bank reserves the right to change, modify or amend these procedures at any time.
Click to show ALL Land Bank Properties.
Click to show Renovated Land Bank Properties.
Click to show ALL For Sale/To Renovate Land Bank Properties.