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Photo by Teresa Carrano, Times-Union

The change is evident after siding, eaves troughs and a new roof were installed at this home in Pierceton. Admiring the work are town council members Jerry Kreger and Ron Hall, contractor Larry Zuiderveen, HOW board member Bob Kline and Jake Murray, HOW housing programs manager.

PIERCETON - The roof had bubbled up like an old tar road on a hot day, the wide, 1960s- style siding had gone chalky with age and the furnace was about to blow its last hot breath.

What is a homeowner on a strict budget to do?

In this case, Housing Opportunities of Warsaw came to the rescue with a low-interest loan, which is completely forgivable if the owner stays in the house for a decade.

The woman who owns the house at the corner of Third and Walnut streets has nothing but good things to say about the HOW - Pierceton housing project.

"The guys did a really nice job," she said of the workers who replaced her roof and siding, encased her windows and installed a new furnace. "They were very picky and very professional. They worked hard and they worked fast."

The contractor for this home was Larry Zuiderveen, who said recently he often bids on government jobs.

Applying for an owner-occupied housing rehabilitation loan is like applying for any other loan. Local administrators of the grant, in this case Jake Murray, who works for HOW as a housing programs manager, must review the applicant's finances. Residents may qualify for the program if they own their own home and it is located within the Pierceton corporate town limits.

Certain income limits apply too (see box).

"The interview for the application only takes about an hour," Murray said.

Pierceton homeowners have $200,000 in Indiana Housing Authority Funds to apply to their houses.

The money will not be used to install swimming pools, tennis courts or marble floors in the foyer - luxury items. But if the windows are letting in most of the winter wind, if the plumbing is old and leakish and if the lights are flickering, the money is available - and forgivable.

Homes can be made handicapped accessible and more structurally sound through the program.

"I thought in the beginning I could afford a 3-percent interest loan," said the Walnut street resident, whose house is now maintenance-free. "When I talked to Jake, I realized I didn't have to repay any of it if I stay here for 10 years. It's such a good thing. It's amazing the town is willing to do that."

This particular loan was pursued by Warsaw Housing Authority's then-executive director Kathryn Walker in October 1999.

The town had to come up with $20,000 - a 10 percent money match - to secure the state loan.

Kosciusko County Foundation gave $10,000 and the rest came from individual donations.

Town council members Jerry Kreger, Terry Hill and Ron Hall decided the loans could be completely forgivable with a decade of further occupancy.

"This isn't a hand-out," said Kreger, who has worked closely with Murray and HOW, "its a hand up."

Laura Kaufman is the HOW exec now and said many more homes can be serviced through this program.

"There is a misperception about who is qualified for the funds," she said. "A lot of programs are for very low incomes and borderline people get excluded. This project includes moderate income people."

"The elderly, too, have a misconception that this is a handout, a welfare program," Murray said. "It's not. The town will have a second mortgage on the house. The money is set aside and ready to use."

If the funds aren't used in the next year, the money is gone.

Kaufman advises that the project benefits homeowners and benefits the town as a whole.

"Exterior improvements make the whole town look a little better," she said. "It affects the whole neighborhood."

Interested homeowners can contact Murray at 269-7641 or stop by the clerk's office.

On the Net: e-mail Murray at [email protected] [[In-content Ad]]