The City of Covington is using eleven rehabilitated and three newly constructed homes to attract new residents.
Using a federal Neighborhood Stabilization Program Grant from the Kentucky Department for Local Government, Covington and two local nonprofit housing developers, The Center for Great Neighborhoods of Covington and Housing Opportunities of Northern Kentucky, have partnered to transform formerly foreclosed or abandoned properties into vibrant, affordable, and livable houses. Covington was selected from several Kentucky cities that applied for this competitive funding program, and was awarded $5 million dollars. The grant is designed to invest in neighborhoods that have older or vacant housing stock in need of rehabilitation.
"The Neighborhood Stabilization takes a problem property that got hit by the foreclosure crisis to rehab and reoccupy in order to make it a better neighborhood. Most of our properties are grouped closely together, transforming an entire block to make Covington more beautiful," said Jeremy Wallace of the Covington Community Development Department. "Covington has been always a preservation community with a high concentration of historic buildings," Wallace explained. "We renovated eleven existing homes, but had to tear down three because those properties were beyond repair. As long as it is cost effective, we as a community think it's important to preserve and renovate first."
Each rehabiliated or newly constructed home will incorporate green building techniques and will contain energy star appliances, energy efficient insulation, and high-energy efficient windows to reduce utility and energy costs.
Prospective homebuyers are required to obtain an approved first mortgage from a lender of their choice, acquire a certain amount of income and credit, and attend an approved free homeownership educational course. Wallace explained that while Covington has been successful attracting young, single individuals, these home ownership opportunities will appeal to a wide range of individuals with different income requirements ranging from $58,400 for a single-person household to $96,750 for a six-person household. Buyers will also receive financial incentives to assist with purchase to ensure that homes are affordable, making this a more attractive opportunity for those wanting to live in the urban core.
Writer: Lisa Ensminger
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