Cooperative housing loans are a custom mortgage product with a 10 to 15-year term for limited-equity and/or low-income housing cooperatives.

Criteria

• MAXIMUM MORTGAGE AMOUNT: Up to $700,000 (depends on credit worthiness of borrower and scope of development)
• MAXIMUM LOAN-TO-VALUE: 80- 100%
• TERM OF LOAN: Up to 15-years
• AMORITIZATION: 30-year maximum
• INTEREST RATE: 6-9%
• INTEREST REPAYMENT: Monthly principal and interest-with balloon at maturity, or fully amortizing, where possible
  
• POINTS: Up to 2 points
• APPLICATION FEES: $250 FEES: Normal closings costs apply
• ESCROW DISBURSEMENT: Required on all loans exceeding $5,000
  
  
• SECURITY: First mortgage (valid first lien on property) preferred and/or combination of first or second position lien on property along with guarantees, cash collateral, Letters of Credit, first or second position lien on other property and so forth
  
• OTHER: Technical assistance from cooperative housing trade association and/or CCLF is generally required

Eligibility

• PROPERTY RESTRICTIONS: Must be located within Chicago metropolitan area (Illinois)
  
  
• BORROWER RESTRICTIONS: Must be a housing cooperative organization, nonprofit or limited liability corporation. Income of end-users must not exceed 120% of Area Median Income (AMI).

Have questions? Feel free to contact our Lending Team.

Profile: Stone Soup Cooperative

Read about Stone Soup Cooperative and how they used this loan product for their project!

Have questions about cooperative housing? Email Mark Fick,CCLF's resident housing co-op expert!

Unfamiliar with some of the lending vocabulary? Look up those terms in our glossary!