Could You Use $8,000?

Pohlad charity gives $8,000 to Dayton's Bluff homebuyers
Grant aimed at two hard-hit ZIP codes
By Tad Vezner

People looking to buy a home in St. Paul's Dayton's Bluff neighborhood will get extra money for a down payment, with the help of a $1 million grant from a Minneapolis charity.

Anyone who purchases a single-family home or duplex in the east St. Paul neighborhood by the end of the 2009 calendar year will receive $8,000. The money will not have to be repaid if the owner keeps the home for seven years. The owner has to stay in the home to qualify, and there are no limits on income.

The homes also must be in the 55411 or 55106 ZIP codes — the two areas hardest hit by foreclosures statewide, according to the Minnesota Housing Finance Agency. The funding would be in addition to an $8,000 federal tax credit that is part of this year's federal stimulus package.

"We're pretty excited. We should be ready to go shortly," said Jim Erchul, executive director of Dayton's Bluff Neighborhood Housing Services of St. Paul, the local nonprofit that is managing the grant funds. "That would help them (homebuyers) buy some furniture when they move in."

The funds are part of a $20 million effort by the Pohlad Family Foundation, a charity that focuses on family-based programs, to combat the effects of the economic downturn. It is giving job retention grants and low-interest capital improvement loans to small businesses; improving neighborhoods hit by the housing crisis and assisting homeless families with rent; and helping local nonprofits with other needed services, primarily in the areas of employment and housing.

In addition to several local and state housing agencies, the primary fund managers include the Minnesota Chamber of Commerce Foundation and MAP for Nonprofits.

The foundation usually gives $7 million to $10 million annually, primarily to local Twin Cities programs. The $20 million grant was made in addition to the foundation's regular allocations this year.

Anyone interested in the Dayton's Bluff program should contact Dayton's Bluff Neighborhood Housing Services at 651-774-6995.

Tad Vezner can be reached at 651-228-5461.

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Market Trend Continues

When compared to the same week a year ago, the market trends of the past few months continued this week with an increase in pending sales while new listings remaining about the same. Interest rates remain at record low's. Call us today to open the door to your dream home.