Home Improvement Loan Program

About the Program

The City of Newark provides loans for needed home repairs and rehabilitation to eligible Newark homeowners under the CDBG program. The Home Improvement Program (HIP) helps local homeowners, who meet local CDBG income requirements, preserve and rehabilitate their homes. This program helps owner-occupants maintain their homes, which adds to the beauty and stability of the City’s neighborhoods. Funding is limited and is available on a first come, first served basis.

Which home qualify?

The home must be located within the City of Newark municipal boundary. Homes located outside the Newark municipal boundary may qualify for assistance with New Castle County’s Department of Community Services Home Repair Programs | New Castle County, DE - Official Website (newcastlede.gov), value cannot exceed $278,050. The property must have hazard insurance that meets the program requirements. Applicants must be current on all mortgages and taxes and not have delinquent federal, county, or city debt. There must be sufficient equity in the home to cover the amount of the loan.

Who is eligible?

Newark homeowners who make below 80% of the area median income for New Castle County. The current guidelines are below (Home Repair Program Income Guidelines as of July 18, 2023):

Family Size50% of Median80% of Median

Which repairs are eligible?

Repairs that generally qualify under the HIP include

  • Heating, Plumbing, Electric systems
  • Roofing, Siding, and Weatherization items
  • Sewer and water systems
  • Accessibility modifications

A property may be considered unsuitable for repair of rehabilitation if it is deteriorated beyond feasible economic repair and or the level of work exceeds the scope to the program.  Any project in excess of $25,000 requires approval by City Council.

Homes constructed prior to 1978 must be tested for the presence of lead-based paint hazards.  Any lead hazards found must be reduced to appropriate federal standards.

Homes constructed over 50 years ago may be subject to historic review.

Work carried out before a loan is approved, in writing and before the Order to Proceed is signed by all parties, is not eligible for funding.


The HIP finances the cost of the rehabilitation with 0% interest, deferred loans.  The lien placed on the home requires that applicant to live in the home as their primary residence during the term of the loan.  Applicants must have resided in the home for a minimum of one-year at the time of application.

Processing of Application

Owner must submit completed application to the City’s Planning Department. Applications available in City’s Planning Department or by clicking this link: https://newarkde.gov/DocumentCenter/View/30/

The applicant must provide a picture ID or proof of address.

The applicant must present proof of all earned and unearned income.  Income verification can include the following:

  • Last three (3) consecutive pay stubs or letter from employer detailing annual salary.
  • Copy of Social Security/Disability Benefits (letter from Social Security)
  • Copy of current State Temporary Assistance for Needy Families (TANF), General Assistance (GA) or any other State assistance in the form of the benefit later or letter from agency case manager detailing monthly award amount.
  • Copy of Unemployment Checks
  • Copy of Child Support Payments or Order
  • Notarized Statement of any family income not listed above.
  • Notarized Statement of Zero income.

Additional Information

For more information, please contact program administrator, Community Planner Jacob Higgins by phone at 302-366-7000 x2044, or by email at JHiggins@newark.de.us