Oak Park homeowners earning below 80% of the area median income can borrow up to $25,000 at zero interest for home repairs through a Village-run program that charges no monthly payments until the loan comes due.
The Village of Oak Park's Neighborhood Services Department, which administers the federally funded Single-Family Rehabilitation Loan Program, posted about the program on X on Wednesday, Aug. 12, directing residents to oak-park.us/rehabloans. Applications are accepted on a rolling basis.
Who qualifies
Homeowners must own and occupy a single-family home or condominium in Oak Park with a household income below 80% of the Cook County Area Median Income as defined by HUD. For 2026, that means a single-person household earning under $68,050 or a four-person household under $97,200, according to the Village's published income limits. The Cook County AMI is $121,500.
Applicants also need clear title, current water and property tax bills, hazard insurance covering at least 80% of the home's market value, and at least 10% post-rehabilitation equity. Rehabilitation costs must exceed 50% of the applicant's liquid assets.
What's covered
The program prioritizes repairs in this order: code violations and life-safety issues first, then incipient code violations and accessibility modifications for disabled residents, followed by energy conservation upgrades such as insulation, windows and furnaces, and finally general property improvements.
Luxury items are excluded. Room additions, air conditioning and decks do not qualify.
The minimum project budget is $2,500. Homeowners must collect at least three sealed bids from licensed, insured contractors and cannot serve as their own general contractor.
Loan terms
Standard loans carry 0% interest with repayment deferred up to 20 years. The full balance comes due in a lump sum after 20 years or upon sale or transfer of the property, whichever happens first. A separate emergency loan of up to $5,000 follows the same zero-interest structure but must be repaid within five years or at sale.
A 1% application fee applies to standard loans, due upon Village Board approval. Emergency loans carry a $75 fee paid in advance.
How to apply
Applications go through the Housing Programs Advisory Commission, which recommends approval to the Village Board of Trustees for a final vote. Emergency loans can be approved by the Housing Programs Manager and Village Manager without full board action, according to program policy guidelines.
The program is funded through HUD's Community Development Block Grant program. Past recipients can apply again five years after their previous loan's board approval date.
Context
The promotion comes as Oak Park homeowners face fresh financial pressure. The Cook County Assessor's Office mailed 2026 reassessment notices to all Oak Park property owners on May 6, reflecting updated property values as of Jan. 1, 2026. Those new values will determine property taxes unless reduced by appeal, Oak Park's Wednesday Journal reported.
Residents can reach the Neighborhood Services Department at 708-358-5410 or [email protected]. According to Village records, Assistant Village Manager Jonathan Burch directs the department at 123 Madison St.
