Montana Housing Infrastructure Revolving Loan Program
Loans may be for residential development to cover the costs of demolition or expanding or extending water, wastewater, storm water, street, road, curb, gutter, and sidewalk infrastructure to serve new or rehabilitated residential development.
The total amount of loans made to an entity may not exceed one-million dollars, or fifty percent (50%) of the projected project cost.
Fixed rate financing up to 20 years.
Borrower must pay all impact fees due to the local government or the amount of the impact fees up to the amount of impact fees up to the amount of the loan, whichever is less.
The Borrower and Lender must demonstrate that:
The infrastructure project will provide for residential development at a minimum gross density of 10 units for each acre; and
Made findings that the infrastructure funded in part by a security provides for provisions to preserve long-term affordability of the housing that runs with the property for the terms of the security.
BOI does not lend directly to Borrowers.
Only Approved Lenders may submit Loan Reservation and Loan Application forms.
Maximum BOI participation is one-million dollars, or fifty percent (50%) of the Lenders loan if the loan-to-value is seventy-five percent (75%) or less.
BOI completes a full underwriting credit review.
Reservation Process
Approved Lender completes and submits the Loan Reservation form.
Reservation fee is 0.25% of the BOI participated amount.
Submission of the Loan Reservation form and payment of fee locks an interest rate and reserves funds for one year.
Interest rate is locked as the date on the Loan Reservation form is received by BOI.
Reservation fee will be taken from the Approved Lender's authorized account via ACH.
Application Process
Approved Lender completes and submits the Loan Application form.