Indoor Plumbing Program (IPP)
The Indoor Plumbing Program (IPP) is designed to provide indoor plumbing to residential properties. The properties may be single family, owner occupied homes as well as rental properties with one to twenty units. The IPP loan may be used to fund the following improvements:
Addition’s, modifications, alterations needed for private space for toilet and bath facilities
Alternative and innovative septic and water systems
Connection fees and assessments
Cost of percolation tests
Piping from the septic system to the residential building
Plumbing fixtures and equipment, including handicapped equipment
Sand mound systems
Septic tanks and drain fields
Eligible applicants must be owner-occupants of single family homes with qualifying income and all tenants of rental housing must have an income at or below 80 percent of the statewide or Washington, D.C. Metropolitan Statistical Area (MSA) median income depending on property location.
Generally the interest rates for the IPP loans are based on the percent of the MSA median income and the owner-occupant’s ability to repay the loan, or the overall project’s net income available to repay the loan for rental units. Generally the maximum loan amount is 95 percent of the value of the property, taking into account any superior mortgage, for a maximum term of 20 years. Deferred payments may be considered for families at or below the 50 percent of the applicable MSA median income. Landlords are not eligible for deferred loans.