Gap Funding Initiative to help RREM-approved homeowners rebuild

The American Red Cross and the Hurricane Sandy New Jersey Relief Fund, chaired by First Lady Mary Pat Christie, recently provided $15.2 million to the Gap Funding Initiative, a new program administered by New Jersey Community Capital to help eligible New Jersey homeowners rebuild.

Homeowners who have been awarded Reconstruction, Rehabilitation, Elevation and Mitigation grants in Sandy-impacted communities can apply for GFI housing assistance grants of up to $30,000 to help fill the gap between their RREM awards and their total rebuilding costs. In order to be eligible for the funding, applicants must have been awarded a RREM grant, have a total household gross income of $100,000 or less and have a need in excess of the maximum RREM grant of $150,000.

Photo via American Red Cross
Homeowners in Sandy-impacted communities can apply
for GFI grants to help pay for their total rebuilding costs.

“This $10 million Red Cross grant, made possible by generous donations to the Red Cross, will assist low- to moderate-income families across New Jersey to rebuild,” Jerry De Francisco, American Red Cross Humanitarian Services, who is overseeing the Red Cross Sandy recovery work, said in a press release. “Working together with the Hurricane Sandy New Jersey Relief Fund and New Jersey Community Capital, we want to help homeowners rebuild as soon as possible. Partnering with communities we serve is a critical part of our mission, and we have worked beside our New Jersey neighbors from the early days of the storm response and will continue throughout the recovery process,” he added.

Due to federal requirements for the RREM program, homeowners must prove that they can cover any gap between the total cost of reconstruction and the $150,000 maximum grant. This initiative will supply some or all of the extra funding many homeowners will need in order to restore their homes. The maximum $30,000 homeowner grant will subsidize the applicant’s RREM escrow account and will go directly to home construction costs.

To fill out an application for the RREM Gap Funding Initiative, or for more information, visit gapfundinginitiative.org.

–Kelley Anne Essinger

This article was published in The SandPaper.