Housing Kitsap
Home Home Ownership Program Home Ownership Program Guaranteed Rural Housing Loan Program

Guaranteed Rural Housing Loan Program


Housing Kitsap uses the Guaranteed Rural Housing Loan Program as a resource to provide low- and moderate-income households the opportunity to own adequate, modest, decent, safe and sanitary homes as their primary residence in eligible rural areas. Eligible applicants may build or rehabilitate their home in an eligible rural area through Housing Kitsap's Homeownership Programs.


This program helps Housing Kitsap work with low- and moderate-income families living in rural areas to make homeownership a reality. Providing affordable homeownership opportunities promotes prosperity, which in turn creates thriving communities and improves the quality of life in rural areas.



Who may apply for this program?
Applicants must:

  • Meet income-eligibility;
  • Agree to personally occupy the home as their primary residence;
  • Be a U.S. Citizen, U.S. non-citizen national or Qualified Alien;
  • Have the legal capacity to incur the loan obligation;
  • Have not been suspended or debarred from participation in federal programs;
  • Demonstrate the willingness to meet credit obligations in a timely manner.


How may funds be used?
Funds backed by loan guarantees may be used for:

  • New or existing residential property to be used as a permanent residence.  Closing cost and reasonable/customary expenses associated with the purchase may be included in the transaction;
  • A site with a new or existing dwelling;
  • Special design features or permanently installed equipment to accommodate a household member who has a physical disability;
  • Reasonable and customary connection fees, assessments or the pro rata installment cost for utilities such as water, sewer, electricity and gas for which the buyer is liable;
  • A pro rata share of real estate taxes that is due and payable on the property at the time of loan closing.  Funds can be allowed for the establishment of escrow accounts for real estate taxes and/or hazard and flood insurance premiums;
  • Essential household equipment such as wall-to-wall carpeting, ovens, ranges, refrigerators, washers, dryers, heating and cooling equipment as long as the equipment is conveyed with the dwelling;
  • Purchasing and installing measures to promote energy efficiency (e.g. insulation, double-paned glass and ductless heat pumps);
  • Installing fixed broadband service to the household as long as the equipment is conveyed with the dwelling;
  • Site preparation costs, including grading, foundation plantings, seeding or sod installation, trees, walks and driveways