The geographic boundaries of the Enterprise Community consists of a combined total of 1000 square miles, in Beadle and Spink counties in South Dakota. This includes the towns of Cavour, Doland, Frankfort, Hitchcock, Iroquois, Tulare and Yale.

Home Enhancement Lending Program  

(HELP Loans)

Affordable low interest lending program for home additions, improvements or repairs.

"The objective of BASEC’s Home Enhancement Lending Program (HELP) is to provide the single family  homeowner with affordable financing to improve, maintain and preserve the present housing stock in the BASEC community."

Applicant Eligibility & Restrictions

The home must be used as the applicants primary residence and applicant must have lived in the home at least one year.  

The home must be located within the BASEC geographic area.      

Evidence of ownership will be required. 

There are no income restrictions; however, the applicant must show  repayment ability and good credit. 

Funds may not be used to refinance existing debt.

Rental properties & housing co-ops are not eligible.

Loan proceeds may not be used for home furnishings or window treatments.

O Other Requirements

Hazard insurance will be required with BASEC listed as the loss payee. Flood insurance will also be required if located in recognized flood zone.

Mobile homes and manufactured housing must be on a permanent foundations.  Loan funds may be used for permanent foundations.

A mortgage will be filed. The borrower is responsible for this filing fee.

The credit history of the applicant will be reviewed according to USDA/Rural Development Instructions 1980.345d.

There will be a $50 loan origination fee charged to the borrower and a $50 loan closing fee.

Written bids will be used for project costs.  It is the borrower’s responsibility to secure the contractor.

The borrower’s input of labor will not be paid for with loan proceeds.

All projects are subject to inspections to monitor the progress and quality of work. This is done strictly for the benefit of assuring program compliance. No warranty to the home owner is implied.

"All projects are subject to inspections to monitor the progress and quality of work.  This is done strictly for the benefit of assuring program compliance.  No warranty to the homeowner is implied."

Application Process

Potential applicants will contact the BASEC Housing Staff.  BASEC staff will  inform the applicant on the    requirements and determine eligibility.  The applicant will supply documentation such as income sources, home ownership verifications and a completed application. 

Assistance will be provided on a first come first serve basis.

      Loan Terms & Interest

• The terms of the loan will be a maximum of $10,000 per loan, with the interest rate set at 5% for a length of time not to exceed 5 years.

• There is no penalty for early payment of loan.

• The loan proceeds, along with any owner cash contribution, must cover the total cost of the rehabilitation project  and   the work must be completed within the 120 day time frame.

"The BASEC Board of Directors and its authorized representatives, reserve the right to change these policies as funding and circumstances warrant."

Home Mortgage Loans

Affordable low interest lending program for the construction, purchase, or

 improvement of your home.

"The objective of BASEC’s Home Mortgage Loan Program is to provide the borrower with affordable financing to construct, purchase, rehabilitate, improve, or relocate a dwelling, and to provide related facilities for use by the borrower as a permanent residence."

Applicant Eligibility

The home for which the loan is made must be located within the BASEC geographic boundaries

There are no income restrictions to the borrower, however, the borrower must show  repayment ability and good credit

The applicant must submit a letter of denial for financing from one other conventional lending institution

An application fee of $200 must be submitted along with the completed application. 

Assistance will be provided on a first-come, first- served basis as funding allows. 

Loan Restrictions

The maximum BASEC Loan amount is $150,000.00

 BASEC will need to approve an initial Junior Mortgage if applicable 

The home must be used as the  borrower’s primary residence, and occupied by them at least 9 months of the year 

One loan per family per 10-year period

Loan funds may not be used to refinance existing debt

The purchase of a new mobile or modular home is allowed if the home is placed on a permanent foundation and is taxed as real estate. 

The BASEC Housing Staff  must approve the foundation plans.

BASEC loans are not assumable.

Other Requirements

Borrower and Lender Title Insurance Policies must be purchased on the property. Lien  waivers required before final title insurance is completed. 

Builder’s Risk insurance required on all new construction. 

Hazard insurance will be required with BASEC listed as the loss payee.

Flood insurance will also be required if home for purchase is located in recognized flood zone.   No new construction allowed in a 100-year flood plain.

 Appraisal required for all homes over $25,000

Terms and Rates 

     No Down-payment required

     There are 2 term choices available:

• The loan will be amortized for 30 years with the interest rate fixed  at 6.5% for 10 years. 

 Payments will be calculated based on a 30-year amortization schedule with a balloon payment due at the end of the 10-year period.             

       The borrower may choose less than a 30-year amortization if   their payment ability indicates that a higher payment is feasible.

OR

•  The loan will be amortized for 15 years with the interest fixed  at 6.5%.

   Payments will be calculated based on a 15-year amortization schedule.  The loan will be paid in full at the end of the 15 year period. 

"The BASEC Board of Directors and it’s authorized representatives, reserve the right  to change these  policies as  funding and circumstances warrant."

This is an equal opportunity program.  Discrimination is prohibited by Federal Law. Complaints of discrimination should be sent to:

USDA Director, Office of Civil Rights

Washington D.C.  202050-9410

Beadle and Spink Enterprise Community

PO Box 68, Yale South Dakota 57386

PHONE 605-599-2991      FAX 605-599-2992     

 TOLL  FREE  866-599-2991    E-MAIL basec@santel.net