A leaking roof, failing furnace, or drafty windows can quickly become overwhelming expenses for homeowners, especially those living on limited incomes. The City of Sparta hopes more residents will learn they may not have to face those costs alone.
The city's Community Home Rehabilitation Loan Program offers qualifying low- and moderate-income homeowners’ interest-free loans of up to $20,000 to make essential repairs that keep homes safe, healthy and livable. Unlike a traditional loan, there are no monthly payments and no interest. Repayment is made when the home is sold or is no longer the borrower's primary residence.
Despite having nearly $1 million available to lend, city officials say the program remains underused simply because many residents do not know it exists.
"Our goal is to help as many people as we can," Loan Program Coordinator Jackie Gerl said. "We want people to know this program is available and that it's much easier than many people expect."
The program is funded through a revolving loan fund, meaning repayments from previous loans are used to help future homeowners. City administrator Todd Fahning said similar home rehabilitation loans have existed in the community for decades. However, the city resumed operating its own locally administered program after state requirements made an earlier version difficult to maintain.
Unlike many government-funded rehabilitation programs, Sparta's program is administered locally, allowing city officials to focus on practical repairs that homeowners need most.
"Sometimes someone just needs a furnace," Fahning said. "If somebody has no heat or no hot water, we want to help solve that problem instead of creating more obstacles."
Repairs that matter
The program focuses on repairs that improve a home's safety, habitability and energy efficiency.
Eligible projects include replacing roofs, windows, siding, and furnaces; water heaters; and accessibility improvements for people with disabilities. The city may also help repair existing central air conditioning if a documented health condition requires it.
Projects such as landscaping, cosmetic remodeling, new appliances, finishing basements, or repairing detached garages are not eligible.
Fahning said roofs and windows account for many of the applications they receive because repairs for them have become increasingly expensive.
"A roof today can easily cost $30,000 to $40,000," Fahning said. "For many families, that's simply not money they have sitting in the bank."
Replacing older furnaces and windows can also significantly reduce monthly utility bills, providing homeowners with long-term savings.
No interest, no monthly payments
Loans are issued as a second mortgage against the property but carry no interest.
Borrowers repay only the amount they borrowed, regardless of how long they remain in the home.
"If you borrow $15,000 today, that's what you pay back when the home is eventually sold," Gerl said. "There's no interest added."
The city records the mortgage with the Monroe County Register of Deeds, ensuring the loan is repaid when ownership changes.
Who qualifies?
To be eligible, applicants must:
Rental properties and mobile homes are not eligible.
City officials emphasized that applicants are encouraged to contact City Hall even if they are unsure whether they qualify.
"It never hurts to ask," Roush said. "We're happy to walk people through the application."
Emergency assistance available
The program also includes an emergency provision allowing up to $10,000 in assistance for urgent situations, such as a furnace failure during winter, without waiting for the monthly committee meeting.
Officials said the goal is to ensure homeowners are not left without heat or other essential services while paperwork is completed.
Helping residents stay in their homes
Although the program cannot solve every housing challenge, officials said it often prevents small problems from becoming major ones.
In some cases, homeowners have been able to replace failing roofs before losing insurance coverage. Others have upgraded inefficient heating systems, lowered utility bills or completed accessibility improvements that allow them to remain in their homes.
Fahning believes the program benefits both individual homeowners and the community by preserving housing, improving neighborhoods and maintaining property values.
"We're not looking to make money," Fahning said. "We're looking to help people improve their quality of life."
Gerl said one of the biggest misconceptions is that applying for the program is complicated. She said the city works closely with homeowners throughout the process. "People look at the application and think it's going to be overwhelming, but it really isn't," Gerl said. "I'm here to help every step of the way. I'll answer questions, walk people through the paperwork, and make the process as easy as possible. It doesn't cost anything to call and ask if you qualify, and we're happy to help."
Applications are available through Sparta City Hall. Additional information, eligibility requirements, and application materials are available from the city's Home Rehabilitation Loan Program Coordinator, Jackie Gerl, at (608) 269-4340 ext. 5163 or by email at cdbg@spartawisconsin.org. For more information and to find forms visit https://www.spartawisconsin.org/community-development-block-grant-cdbg
As of July 2026, to be eligible for the Community Home Rehabilitation Loan Program, your household income must be below the following. The amounts are based upon how many occupants live in the home.
1 person: $53,800, 2 people: $61,450, 3 people: $69,150, 4 people: $76,800, 5 people: $82,950, 6 people: $89,100, 7 people: $92,250, 8 people: $101,400
These amounts are state mandates and are subject to change.
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