How to Get a Grant to Invest in Real Estate
Know the property. Grants are given based on a wide range of criteria. Historical organizations offer grants to help maintain or renew historic properties. Urban revitalization organizations offer grants that help rejuvenate economically depressed areas. Find out everything you can about the property in order to assess which characteristics are appealing to grant-giving institutions.
Gather documents. Obtain all official documents associated with the property. Tax records, titles and historic materials are all potentially relevant. Official documents as well as authentic historic documents add substance to grant proposals.
Partner with an established non-profit organization. Non-profit organizations have access to government funds that for-profit entities do not. Establish a partnership with a non-profit organization to increase the number of grants available to you.
Research forgivable loans. Forgivable loans operate like grants if certain criteria are met in a given amount of time. The specific rules and the timeline are provided in writing by the loan-granting agency. If requirements are not met, interest and payment of the principal amount are due. A February 5, 2006, Chicago Tribune article highlights the Neighborhood Lending Program, which offers up to $3,000 in forgivable loans for down payments on new homes.
Make a list of relevant grant sources. Research institutions, foundations and agencies that offer real estate grants. Make a list of organizations that offer grants for real estate projects like yours. If you find a historic document that relates to a celebrity, find organizations that honor that celebrity.
Write a grant proposal. Ask your non-profit partner to help you draft your grant proposal. Grant proposals are typed, never handwritten. Include information such as budget, project details, history and how the project fits with the mission statement of the grant-giving organization. Be sure to include all requested documents.
Mail the grant proposal. Double-check the address. Include the appropriate amount of postage. Mail the proposal at your local post office.