SBA to offer federal disaster relief loans to Tempe residents and businesses

Homeowners and renters are eligible to apply for home and personal property loans and may borrow up to $100,000 to replace or repair personal property, such as clothing, furniture, cars, and appliances. Homeowners may apply for up to $500,000 to replace or repair their primary residence.

Applicants may be eligible for a loan increase of up to 20% of their physical damage, as verified by the SBA, for mitigation purposes. Eligible mitigation improvements include insulating pipes, walls and attics, weather stripping doors and windows, and installing storm windows to help protect property and occupants from future disasters.

Interest rates are as low as 4% for businesses, 3.625% for nonprofits, and 3% for homeowners and renters with terms up to 30 years. Interest does not begin to accrue, and payments are not due until 12 months from the date of the first loan disbursement. The SBA sets loan amounts and terms based on each applicant's financial condition.

SBA's Economic Injury Disaster Loan (EIDL) program is available to eligible small businesses, small agricultural cooperatives, nurseries and private nonprofit (PNP) organizations including faith-based organizations impacted by financial losses directly related to this disaster.

EIDLs are for working capital needs caused by the disaster and are available even if the business or PNP did not suffer any physical damage. They may be used to pay fixed debts, payroll, accounts payable, and other bills not paid due to the disaster.

"When disasters strike, SBA's Disaster Loan Outreach Centers play a vital role in helping small businesses and their communities recover," said Chris Stallings, associate administrator of the Office of Disaster Recovery and Resilience at the SBA. "At these centers, SBA specialists assist business owners and residents with disaster loan applications and provide information on the full range of recovery programs available."

Beginning Tuesday, Nov. 18, SBA customer service representatives will be on hand at the following Disaster Loan Outreach Center to answer questions about SBA's disaster loan program, explain the application process and help each individual complete their application. Walk-ins are accepted, but you can schedule an in-person appointment in advance at appointment.sba.gov.