HOME is a federally funded program that assists in the production and preservation of affordable housing for low and moderate-income families and individuals. The program funds a broad range of activities including:
- new construction
- acquisition
- rehabilitation of rental properties.
Eligible Applicants
The following are eligible to apply for HOME funds:
- For-profit developers
- Non-profit developers
- Non-profit organizations designated as Community Housing Development Organizations (CHDOs)
- Municipalities in cooperation with any of the above
Eligible Activities and Affordability Requirements
- HOME funds can be used for the acquisition and/or rehabilitation of existing structures for rental use, including distressed or failed properties, or for the new construction of rental projects.
- Projects seeking HOME funds must have a minimum of 5 HOME-assisted units
- All units receiving HOME assistance must be occupied by households earning no more than 60% of the area median income
- At least 20% of the HOME units must be affordable to households earning no more than 50% of area median income
- Please see the additional program information below for a list of maximum rents and household incomes for your community
Funding Limits
- In general, $750,000 to $1,000,000 is the maximum amount available per project; $50,000 to $75,000 is the maximum amount available per affordable unit in HOME entitlement/consortium communities.
- In non-entitlement or non-consortium communities, the maximum amount available per affordable unit is $65,000 to $90,000, up to the per project maximum. Please see the additional program information below for a list of entitlement and consortium communities.
- A project located in a HOME entitlement/consortium community must include a matching commitment of local funds, or the application will not be scored. In general, preference will be given to applications with full match commitments.
Loan Terms
- In general, DHCD HOME awards are structured as loans with 0% interest, and a 30-year deferred payment term
- DHCD reserves the right to assign a higher rate of interest to any HOME loan
- HOME loans to projects receiving allocations of Low Income Housing Tax Credits are made at the Applicable Federal Rate (or higher) as required by the Tax Credits program
- All HOME loans are non-recourse and secured by a mortgage on the property
Selection Criteria
- strength of overall concept
- strength of development team
- demonstrated need for project in the target neighborhood
- suitable site and design
- appropriate scope of rehabilitation or construction
- appropriate total development cost for properties included in proposal
- financial viability of the project
- degree of local support, including local funding commitments
- evidence of readiness to proceed
- evidence of satisfactory progress on projects previously funded with DHCD resources
- incorporation of smart growth and sustainable development principles
- fair housing principles
How to Apply
DHCD makes HOME funding available through a Notice of Funding Availability (NOFA).
Applicants must submit an application for funding using the Department’s Mass One Stop+ web-based application..
Training
Program Information
Draft HOME-ARP Written Plan - February 2023
HOME Final Rule
Federal Lead Paint Rules
State Lead Paint Rules
MA Fair Housing Marketing and Resident Selection Plan Guidelines
Fair Housing Principles
HUD Environmental Review
Mass Historic Project Notification Form
Housing Quality Standards (HQS)
DHCD CHDO Application
HOME Entitlement and Consortium Communities
Rental Completion Report
DHCD Design Guidelines
HOME/HSF Program Application Guidelines