offered by

HOME Investment Partnerships Program (HOME)

The HOME Program is a federally funded program that provides funding to non-profit or for-profit developers for affordable rental housing production and rehabilitation.

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

  • DHCD will award the lesser of $750,000 per project and up to $50,000 per HOME-assisted unit in HOME entitlement/consortium communities.
  • In non-entitlement or non-consortium communities, the maximum award is up to $65,000 per HOME-assisted unit, up to a per project maximum of $750,000. 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..

Mass OneStop+ Application

2019 NOFA

2019 mini competition NOFA

 

 

Additional Resources for

Feedback