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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 and rehabilitation of rental properties.
For-profit developers, non-profit developers, non-profit organizations designated as Community Housing Development Organizations (CHDOs), and municipalities in cooperation with any of the above are eligible to apply for HOME funds.
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.)
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.
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.
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
HOME Final Rule
Federal Lead Paint Rules
State Lead Paint Rules