The U.S. Department of Housing and Urban Development (HUD) has announced the allocation of $12 million to enhance access to affordable housing and homeownership opportunities in rural and urban areas across the United States. This funding is part of HUD's Self-Help Homeownership Opportunity Program (SHOP), which supports eligible organizations in purchasing land, improving infrastructure, and developing housing.
"This funding underscores the Biden-Harris Administration’s commitment to lowering housing costs and ensuring Americans have access to homes they can afford," stated HUD Agency Head Adrianne Todman. She emphasized that these funds will help families achieve homeownership by creating new homes for purchase and assisting them through the process.
Organizations receiving SHOP grants can use them for constructing new homes or renovating existing ones, including land acquisition, infrastructure improvements, and planning costs. The average expenditure per unit should not exceed $25,000 for land acquisition and infrastructure improvements combined. Homes must be sold below market price, with prospective homeowners leveraging other funds for remaining construction or rehabilitation costs.
Marion McFadden, Principal Deputy Assistant Secretary for Community Planning and Development, remarked on the impact of SHOP funds: "I have traveled around the country and seen the transformative impact of SHOP funds firsthand. SHOP helps transform people’s lives by making homeownership opportunities more accessible to low-income families in rural and underserved communities."
Eligible applicants include national and regional non-profit organizations with experience in self-help homeownership programs. These organizations must propose using significant grant funds in at least two states. Individuals are not eligible to apply.
SHOP grantees may distribute grant funds to local non-profit affiliates within their service area to implement their programs. The Fiscal Year 2024 SHOP Notice of Funding Opportunity prioritizes projects focusing on climate change, environmental justice, Minority Serving Institutions, Promise Zones, Rural Partners Network Community Network initiatives.
For further details on eligibility requirements or to apply for funding before December 17, 2024, interested parties should visit grants.gov.
