The Department of Housing and Urban Development has earmarked $10 million to support affordable housing programs.
HUD awarded the $10 million in the form of grants to four nonprofit housing organizations, which will create at least 538 affordable homes for low-income families and individuals. The grants were funded through HUD’s Self-Help Homeownership Opportunity Program (SHOP).
The SHOP program provides federal grants to both national and regional nonprofit organizations and consortia that have experience in administering “self-help” homeownership programs. The grants must be used to purchase land and make infrastructure improvements. The average SHOP investment is $15,000 per dwelling unit, according to HUD.
The grants, together with labor contributions from homebuyers and volunteers, “will significantly lower the cost of construction, this making homeownership a reality for families who otherwise would not be able to afford to buy a home,” HUD said.
“These nonprofits receiving grants are making a positive impact in communities across the country through the strong partnerships they have formed between the public and private sector,” said David C. Woll Jr., HUD’s principal deputy assistant secretary for community planning and development. “These grants, in conjunction with volunteer work and private donations, will make the dream of homeownership a reality for more families.”