The federal government offers housing grants through the Housing and Urban Development (HUD) program.
Housing assistance provides the opportunity for families to receive financial help. Grants provide families the ability to purchase a home, make renovations to their properties and much more. Also, housing grants are not just for homeowners. Many organizations may also be eligible to receive housing grants. The organizations use the grants to better the quality of life of individuals who are eligible to receive assistance. Learn about some of the federal housing grants available for families and organizations, and how they benefit eligible individuals all around the country.
The Purpose of Housing Grants
The purpose of housing grants is to create strong communities and affordable homes for as many families as possible. The HUD is working to improve the housing market, strengthen the economy and protect families. Government housing assistance grants provide individuals and families assistance in purchasing, renovating or paying for their homes. It allows applicants the opportunity to improve their quality of life and it helps various organizations in building communities that can remain sustainable .
Each housing assistance grant has certain qualifications applicants must meet. For instance, the Emergency Solutions Grant (ESG) is meant to assist residents in reclaiming their stability in permanent housing after a crisis. If you have not experienced a housing crisis, you are not eligible for ESG housing help.
The Different Types of Housing Grants
There are a variety of home grants available for organizations, families and individuals to improve the quality of life for applicants. Each grant has a different purpose. In order to receive a specific housing grant, you must meet requirements. Below, you will learn about some of the different grants that may be available for you or your organization to obtain.
The Emergency Solutions Grants (ESG) program
Like Section 8, the ESG program provides housing assistance. ESG is available in all 50 states, as well as Washington DC and Puerto Rico. The program provides funding to municipalities and organizations to:
- Improve the quality of emergency shelters.
- Increase the number of emergency shelters.
- Help operate shelters.
- Provide essential service for residents living in a shelter.
- Provide housing for individuals and families.
- Prevent applicants from becoming homeless.
- Engage homeless applicants living on the street.
ESG has essential services that are meant to reach out to homeless individuals and families. They connect families with emergency shelter, housing or critical services. Also, they provide them with the care they need.
In addition, the program offers grants for homelessness prevention. The free grant money prevents families from losing their homes, helping them avoid being forced to live in a shelter or be homeless. Also, the ESG housing program gives rental assistance to families living in an emergency shelter. This provides them the opportunity to leave the shelter and live in a home.
HOME Investment Partnerships Program
The HOME Investment Partnerships Program (HOME) provides grants to states and communities. The goal is to implement local housing strategies to increase homeownership and affordable housing opportunities for low-income Americans. The government grants for housing build, buy and restore affordable housing for rent or homeownership. Additionally, the program offers direct rental assistance to low-income families.
If you are interested in receiving HOME housing aid, you have the best chance of receiving help if your family has an income no more than 60 percent of the HUD-adjusted median family income in your area.
HUD does not provide HOME assistance directly to individuals or organizations. If you are interested in participating in the housing assistance program, you must contact your local office. The facility will provide you with the information you need to help you receive funding.
Rural Repair and Rehabilitation Loans and Grants
The Rural Housing Repair Loans and Grants program provides loans and grants to homeowners who make an income that is 50 percent lower than the median income in their local area. The grants and loans allow applicants to repair, improve or remove health and safety hazards from their home.
Grants are only available for recipients who are 62 years of age or older. Also, they can only use the homeowner grant to make repairs and improvements to remove health and safety hazards their home may have. For example, if you are 67 years of age and have damages to your roof, you may be able to receive grant money for housing to repair your roof.
If you do not qualify for home remodeling grants, you still have the opportunity to receive a loan. The Rural Housing Repair loan arrangement is for up to 20 years at 1 percent interest. This gives low-income families the ability to receive the services their home requires and pay interest at a low rate.
Choice Neighborhoods Program
The Choice Neighborhoods program uses public and private money to support locally driven strategies to address struggling neighborhoods. The program aims to offer more safety, better schooling and activities that are important to families. The goal is to use the grant money to help transform the neighborhood into a more appealing, safer place to live in.
Additionally, the program aims to improve public and assisted housing in the neighborhood that receives grant money for housing. The funds granted to the community gives recipients the ability to create housing that meets the needs of the neighborhood. Furthermore, Choice Neighborhoods improves the quality of life for families. It works on improving the education for children, health and employment. In order to make transformations to a neighborhood possible, the following entities have to create a vision and develop strategies to improve the community:
- Local government
- Housing and tribal authorities
- Private developers
- School districts
- Police departments
The plan created lays the foundation for improving public and assisted housing, the neighborhood and promoting opportunities for families. This will allow the community to know how much of the government housing assistance grants to use for a specific area.
These are just a few of the government grants available to help eligible applicants afford housing, pay for repairs on their homes and much more.
Government Programs to Reduce Housing Costs
- Low-Income Home Energy Assistance Program. LIHEAP is a government program that gives financial assistance to low-income households with their heating and cooling bills. If you are in an energy crisis, such as power outage after a natural disaster, LIHEAP can provide assistance.
- Lifeline Program. This program allows low-income families to have affordable communication technology. Lifeline offers phone services and internet services at an affordable price. If a family is already eligible for another income-based government program, then they are most likely eligible for Lifeline services.