Exciting Inside Tours of Homes

View Area Listings

Meet Our Agents

Commercial Services Group

Career Opportunities

Contact Us

The U.S. Department of Housing and Urban Development (HUD) recently announced the addition of $31.5 million in funding aimed at providing very low-income senior citizens with access to affordable housing. The funding is designed to help non-profit organizations in five states produce additional accessible housing, offer rental assistance, and facilitate supportive services for the elderly.

The capital advances and rental subsidies are provided through HUD’s Section 202 Supportive Housing for the Elderly. Section 202 grants provide very low-income elderly persons 62 years of age or older with the opportunity to live independently in an environment that provides support services to meet their unique needs. In addition to funding the construction, acquisition, and rehabilitation of multifamily developments, HUD’s Section 202 program also provides millions of dollars in rental assistance so that residents in selected developments only pay 30 percent of their adjusted incomes.

HUD provides Section 202 funds to non-profit organizations in two forms:

• Capital Advances. This is funding that covers the cost of developing, acquiring, or rehabilitating the development. Repayment is not required as long as the housing remains available for occupancy by very low-income elderly persons for at least 40 years.
• Project Rental Assistance Contracts. This is funding that goes to each development to cover the difference between the residents’ contributions toward rent and the cost of operating the project.

Residents must be “very low income” with household incomes less than 50 percent of their median for that area. However, most households that receive Section 202 assistance earn less than 30 percent of the median for their area. Generally, this means that a one-person household will have an annual income of about $13,500.

Source: hud.gov

Published with permission from RISMedia.