HFAs and Rural Housing
HFAs are involved in a number of rural housing programs, including the US Department of Agriculture’s (USDA) Section 515 and 538 multifamily housing programs and Section 502 single-family housing program and the US Department of Housing and Urban Development’s (HUD) Rural Housing and Economic Development program.
Section 515 rural rental housing loans are direct, competitive mortgage loans made to provide affordable multifamily rental housing for very low-, low-, and moderate-income families; the elderly; and persons with disabilities. Very low-income is defined as below 50 percent of the area median income (AMI); low-income is between 50 and 80 percent of AMI; and moderate income is capped at $5,500 above the low-income limit. The Section 538 program provides federal government guarantees for loans made by commercial lenders to developers of multifamily rental housing for low- and moderate- income tenants in rural areas and is intended to provide decent, affordable rental housing for low- and moderate-income rural households with incomes up to 115 percent of AMI.
Section 502 loans are primarily used to help low-income individuals or households purchase homes in rural areas. They can be direct or guaranteed. Funds can be used to build, repair, renovate or relocate a home, or to purchase and prepare sites, including providing water and sewage facilities. Applicants for loans may have an income of up to 115 percent of AMI. Families must be without adequate housing, but be able to afford the mortgage payments, including taxes and insurance. In addition, applicants must have reasonable credit histories.
- To find local housing assistance, please contact your state’s Housing Finance Agency (HFA).
- To learn more about NCSHA’s advocacy work in this area or to attend a related education event, complete the general inquiry form.
- Members of the media, please contact Lisa Bowman, Director of Marketing and Communications, at email@example.com.
- USDA Rural Development
- USDA Housing and Community Facilities Programs
- Rural Housing Service’s Eligibility Maps for single-family and multifamily programs
- September 7, 2018HAC Report Describes Shortage of Affordable Rural Rental Housing
The Housing Assistance Council (HAC) Thursday published a report, Rental Housing for a 21st Century Rural America: A Platform for Preservation, discussing declining affordable rental housing options in rural areas. The report focuses on the U.S. Department of Agriculture’s (USDA) Section 515 Rural Rental Housing program (Section 515) and draws its conclusions from a “multi-faceted review” of USDA’s multifamily housing portfolio.
- August 31, 2018USDA Proposes Changes to Single-Family Loan Programs
USDA’s Rural Housing Service (RHS) today issued a proposed rule that would implement several changes to its single-family direct and guaranteed loan programs.
- June 28, 2018White House Proposes Federal Government Reorganization
The Trump Administration last week released a comprehensive plan for reorganizing the executive agencies of the federal government. It includes several provisions impacting federal housing and community development programs.
Rural Housing - Resources
- September 6, 2018State Housing Finance Agencies: At the Center of the Affordable Housing System
Ten years after the Great Recession forced the federal government to make major changes to the nation’s housing system, state housing finance agencies have become more important than at any other time in their history to the system’s ability to make affordable housing available in America. This new report explains how.
- May 15, 2018Industry Letter on FY 2018 Proposed Rescission for Rental Assistance
The undersigned rural housing and community development organizations and trade associations submitted this letter to elected officials on both the Senate and House Appropriations committees regarding a portion of the Rescission package that would negatively impact rural affordable housing providers and residents.
- May 24, 2016USDA Rural Development Unnumbered Letter on Management of Unused Rental Assistance
An “Unnumbered Letter” allowing state RD offices to reallocate unused rental assistance (RA) within their states without approval from the national office, reversing a policy in place since 2013 requiring state offices to return unused RA to the national office to be recaptured.
- 2018 NCSHA Annual Conference & Showplace | NCSHA Members Only | October 13 – 16, 2018