Housing Repair Grants DAF

What this funds

The numbers and letters of the following listing relate to values in the Change (Chg) Key column of 1. A decrease of $1,000,000 for the Very Low-Income Housing Repair Grants (Section 504) program The funding for this program is essential because repair grants assist very low-income elderly rural homeowners, aged 62 or older, needing critical home repairs. Recipients are unable to afford a loan and have no other means or access to funding. Grants up to $7,500 are available to improve accessibility or to remove health and safety hazards. The lifetime total of grant assistance to any one household or one dwelling may not exceed ten percent of the national average area loan limit. Grants must be repaid to the government if the property is sold within three years. Although this program is limited in size, grants allow very low-income elderly homeowners on a fixed budget to remain at home and live independently. This program improves their quality of life by assuring a safe and functional environment. By providing these small grants, RHS secures decent, safe, and affordable housing for rural residents, which is a fundamental agency objective. In 2025, RHS obligated nearly $26 million, as a demonstration of the need and popularity of the Section 504 grant program. The agency published a Section 504 Direct Single Family Housing Home Repair Loans and Grants Materials Pilot program notice in the Federal Register (89 FR 95079) on December 2, 2024. It is outlined in more detail in the 504 Loan program section. The pilot program is anticipated to continue for two years and then it will be reviewed for possible extension or termination. The agency's intention with this pilot is to evaluate the existing regulations and remove regulatory barriers to assist eligible applicants with improved ease of use for very low-income homeowners seeking to repair or rehabilitate their homes. The waiver allows participants to use Section 504 loan or grant funds for the payment of construction materials prior to site delivery and without the need for the contractor to provide a surety bond. The 2027 Budget request will provide approximately 1,937 grants to qualified organizations with funds to repair or rehabilitate housing occupied by very low- and low-income families in eligible rural areas. Support for this program will help elderly rural residents to keep their houses in sanitary conditions and eliminate health hazards. This also increases the equity in their properties. The elderly population is more vulnerable to changes in economic conditions as they This program strives to improve the quality of existing multi-family housing and some single- family housing units through partnerships with various local public bodies and non-profit organizations. This program supports low-income rural residents for maintaining their houses free of health hazards and other issues that keep their housing from being decent, safe and This program is not requested in the 2027 President's Budget. Table RHS-39. Geographic Breakdown of Obligations for Very Low-Income Housing Repair

Extracted from Rural Housing Service, p. 41. Verbatim; nothing here is paraphrased.

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