In a heated political era, no one can predict what the final 2024 U.S. budget will look like, but the White House’s initial proposal boosts a number of housing programs.
WASHINGTON – The Fiscal Year 2024 budget will likely be a major Washington political battle, but the first volley – an initial proposal coming from the White House – emphasizes the importance of a number of housing issues.
“For those of us at HUD (U.S. Department of Housing and Urban Development), that means addressing homelessness with urgency and ensuring everyone in this country has access to quality affordable housing,” says HUD Secretary Marcia L. Fudge. “The budget invests in Americans at every station in life – from those seeking to purchase a home to those who receive HUD rental assistance – and will ensure families across the country can live in communities that are safe, affordable and resilient.”
Housing issues included in the White House budget proposal
- Expand the Housing Choice Voucher (HCV) program. $32.7 billion – an increase of $2.4 billion over the 2023 enacted level – to maintain services for all currently assisted families and to expand assistance to an additional 50,000 households. It also expects funding from HCV program reserves to expand assistance to another 130,000 households. It also includes $25 million for mobility-related supportive services.
- Increase affordable housing supply to reduce costs. $1.8 billion for the HOME Investment Partnerships Program (HOME), an increase of $300 million over the 2023 level, to construct and rehabilitate affordable rental housing and provide homeownership opportunities. It also provides $258 million to support 2,200 units of new permanently affordable housing specifically for the elderly and persons with disabilities.
- Support economic development and remove barriers to developing affordable housing. $3.4 billion for the Community Development Block Grant program to help communities modernize infrastructure and more. Within that amount, $85 million is slated for a competitive program to reward state, local and regional jurisdictions that make progress in removing barriers to affordable housing developments
- Advance efforts to end homelessness. $3.7 billion – an increase of $116 million – for Homeless Assistance Grants to meet renewal needs and expand assistance to approximately 25,000 additional households, including survivors of domestic violence and homeless youth. It also provides $505 million for Housing Opportunities for Persons with AIDS.
- Preventing and redressing housing discrimination. $90 million to support state and local fair housing enforcement organizations, and to further education, outreach, and training on rights and responsibilities under federal fair housing laws.
- Down payment assistance. $100 million for a HOME down payment assistance pilot program to expand homeownership opportunities to first-generation and/or low wealth first-time homebuyers, and $15 million to increase the availability of FHA small balance mortgages.
In addition to 2024 proposal, the Federal Housing Administration (FHA) reduced the annual mortgage insurance premiums new borrowers pay by about one-third recently, saving the average FHA borrower about $800 in the first year and continued savings for the duration of their loan.
© 2023 Florida Realtors®
©Florida Realtors®
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