Single Family HOME

In 1990, Congress sought an affordable housing plan — national in scope, yet locally flexible. Dollars sent to states and localities via HUD, Congress said, must be administered by seasoned and successful housing finance agencies. The result? The National Affordable Housing Act of 1990 (HOME is one part) was enacted, and the Illinois Housing Development Authority (IHDA) was selected by the governor as the entity best qualified to run HOME statewide. Three general purposes of the HOME Program are:

• To expand the supply of decent and afford­able housing for renters and homeowners with low and very low incomes. Depending upon the program, people earning between 50 per­cent and 80 percent of a region’s median income will usually qualify for HOME-assisted housing.
• To strengthen the ability of state and local governments to design and implement local affordable housing strategies that (1) increase the stock of decent, reasonably priced dwellings, (2) weigh the unique demographic, economic and other features where housing is built and (3) provide affordable rental housing to low-income families.
• To extend and strengthen partnerships among all levels of government, the private sector and non-profit organizations in the production and operation of affordable housing in Illinois.

HOME Program Activity Types

In Illinois, Single Family HOME funds may be used in three distinct ways. Each of the three HOME funding categories is briefly outlined here and described more fully in the sub-pages of this section. The HOME funding categories are:

1. Purchase and rehabilitation assistance for homebuyers.
2. Rehabilitation of single-family, owner-occupied homes.
3. Rehabilitation of rural, small rental properties.

These categories are detailed in-depth below.

The HOME program is not a “categorical” housing program requiring a specific housing activity. Rather, the HOME program gives states and local governments the authority and freedom to decide exactly what kind of housing assistance— or mix of housing help— is most appropriate to meet their particular housing needs.

IHDA allocates HOME funds according to a ranking system, explained in application pack­ets provided to housing developers. Because demand for HOME financing regularly outstrips its availability in Illinois, proposals that leverage HOME funds with money from other sources are strongly encouraged and receive priority.

Finally, all applications may not be funded, and those that are funded may receive less than the full amount requested.

Local HOME Entitlement Grantees

Some Illinois cities, counties or combinations (called HOME “Participating Jurisdictions,” or PJs) get their federal HOME fund allocations directly from HUD each year. Any affordable housing developer wishing to do business in these areas of the state should therefore apply not to IHDA, but directly to the following Local HOME Entitlement Grantees:

Please note that the status of HOME Participating Jurisdictions changes from time to time. While the list above was current when printed, affordable housing developers should inquire as to the current status of HOME PJs as they pertain to individual project proposals.