BY: CHRIS SAUNDERS, Audit Director, Sherbert CPA, PC
The first major update to the HOME program since 2013 is set to go into effect April 20, 2025 after initially being delayed by the new administration. The purpose of the popular and bipartisan HOME program is to help increase the supply of affordable housing. The objectives of the new rules are to make the program more efficient, increase access to HOME dollars, and decrease the administrative burdens on participating entities.
Among changes to the program, one of the goals of the new rule is to bring HOME’s regulatory regime in greater alignment with LIHTC rules, allowing developers to better interface with both programs. Some of key changes are:
- The new rule allows owners to charge rent based on the permissible Housing Choice Voucher (HCV) or Project Based Voucher (PBV) rents, even when those rents would otherwise be higher than would normally be allowed for HOME.
- If a HOME project inspection conducted for the purposes of LIHTC meets or exceeds the NSPIRE standard, that inspection will also now satisfy HOME requirements, alleviating the requirement to comply with separate inspection standards.
Here is a link to learn more about the new rule and changes to the HOME program: https://bit.ly/4ce7yc3