The U.S. Department of Housing and Urban Development (HUD) announced on Wednesday the availability of $100 million in new grant funding aimed at addressing obstacles to housing construction and reducing the costs of renting or buying a home.
HUD’s Pathways to Removing Obstacles to Housing (PRO Housing) program allows communities nationwide to apply for funding to eliminate barriers to local housing production. This competitive funding opportunity was highlighted in an announcement by HUD.
In conjunction with HUD’s announcement, the White House released a “fact sheet” outlining PRO Housing as part of the Biden-Harris administration’s housing supply action plan. The administration aims to tackle affordability challenges faced by both homebuyers and renters.
Acting HUD Secretary Adrianne Todman emphasized the importance of the funding in cutting red tape and expediting the construction of more homes, especially affordable ones. The Biden-Harris administration’s priority is to increase the nation’s housing supply in collaboration with local communities.
The PRO Housing initiative targets barriers to housing construction, including restrictive land-use policies at the local level. It aims to promote new housing construction, repairs to existing homes, and energy cost reduction. Grants will be awarded to local governments, states, metropolitan planning organizations (MPOs), and multijurisdictional entities, ranging from $1 million to $7 million.
In June, HUD initially announced its plans for PRO Housing funds, with Vice President Kamala Harris outlining the program’s objectives to address various housing challenges.
Common themes identified by HUD in the announcement include high land and development costs, lack of available units, aging housing stock, inadequate infrastructure, displacement pressures, climate-related risks, high energy costs, and outdated land-use policies. The deadline for applications for this round of funding is Oct. 15, 2024.