CITY OF HOUSTON AUTHORIZED TO SPEND FUNDS TO HELP HOMEBUYERS
September 21, 2005 -- The City of Houston announced today that it has been authorized by the U.S. Department of Housing and Urban Development (HUD) to resume spending HOME funds to help low- and moderate-income buyers get into safe and affordable housing.
"This is good news," said Mayor Bill White. "It frees up $16.7 million for down payment and closing cost assistance for low- and moderate-income Houstonians. The City will be able to help make home ownership a reality for thousands more Houstonians. This also validates the progress we've made in restructuring the Housing and Community Development Department, with the leadership of Director Milton Wilson, to spend the funds entrusted to us responsibly and efficiently."
HOME Program funds are the largest federal block grant to state and local governments designed exclusively to create affordable housing for low-income households. They are the City's primary source for homebuyer assistance. These funds have been suspended since December 2004.
HUD said it's go-ahead for resuming the program was based on progress in resolving outstanding HOME Program findings, and the City's pledge that it will continue in good faith to resolve the findings.
The City has worked with the affordable housing, lending and real estate communities to develop new guidelines and expects to kick off the new program in about six weeks. Please call 713-522-HOME for further info.
