H.R. 6771 — Housing Crisis Response Act of 2025

This section appropriates $65.75 billion to the Secretary of Housing and Urban Development (HUD) for fiscal year 2026 public housing investments, to remain available until specified dates, as follows: (1) $10 billion to the Public Housing Capital Fund under section 9(d) of the U.S. Housing Act of 1937 (42 U.S.C. 1437g(d))—which provides formula grants to public housing agencies for capital and management improvements to public housing—pursuant to the FY2021 formula and available within 60 days of enactment, through September 30, 2033; (2) $53 billion for priority activities under section 9(d)(1), such as repairing, replacing, or constructing section 9-assisted properties, through September 30, 2028; (3) $1.2 billion for competitive grants under section 24 (42 U.S.C. 1437v)—which supports transformation of distressed public and assisted housing and poverty neighborhoods—subject to terms in subsection (b), through September 30, 2028; (4) $750 million for HUD administrative and oversight costs related to this section, the Capital Fund, and section 24, through September 30, 2033; and (5) $50 million for technical assistance providers, through September 30, 2033. Section 24 grants are available to public housing agencies, local governments, assisted housing owners, nonprofits, and for-profit developers (with specified joint applicant requirements); may be used for resident services, community development, and affordable housing (i.e., for households up to 120% of area median income) with at least a 20-year affordability period (shorter for homeownership); and are treated as public housing agency activities for environmental review. Other terms prohibit use for operating costs or rental assistance; waive section 9(g)(3) limitations on new unit development for these funds; require addressing health, safety, and environmental hazards (e.g., lead, mold, asbestos) and advancing energy/water efficiency and climate/disaster resilience; provide for recapture of formula funds into subsection (a)(2); and ensure funds supplement, not supplant, other resources. The Secretary may issue guidance for timely implementation.

This section appropriates $9.925 billion for fiscal year 2026 to the HOME Investment Partnerships Program (HOME)—which provides formula grants to states and localities for the development, rehabilitation, and preservation of affordable rental and homeownership housing for low-income families—allocated pursuant to the HOME formula in 42 U.S.C. 12747 to fiscal year 2023 grantees within 60 days of enactment and available until September 30, 2028. This section further appropriates $14.925 billion for fiscal year 2026 to HOME, allocated pursuant to the Housing Trust Fund (HTF) formula in 12 U.S.C. 4568(c)(3)—which prioritizes states with the highest shares of extremely low-income renter households—to fiscal year 2023 HTF grantees within 60 days of enactment and available until September 30, 2028. Funds may be used only for HTF-eligible activities (i.e., increasing and preserving rental housing supply and homeownership for extremely low- and very low-income families), with not more than 10% for homebuyer assistance; waives HOME commitment requirements (42 U.S.C. 12748(g)), matching requirements (42 U.S.C. 12750), and community housing development organization set-asides (42 U.S.C. 12771); permits grantees to use up to 15% for administrative and planning costs; and authorizes HUD to reallocate recaptured or declined funds for geographic diversity and expenditure. This section also appropriates $50 million for technical assistance to HOME and HTF grantees, available until September 30, 2033, and $100 million for HUD administrative costs related to this section and the HOME and HTF programs generally, available until September 30, 2033. (Thus, these funds enable rapid deployment of approximately $25 billion in affordable housing assistance with streamlined requirements.) The Secretary may issue regulations and guidance for timely implementation.

This section appropriates $740 million for FY2026, to remain available until September 30, 2028, to the Department of the Treasury to establish the Housing Investment Fund within the Community Development Financial Institutions Fund (CDFI Fund)—which supports certified community development financial institutions (CDFIs) that promote community development in underserved areas—for grants to increase investment in the development, preservation, rehabilitation, financing, or purchase of affordable housing primarily for low-, very low-, and extremely low-income renter families, homeowners with incomes up to 120% of area median income, and related economic development, community facilities, and fair housing goals. It further appropriates $10 million for FY2026 for CDFI Fund administration of the fund, including information technology and evaluations. Grants are available to (1) CDFI-certified institutions, (2) nonprofits with a principal purpose of affordable housing creation, development, or preservation (including public housing authority subsidiaries), or (3) consortia of such entities. Eligible uses, which must leverage other public and private capital to support or sustain affordable housing, include (A) loan loss reserves; (B) acquisition funds for residential, industrial, commercial property, or land, including resident-owned manufactured housing communities; (C) affordable housing funds for development, preservation, rehabilitation, financing, economic development, community facilities in mixed-use projects, or transit-oriented development; (D) mortgage funds for buyers facing credit barriers, including low principal obligation mortgages; (E) risk-sharing loans; (F) loan guarantees; and (G) rental housing operations. (Thus, the fund enables CDFIs and nonprofits to de-risk and capitalize projects addressing affordable housing shortages.) The CDFI Fund may issue regulations and guidance for timely implementation.

This section appropriates $500 million for FY2026, in addition to amounts otherwise available, for the Supportive Housing for Persons with Disabilities program (Section 811 of the Cranston-Gonzalez National Affordable Housing Act), with funds available through September 30, 2033. Specifically, the appropriation includes (1) $450 million for capital advances (including amendments to existing contracts) under Section 811(b)(2), project rental assistance under Section 811(d)(2), and project assistance contracts under Section 202(h) of the Housing Act of 1959 for State housing finance agencies and other entities under Section 811(b)(3); (2) $7.5 million for technical assistance to support State-level integration of housing assistance and voluntary supportive services (including capacity building for applicants); and (3) $42.5 million for administrative costs (including information technology and research). The section further (1) directs the Secretary of Housing and Urban Development to establish reasonable development cost limitations by market area (without counting owner contributions against project costs); (2) authorizes owners or sponsors, with Secretary approval, to limit occupancy to persons with disabilities who can benefit from offered supportive services; and (3) grants the Secretary authority to issue regulations and guidance for timely implementation. (As background, the program provides capital advances, project rental assistance, and tenant-based rental assistance to private nonprofit organizations to develop and operate housing units with supportive services that enable persons with disabilities to live independently in the community.)

This section appropriates $450 million for FY2026, in addition to amounts otherwise available, for the Supportive Housing for the Elderly Program (Section 202 of the Housing Act of 1959), which provides capital advances and project rental assistance for nonprofit-owned housing and services for very low-income persons aged 62 and older. (1) Of the $450 million, amounts are for capital advance awards to eligible recipients, new Section 8 project-based rental assistance contracts (with terms set by the Secretary of Housing and Urban Development, including duration, rent setting, and adjustments) to support those capital advance projects, and service coordinators; (2) $7.5 million for technical assistance to improve supportive services design and delivery in Section 202 housing and other low-income senior housing, including capacity building for applicants; and (3) $42.5 million for administrative costs of the program and this section. Amounts remain available until September 30, 2033, and the Secretary must establish market-area development cost limitations (without counting owner contributions) and has broad implementation authority.

This section appropriates $1,770,000,000 to the Secretary of Housing and Urban Development (HUD) for FY2026, to remain available until September 30, 2030, for grants and direct loans—not to exceed $4,000,000,000 in principal—to improve energy or water efficiency, indoor air quality and sustainability, low-emission technologies or processes (including zero-emission electricity generation, energy storage, building electrification, and electric vehicle charging), or climate resilience of multifamily properties receiving project-based rental assistance under Section 202 of the Housing Act of 1959 (i.e., supportive housing for very low-income elderly persons), Section 811 of the Cranston-Gonzalez National Affordable Housing Act (i.e., supportive housing for persons with disabilities), or section 8 of the United States Housing Act of 1937. The section further appropriates (1) $25,000,000, to remain available until September 30, 2032, for HUD administrative costs; (2) $120,000,000, to remain available until September 30, 2031, for contracts to conduct property climate risk, energy, or water assessments, due diligence, and underwriting; and (3) $85,000,000, to remain available until September 30, 2030, for energy and water benchmarking of eligible properties, data analysis, and related information technology systems. Grants and loans are available to owners or sponsors of eligible properties that agree to an extended affordability period, with HUD authorized to issue implementing regulations and guidance.

This section appropriates $1,550,000,000 for FY2026 to the Secretary of Housing and Urban Development for direct loans, which may be forgivable, to owners of distressed multifamily housing projects to fund necessary physical improvements (subsidizing gross obligations up to $6,000,000,000), and $50,000,000 for administrative costs of this program and Office of Housing programs generally. Funds remain available through September 30, 2031. Loan terms include (1) eligibility limited to projects at risk of physical obsolescence or economic non-viability where rents cannot support needed improvements; (2) use solely for physical improvements; (3) 1 percent interest with repayment periods matching a new 30-year affordability requirement; (4) options for loan forgiveness, subordination, or extension to preserve affordability; and (5) a 20 percent non-Federal matching requirement, subject to reduction or waiver. Eligible projects include those assisted under section 8 of the United States Housing Act of 1937 (excluding tenant-based assistance), section 202 of the Housing Act of 1959 (i.e., supportive housing for very low-income elderly persons, providing capital advances and project rental assistance to nonprofits), former section 202, section 811, or section 236 of the National Housing Act. (Thus, the program targets rehabilitation of aging affordable housing stock, including elderly supportive housing under section 202 (12 U.S.C. 1701q).)

This section appropriates to the Rural Housing Service (RHS) of the Department of Agriculture for FY2026, in addition to amounts otherwise available—(1) $1.8 billion, to remain available until September 30, 2031, for loans and grants for new construction, improvements to energy and water efficiency or climate resilience, removal of health and safety hazards, and preservation and revitalization of housing under section 514 (farm labor housing loans), specified subsections of section 515 (rural rental housing loans for low-income families), and section 516 (farm labor housing grants) of the Housing Act of 1949, subject to subsection (b); (2) $100 million, to remain available until September 30, 2031, for continued assistance under section 3203 of the American Rescue Plan Act of 2021 (rural housing preservation); and (3) $100 million, to remain available until September 30, 2032, for RHS administrative costs related to this section. Subsection (b) requires RHS to use such loans and grants, including loan modifications, to restructure existing USDA multifamily housing loans to preserve projects as safe, affordable housing for low-income residents and farm laborers—through reducing or eliminating interest, deferring payments, subordinating or re-amortizing debt, and providing other financial assistance—and to secure restrictive use agreements consistent with restructuring terms. Subsection (c) authorizes RHS to issue regulations and guidance to implement this section.

This section appropriates $24.1 billion for FY2026 to the Secretary of Housing and Urban Development for the Housing Choice Voucher program (i.e., tenant-based rental assistance under section 8(o) of the U.S. Housing Act of 1937), including (1) $15 billion, available until September 30, 2031, for incremental vouchers for extremely low-income families, renewals, and administrative fees; (2) $7.1 billion, available until September 30, 2031, for incremental vouchers for households experiencing or at risk of homelessness and survivors of domestic violence, dating violence, sexual assault, stalking, or trafficking, renewals, and administrative fees; (3) $1 billion, available until September 30, 2033, for tenant protection vouchers related to public housing demolition or disposition, renewals, and administrative fees; (4) $300 million, available until September 30, 2033, for competitive grants to public housing agencies for mobility services and service coordination for voucher families; (5) $230 million, available until September 30, 2033, for facilitating voucher use, including landlord incentives and outreach; (6) $300 million, available until September 30, 2033, for departmental administrative costs; and (7) $70 million, available until September 30, 2033, for technical assistance to public housing agencies. The section further directs allocation of incremental vouchers under paragraphs (1) and (2) via a formula based on severe housing need and agency capacity; permits agencies to decline vouchers; authorizes revocation and redistribution of unused vouchers; limits fund uses; and allows designation of certain vouchers as excepted project-based units not counting against statutory caps.

This section appropriates $1 billion for the project-based rental assistance program under section 8(b) of the United States Housing Act of 1937 (42 U.S.C. 1437f(b))—which provides rental subsidies attached to specific units in multifamily housing for low-income families—for FY2026, in addition to amounts otherwise available: (1) $880 million for assistance payments, (2) $20 million for technical assistance to recipients, applicants, or states allocating such assistance, and (3) $100 million for administrative costs (e.g., information technology and oversight). Amounts remain available through September 30, 2033. Notwithstanding section 8(a) of the Act—which authorizes assistance only for existing housing—the Secretary of Housing and Urban Development may use these funds for assistance payments with respect to newly constructed housing, existing housing, or substantially rehabilitated non-housing structures converted to multifamily housing; for performance-based contract administrators; and pursuant to contracts prioritizing projects in high-opportunity areas, areas of economic growth or rising prices, projects serving those at risk of homelessness, or those with additional accessible units. The Secretary must allocate funds via competitive processes (potentially in multiple rounds), FHA loan applications meeting specified criteria, state delegations (including for rent determinations), or combinations thereof, with flexibility to set contract terms, durations, rents, and adjustments. The Secretary may issue regulations and guidance to implement the section.

This section appropriates $1 billion for FY2026, in addition to amounts otherwise available, to the Secretary of Housing and Urban Development for Native American and Native Hawaiian housing programs, to remain available through September 30, 2033, as follows: (1) $277.5 million in formula grants under the Indian Housing Block Grant program (IHBG), authorized by section 202 of the Native American Housing Assistance and Self-Determination Act of 1996 (NAHASDA) (25 U.S.C. 4132) for eligible affordable housing activities (i.e., modernization or operating assistance, development, housing services, management services, crime prevention, model activities, or community development demonstration projects); (2) $200 million for Native Hawaiian Housing Block Grant activities under NAHASDA section 810(a), infrastructure on Hawaiian Home Lands under section 810(b)(5), and rental assistance for Native Hawaiians; (3) $277.5 million in competitive grants for IHBG-eligible affordable housing activities under NAHASDA section 202; (4) $200 million in competitive single-purpose and imminent threat (including long-term environmental threats and relocation) Indian Community Development Block Grants (ICDBGs) for Indian tribes or designees; (5) $25 million for administrative costs of this section and related HUD programs; and (6) $20 million for technical assistance to grantees. It directs reallocation of unaccepted, returned, or recaptured formula grant funds under (a)(1) to competitive grants under (a)(3) or (4); prohibits using undisbursed funds from this section to reduce future IHBG formula allocations; prohibits investment of these funds in securities; and authorizes expedited implementation guidance.

This section increases each Federal Home Loan Bank's required annual contribution to its Affordable Housing Program (AHP)—which provides grants and subsidized advances for low- and moderate-income housing—to 15 percent of the preceding year's net income (from 10 percent under current law) or prorated sums to ensure aggregate contributions of at least $100 million annually, for 2026 through 2031. (Thus, the provision overrides any limits in 12 U.S.C. 1430(j)(5)(C), such as per-bank caps, and applies to specified AHP components under subparagraphs (j)(1), (2), (3)(A), (3)(C), and (4) through (13).)

This section directs the Secretary of Housing and Urban Development to issue a rule amending 24 CFR 8.22 and 8.23 to require that, in each multifamily housing project, not less than 10% of total dwelling units (or one unit, whichever is greater) be accessible for persons with mobility impairments and, in addition, not less than 5% of total dwelling units (or one unit, whichever is greater) be accessible for persons with hearing or vision impairments. This section further establishes a visitability requirement, making it unlawful to fail to ensure that a covered dwelling unit (i.e., a detached single-family house, townhouse or multi-level unit, or ground-floor unit in a building of not more than three units that receives specified federal financial assistance and is first occupied one year after enactment) contains at least one level complying with ANSI Standards for Type C (Visitable) Units (ICC ANSI A117.1-2009 or successor). Federal financial assistance for this purpose includes grants, loans, guarantees, tax credits, or other aid from HUD, VA, or USDA rural housing programs (42 USC 1471 et seq.), specifically encompassing community development loan guarantees under Section 108 of the Housing and Community Development Act of 1974 (42 USC 5308). (Thus, Section 108 guarantees—used by CDBG grantees to finance economic development, housing rehabilitation, public facilities, and related activities—trigger visitability standards for qualifying single-family dwellings.)

This section appropriates $3.05 billion for fiscal year 2026 to the Secretary of Housing and Urban Development for the Community Development Block Grant (CDBG) program—under which states, localities, and certain other grantees receive formula-based funding for community development activities benefiting low- and moderate-income persons (42 U.S.C. 5301 et seq.)—and related activities, available through September 30, 2033, as follows: (1) $1.735 billion for grants to CDBG grantees under specified statutory provisions, increasing the non-entitlement (i.e., small cities) set-aside cap to $70 million (from $7 million); (2) $700 million for CDBG grants to specified grantees only for colonias (i.e., substandard border areas lacking basic infrastructure); (3) $500 million for competitive grants to eligible recipients (i.e., partnerships involving CDBG grantees and manufactured home communities or nonprofits) for infrastructure improvements in eligible manufactured home communities that serve low- and moderate-income residents; (4) $87.5 million for administrative costs; and (5) $27.5 million for technical assistance. This section makes expenditures on new housing construction an eligible use of funds for CDBG recipients not receiving funds under section 40002 of this title. This section establishes a competitive grant program using the funds in paragraph (3) for health, safety, and sustainability improvements (e.g., construction, repair) in eligible manufactured home communities and provides related definitions.

This section appropriates $5 billion for FY2026, available through September 30, 2033, to the Secretary of Housing and Urban Development for grants and related costs to test, evaluate, and mitigate lead-based paint hazards and housing-related health and safety hazards in low-income target housing (i.e., pre-1978 housing where such families reside or will reside), as follows: (1) $3.425 billion for grants to states, units of general local government, Indian tribes or tribally designated housing entities, and nonprofits for eligible activities in units and common areas not receiving federal housing assistance other than tenant-based Section 8 vouchers (42 U.S.C. 1437f(o), excluding project-based vouchers under (o)(13)); (2) $250 million for similar grants in units and common areas assisted under the Weatherization Assistance Program (42 U.S.C. 6861 et seq.) but no other federal housing assistance except such vouchers; (3) $1 billion for grants to owners of properties receiving project-based Section 8 rental assistance (including under (o)(13)) that are target housing and have not received prior similar grants, for eligible activities other than abatement by enclosure/encapsulation or interim controls; (4) $75 million for training, technical assistance, research, and evaluation; and (5) $250 million for HUD administrative costs, including for lead hazard programs generally. Grantees may use up to 10% of funds for administration and must prioritize renting abated units under (a)(3) to families with children under age 6 for at least three years.

This section establishes the Unlocking Possibilities Program as a competitive HUD grant program and appropriates $1,750 million for FY2026, available until September 30, 2033, as follows: (1) $1,646 million for grants under specified sections of the Housing and Community Development Act of 1974 (42 U.S.C. 5301 et seq.), awarded competitively to eligible entities (i.e., states, insular areas, metropolitan cities, urban counties, or—for planning grants—regional planning agencies or consortia) to carry out program activities; (2) $8 million for research and evaluation related to housing planning; (3) $30 million for technical assistance to grantees and applicants; and (4) $66 million for HUD administrative costs, including information technology and financial reporting. The program provides planning grants to develop housing plans (i.e., plans addressing housing supply and demand, affordability, accessibility, barriers to development, and coordination with regional transportation plans), substantially improve housing strategies (i.e., comprehensive housing affordability strategies required under current law for jurisdictions to receive HUD formula funding such as CDBG and HOME), reduce regulatory barriers to housing supply (e.g., zoning reform, streamlined processes, increased inspection capacity), and improve community development strategies for sustainability, fair housing, and location efficiency; and implementation and livable community investment grants to carry out such plans and strategies, including related community investments. The section directs HUD to coordinate with the Federal Transit Administrator to the extent practicable.

This section cancels all outstanding indebtedness of the FEMA Administrator under notes or obligations issued pursuant to the National Flood Insurance Act of 1968 (42 U.S.C. 4016(a)) and the Federal Insurance Act of 1956 (42 U.S.C. 2414(e)), relieving the Administrator and National Flood Insurance Fund of all liability, including interest (including capitalized interest), fees, and charges. This section further provides, for each of FY2026 and FY2026, an amount equal to the interest the National Flood Insurance Program would have accrued from servicing the canceled debt—derived from offsets collected under 42 U.S.C. 4017(d)—for flood mapping activities under the Biggert-Waters Flood Insurance Reform Act of 2012 (42 U.S.C. 4101b(b)(1)(A)) (i.e., identifying areas with potential flood hazards) and related salaries and administrative expenses, to remain available until expended. This section appropriates $600 million for FY2026, available through September 30, 2028, to provide graduated discounts on National Flood Insurance Program premiums, fees, and surcharges for covered properties (i.e., 1-4 family primary residences, related personal property, or a renter's personal property in such a residence) to eligible policyholders with household incomes at or below 120% of area median income. Discounts may be based on income relative to 120% area median income, program participation, and funding availability; discount and administrative costs are deposited into the National Flood Insurance Fund (42 U.S.C. 4017) or National Flood Insurance Reserve Fund (42 U.S.C. 4017a) as applicable. The Administrator must issue interim implementation guidance within 21 months of enactment, expiring after 60 months or upon final rule issuance.

This section establishes the Community Restoration and Revitalization Fund at the Department of Housing and Urban Development (HUD) and appropriates $3 billion to it for FY2026, available through September 30, 2033, as follows: (1) $2 billion for competitive planning and implementation grants under specified sections of the Housing and Community Development Act of 1974 (42 U.S.C. 5301 et seq.)—which authorize the Community Development Block Grant (CDBG) program and related activities—to eligible recipients for community-led projects creating equitable civic infrastructure and affordable, accessible housing, including community land trusts and shared equity homeownership programs; (2) $500 million for similar competitive grants focused on creating, expanding, and maintaining community land trusts and shared equity homeownership, including through acquisition, rehabilitation, and new construction of affordable housing; (3) $400 million for technical assistance, capacity building, and program support; and (4) $100 million for HUD administrative costs, including information technology and financial reporting. The Fund supports competitive grants for CDBG-eligible activities (42 U.S.C. 5305(a)-(g)) and community-led affordable housing and civic infrastructure projects in geographical areas—neighborhoods, counties, or census tracts, including adjacent tracts—demonstrating need via factors such as high poverty rates, displacement risk from rising housing costs, low dwelling sales prices relative to rehabilitation or construction costs, high vacancy rates, or low homeownership rates by race and ethnicity. Eligible recipients are local partnerships of a lead applicant—nonprofit organizations expert in community planning and housing development, community development corporations, community housing development organizations, community-based development organizations, or community development financial institutions (CDFIs, as defined in 12 U.S.C. 4702, i.e., entities with a primary mission of promoting community development while serving investment areas or targeted populations)—and one or more joint applicants from an expanded list including units of general local government, Indian tribes, public housing agencies, and philanthropic organizations. (Thus, regional, state, or national nonprofits may lead if no qualified local entity exists.)

This section appropriates for FY2026, in addition to amounts otherwise available, (1) $540 million to the Fair Housing Initiatives Program (FHIP) to expand capacity of existing and new fair housing organizations for handling inquiries and complaints, conducting testing and investigations of discriminatory housing practices, and carrying out education and outreach amid increased housing market activity, with funds available until September 30, 2028, and including authority for up to 10-year grants; and (2) $160 million for Department of Housing and Urban Development (HUD) administrative costs—including information technology, reporting, research, and evaluations—for FHIP and the Fair Housing Assistance Program, with funds available until September 30, 2033. The section authorizes HUD to issue regulations, notices, guidance, forms, and instructions to implement these programs. (As background, FHIP funds private nonprofit organizations to investigate Fair Housing Act violations through testing and enforcement and to educate the public on fair housing rights.)

This section appropriates $100 million to the Secretary of Housing and Urban Development for FY2026, in addition to amounts otherwise available, as follows: (1) $75 million to support cooperative efforts with state and local agencies administering fair housing laws under section 817 of the Fair Housing Act (42 U.S.C. 3616)—which authorizes HUD to utilize and reimburse such agencies to enforce federal fair housing requirements—and for Fair Housing Assistance Program (FHAP) cooperative agreements with interim certified and certified agencies to expand their capacity for fair housing enforcement; and (2) $25 million for HUD costs to administer this section and FHAP and the Fair Housing Initiatives Program (FHIP), including information technology, financial reporting, research, and evaluations.

This section establishes the First Generation Downpayment Fund (Fund), to be managed by the Secretary of Housing and Urban Development (HUD), and appropriates for FY2026, out of any money in the Treasury not otherwise appropriated, (1) $6.825 billion, available until September 30, 2028, for formula allocation to states based on potential qualified homebuyers (i.e., first-generation homebuyers) and median home prices; (2) $2.275 billion, available until September 30, 2028, for competitive grants to eligible entities; (3) $500 million, available until September 30, 2033, for housing counseling costs; and (4) $400 million, available until September 30, 2033, for HUD administration, oversight, reporting, research (including on racial/ethnic homeownership disparities), technical assistance, and related costs. HUD must allocate funds within 12 months of enactment and may reallocate unused amounts to capable grantees. Grants from the Fund must provide assistance, after required HUD-approved housing counseling, to qualified homebuyers for (A) downpayment, closing, and mortgage interest rate reduction costs on eligible homes with eligible mortgages; (B) shared equity home subsidies; and (C) disability-related pre-occupancy modifications. Assistance, limited to once per homebuyer as grants or forgivable non-amortizing non-interest-bearing loans and not exceeding the greater of $20,000 or 10% of purchase price (excluding disability modifications, with possible increases for the economically disadvantaged), requires prorated repayment if the home ceases to be the primary residence before five years (except for shared equity programs); grantees may not prioritize state agency mortgages or recoup funds except as specified.

This section establishes a temporary home loan program through FY2033 (available until September 30, 2033) that authorizes the Federal Housing Administration (FHA) and Rural Housing Service (RHS) to insure or guarantee covered mortgage loans for single-family principal residences, with Treasury purchasing and managing securities backed by such loans and the Government National Mortgage Association (GNMA) providing up to $60 billion in guarantee authority. (1) Provides FY2026 appropriations of $4 billion to HUD for loan costs under the FHA program, $500 million to HUD for program administration and FHA/GNMA support, $150 million to USDA for loan costs under the RHS program, $50 million to USDA for program administration and RHS support, and $300 million to Treasury for program costs. (2) Limits aggregate principal obligations to $48 billion for FHA-insured loans and $12 billion for RHS-guaranteed loans. Covered FHA loans under section 203(b) of the National Housing Act (12 U.S.C. 1709(b)) must have a case number issued by December 31, 2031; a 20-year fixed-rate term with principal-and-interest payments equal to 100-110 percent of the equivalent payment on a 30-year FHA-insured loan of the same balance; and a mortgage insurance premium of no more than 4 percent of the loan balance (notwithstanding current statutory limits). (Thus, these features reduce monthly payments relative to standard FHA 30-year mortgages while shortening the repayment period.) Covered RHS loans are guaranteed under section 502(h) of the Housing Act of 1949 (42 U.S.C. 1472(h)).

This section establishes a HUD demonstration program to increase access to small-dollar mortgages—defined as forward mortgages with an original principal balance of $100,000 or less that are secured by a one- to four-unit principal residence and insured or guaranteed by HUD—and appropriates $100 million ($76 million for program activities such as lender incentives, term/cost adjustments, financial assistance, technical assistance, and outreach; $10 million for the cost of insured or guaranteed loans, including modifications; and $14 million for administrative costs including information technology, research, and fair housing compliance) for FY2026, to remain available through September 30, 2033. The Secretary of Housing and Urban Development may issue regulations and guidance as needed for implementation.

This section appropriates $90 million for FY2026 to the Rural Housing Service (RHS) for single family housing repair grants under Section 504(a) of the Housing Act of 1949 (42 U.S.C. 1474(a))—which authorizes grants to very low-income rural homeowners to repair, improve, or modernize dwellings to make them safer or more sanitary or to remove hazards (e.g., roofs, waste facilities, water supply, structural supports)—in addition to amounts otherwise available and to remain available until expended. The section also appropriates $10 million to RHS for administrative expenses supporting these grants and related activities, similarly available until expended. (1) Eligibility for the repair grants is not subject to limitations in 7 CFR 3550.103(b); (2) administrative funds are available notwithstanding limitations in 7 CFR 3550.102(a), for purposes specified in 7 CFR 3550.102(b). The RHS Administrator may issue regulations, notices, guidance, forms, instructions, and publications to implement these provisions.

This section appropriates for FY2026, in addition to amounts otherwise available and remaining available through September 30, 2033, (1) $949,250,000 to the Department of Housing and Urban Development (HUD) for administering and overseeing this title and HUD programs generally—including information technology, housing inspections, research, evaluation, and financial reporting—and for training, technical assistance, and capacity building awards to program recipients; (2) $43,250,000 to the HUD Office of Inspector General for oversight of this title's amounts; (3) $5,000,000 to the Department of the Treasury Office of Inspector General for such oversight; and (4) $2,500,000 to the Department of Agriculture Office of Inspector General for such oversight. It also authorizes the HUD Secretary to issue regulations, notices, guidance, forms, instructions, and publications to implement these activities.

This section appropriates $90 million to the Department of Housing and Urban Development (HUD) for FY2026, in addition to amounts otherwise available, for competitively awarded grants to nonprofits providing technical assistance and capacity building to community development corporations (CDCs), community housing development organizations (CHDOs), community land trusts (CLTs), nonprofits in insular areas, and similar entities targeting low-income and socially disadvantaged populations in high-concentration neighborhoods. The grants support (1) training, education, support, and advice to enhance technical and administrative capabilities for affordable housing development, acquisition, preservation, and rehabilitation; (2) predevelopment assistance for such activities; and (3) other activities determined by grantees in consultation with HUD. This section further appropriates $10 million to HUD for FY2026 to administer this program and the department's technical assistance programs generally. Funds remain available until September 30, 2033.