Housing Vouchers Provide Mortgage Assistance to Struggling Homeowners

Homeowners unaware that vouchers apply to mortgage payments

Housing Vouchers Provide Mortgage Assistance to Struggling Homeowners
March 11, 2016

The Homeownership Voucher Program administered by the U.S. Department of Housing and Urban Development (HUD) began in 2000 as a way of providing assistance to those struggling to pay rent. Few people, however, know that the vouchers can also be used to help pay the mortgage on a new home.

The program is available in most parts of the country, but how it is administered and what the qualifications are vary depending on the jurisdiction in which the potential homeowner lives. Generally, the amount of mortgage assistance and the amount of rental assistance for which an applicant qualifies are the same, although this is not always the case.

In order to qualify for a Homeownership Voucher and apply it to a mortgage, the applicant must already have qualified for and received a rental voucher. If they do not, they will have to apply for one first before they can apply for mortgage assistance. They must also meet the HUD definition of a first-time home buyer and meet the minimum income qualifications set by their local housing authority. Applicants must have completed a housing and homeownership program, and met some other requirements.

In most areas, those who receive a voucher must still contribute 30 percent of their monthly adjusted gross income towards their mortgage payment. The remaining balance will be paid by the voucher. In some jurisdictions, however, the voucher amount is actually a percentage of the average cost of owning a house in that area.

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brittany.martinez530 | 03.11.16 @ 19:01
I think the idea of a house voucher to help struggling individuals is highly beneficial. I like the idea.
Carla Truett | 03.11.16 @ 19:02
I never knew this program existed. I think it is a great plan to help those who need it. We need more like this.
Steffanie | 03.11.16 @ 19:02
This ir great for those who need it.
Erin | 03.11.16 @ 19:02
It's good to know there is assistance available for those that may need it if they come upon an unexpected situation and cannot pay all of their mortgage. Thankfully, I have never needed something like this, but it must be a comfort for others that have gone through it that they will not lose their home.
Kailie | 03.11.16 @ 19:03
I didn't know these kinds of programs existed, but I think its a great idea for those who need the help
Sarah | 03.11.16 @ 19:04
well, this is a new one on me. interesting that to qualify you have to have already gotten help with renting before. one would think that would be a disqualifier. can't pay rent, why you trying to buy?
trish | 03.11.16 @ 19:05
We were a part of the Making Homes Affordable program a few years ago. I think that this is an amazing thing to have available for those who need it. We were able to keep our home thanks to the program we were a part of
Kyle | 03.11.16 @ 19:06
I think this is great. I didn't know these kinds of things existed.
Heather | 03.11.16 @ 19:06
I love hearing about a program like this. Its great to know people can get help and not worry about loosibg their home.
Beverly | 03.11.16 @ 19:08
Interesting, I had never heard of this program. This could be really helpful, too bad it's so hidden and not talked about.
Ron | 03.11.16 @ 19:33
If few people are aware of the ability to use the voucher for a mortgage payment as well as a rental payment, then it makes me wonder if that facet if the program is explained to folks seeking the rental assistace initially. I would think that if folks had it known to them there was a window to move onto a path to home ownership versus renting, one would seriously consider it.
me | 03.18.16 @ 11:52
Since you have to have a rental voucher before qualifying for a housing voucher, how do I get a rental voucher?
$commenter.renderDisplayableName() | 12.10.16 @ 22:45
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