$75 Billion Housing Assistance Fund Proposed to Help Low-Income Households Avoid Housing Default, Foreclosure and Eviction During COVID-19 Crisis

Thursday, May 7, 2020 - 10:45am

Sens. Jack Reed, D-R.I., and Sherrod Brown, R-Ohio, today introduced legislation to create a $75 billion Housing Assistance Fund to provide aid through state housing finance agencies to lower-income homeowners and renters affected by the COVID-19 pandemic. S. 3620 would provide funding for homeowners and renters who need assistance to avoid mortgage defaults, foreclosures and evictions under financial hardships that started after Jan. 21, 2020. The funds would be allocated based on the state’s unemployment claims compared to the national number, with a small-state minimum of $250 million. The first disbursement would include at least half of the funds, made available within 120 days of the enactment of the bill. The second disbursement would be no later than 180 days after the bill is enacted.

For community development, affordable housing and renewable energy updates related to COVID-19, see Novogradac’s dedicated page.