HOME Program 2025 Final Rule: In Brief

The HOME Investment Partnerships Program is a federal block grant program that provides funding to states and eligible localities to be used exclusively for affordable housing activities to benefit low-income households. On January 6, 2025, the U.S. Department of Housing and Urban Development (HUD) published in the Federal Register a final rule related to the HOME program: “HOME Investment Partnerships Program: Program Updates and Streamlining.” The final rule makes several significant changes to the implementation of the HOME program, and represents the first major regulatory update since 2013. Major provisions include tenancy addenda that create tenant protections for residents of HOME-assisted rental housing and recipients of HOME tenant-based rental assistance, changes to maximum per-unit subsidy limits, changes to periods of affordability, updated guidance and policy changes for HUD-assisted homebuyer housing, and several provisions intended to streamline participation in the HOME program. Implementation of some provisions has been delayed, including the tenancy addenda and the increase to the maximum per-unit subsidy limit for projects that meet a green building standard. This report summarizes the major provisions of the final rule.