Housing aid programs launch this week
Money for housing has been one of the greatest needs during the pandemic, and starting this week, $30 million in funding will become available to help Vermonters in need.
On Monday, the Vermont State Housing Authority (VSHA) and Vermont Housing Finance Agency (VHFA) will start accepting applications for two new assistance programs announced by Gov. Phil Scott on Friday. The money is part of relief funding approved by lawmakers and backed by federal aid.
The $30 million total includes $25 million for rental assistance and $5 million for mortgage assistance to lower-income households, to be administered by VSHA and VHFA, respectively.
In his Friday remarks, Gov. Phil Scott acknowledged these grants won’t address all of the needs impacted groups are facing in the pandemic.
“But we’ll continue to look for ways to support them, so they can survive this once-in-a-century crisis,” Scott said.
Richard Williams, VSHA’s executive director, outlined the financial hardships involved for renters, which have been a long-standing struggle.
“Even prior to COVID-19, over half of the renters in Vermont — about 36,000 households — have housing costs that consume more than 30 percent of their income,” he said Friday, adding, “One quarter of Vermont renters spend more than half of their income on housing.” The new funding is designed to help keep Vermont renters in their homes and avoid homelessness during the crisis, Williams added.
Grants through this new rental housing stabilization program are available to renters, landlords and families experiencing homelessness, he noted. As well as past-due rent, the funding can also cover first and last month rent payments and security deposits. Applications will be processed on a first-come, first-serve basis.
Maura Collins, executive director of VHFA, spoke about the mortgage assistance program. She emphasized that it’s available to anyone who meets the criteria, not just VHFA clients. This funding will pay for up to three months of mortgage payments for low-income households. Applications will be taken from July 13 through Aug. 31, but that period may shorten if funds run out.
The program is limited to Vermont households with incomes in the last 90 days of $15,000. For homes in Chittenden County, that limit is $18,000. Other requirements include that the applicant must have missed at least two monthly mortgage payments; the loan must have been in force before March 1; and the home must be the applicant’s primary residence.
The governor also pointed out that this funding is just a portion of the housing-related assistance approved by the Legislature, which totals $85 million. Other funding will be highlighted at future press conferences.
“It’s critical we keep moving forward, so we can recover as a state and nation, and recovery starts with everyone having a safe and secure place to call home,” Scott said.
More information on these programs is available at accd.vermont.gov through the Agency of Commerce and Community Development.
— Gareth Henderson
