USDA Seeks Applications to Finance Construction and Rehabilitation of Rural Rental Housing

Name
Jill Rees
City
Portland
State
Oregon
Release Date
Feb 25, 2015

Agriculture Deputy Under Secretary Doug O’Brien announced that the U.S. Department of Agriculture (USDA) is seeking applications from eligible lenders for loan guarantees to finance the construction or rehabilitation of rural rental housing.

“Working to ensure that individuals and families in rural areas have safe, decent, and affordable housing is a major part of USDA Rural Development’s mission,” O’Brien said. “USDA’s housing programs make a real difference in the lives of thousands of rural Americans nationwide by helping them obtain housing opportunities that they might not otherwise have. Revitalizing rural rental housing helps create construction jobs and maintain safe and stable rural communities.”

USDA is seeking proposals for loans from eligible and approved lenders under the Guaranteed Rural Rental Housing Program. The Department plans to make up to $150 million available. Approved applications from prior years’ notices will be the first to receive funding, followed by new applications based on their ranking.

“USDA Rural Development is committed to improving living conditions in small towns and rural communities while ensuring affordable rents for working families,” said USDA Rural Development Oregon State Director Vicki Walker. “We are helping to meet the needs of a rapidly evolving rural landscape, in part by providing the modern housing needed to support local business and economic development.”

Loan guarantees are available to construct or acquire and rehabilitate affordable rural rental housing. USDA will review responses submitted by eligible lenders, on the lender’s letterhead, and signed by both the prospective borrower and lender. Although a complete application is not required in response to this notice, eligible lenders may submit a complete application with their response.

Responses will be accepted anytime until December 31, 2015. Details are on page 29159 of today’s Federal Register. Selected responses that develop into complete applications will normally be funded with the fiscal year funds available on the date the application is completed.

Since 2009, USDA has provided new or rehabbed rental homes to 16,000 families through the Guaranteed Rural Rental Housing Program.

President Obama’s plan for rural America has brought about historic investment and resulted in stronger rural communities. Under the President’s leadership, these investments in housing, community facilities, businesses, and infrastructure have empowered rural America to continue leading the way—strengthening America's economy, small towns, and rural communities. USDA’s investments in rural communities support the rural way of life that stands as the backbone of our American values.