Self Help Housing Land Development Loans
Program Funding
Annual program obligations reported to SAM.gov.
Program Objective
To support private and public non-profit organizations in utilizing funds to develop affordable building sites for sale to low- and moderate-income families, leveraging USDA’s Single Family Housing (SFH) loan programs or other mortgage financing options that serve this population.
Eligibility
Eligible Applicants
- Nonprofit Organization
- Federally Recognized Tribal Government
- Tribally Designated Housing Authority
Only organizations with a Section 523 Self-Help grant award are eligible to apply.
Beneficiaries
- Homeowner
Ultimate recipients at or below the low income limits are eligible to purchase developed lots.
How to Apply
Award Procedure
Applications are reviewed on a first come, first serve bases while funding is available.
Decision Timeline
- Approval: From 60 to 90 days
- Appeal: From 60 to 90 days
Program details & compliance
Description
This program provides financial assistance to private and public non-profit organizations for the development of affordable building sites intended for low- and moderate-income families. The initiative focuses on creating opportunities for homeownership by preparing and selling these sites to eligible families who utilize USDA’s Single Family Housing (SFH) loan programs or other mortgage financing options designed to serve this income group. By supporting site development, the program aims to increase access to safe, affordable housing, strengthen rural communities, and promote economic stability for families in need.
Mission Categories
Primary: Rural Housing
Use of Funds
Allowed Uses
Planning and performing site development work.
Restrictions
Limitations.
(A) If the amount of an SO loan will exceed $10,000, the prior consent of the
National Office shall be obtained before approval.
(B) The amount of the SO loan should not exceed 15 percent of the purchase
price of the land expected to be under option at any one time, unless a higher
percent is authorized by the State Director when other land is not available or the
particular area requires more down payment than elsewhere or similar
circumstances exist.
(C) Form RD 440-34, “Option to Purchase Real Property,” will be used without
modification in all cases for obtaining options under this subpart.
(D) The limitations of §1822.266(b)(1) and (2) of Subpart F of Part 1822 of this
chapter (RD Instruction 444.8, paragraphs VI B(1) and (2)) concerning land
purchase will apply to options purchased under this subpart
Required Documentation
Applicants must furnish pre-application documents identified in RD Instruction 444.8 including: (1) Evidence of need for such services; (2) legal capacity to borrow funds and develop land for sale; (3) a sound budget; and (4) general project description.
Applicant should review program requirements at RD Instruction 1944-I, Exhibit -F.
2 CFR 200, Subpart E - Cost Principles applies to this program
Reporting & Compliance
Applicable 2 CFR 200 Subparts
- Subpart B — General Provisions
- Subpart C — Pre-Federal Award Requirements
- Subpart D — Post-Federal Award Requirements
- Subpart E — Cost Principles
- Subpart F — Audit Requirements