Affordable, quality and accessible housing is a critical component to growing the Kansas economy and improving the quality of life in our state.
The Department of Commerce is working with the Kansas Housing Resources Corporation, USDA-Rural Development and Federal Home Loan Bank to ensure the state has enough good quality and affordable housing for all Kansans.
The State of Kansas and the Federal Government have various programs available to assist individuals; developers; cities, counties and non-profits; and lenders to meet their housing needs.
These programs are listed below, click to expand for contact information and links to additional information.
The goal of SHOVL is to provide funding to developers for expenses incurred prior to the closing of their permanent financing for housing developments in Kansas communities that have experienced housing challenges.
The goal of SHOVL is to provide funding to developers for expenses incurred prior to the closing of their permanent financing for housing developments in Kansas communities that have experienced housing challenges. The housing developments must have a direct connection to past, current or future economic development efforts. Developers may include private individuals, corporations, limited liability companies, nonprofits, and local units of government. The Startup Housing Opportunity Venture Loan (SHOVL) funds will be provided on a project-by-project basis in communities under 10,000 population.
House Bill 2237 and Governor Kelly Budget Enhancement Summary
Housing Legislation Overview 2022
The Housing Assessment Tool (HAT) was designed as a tool to assist communities to become more aware and informed of their current housing inventory in order to develop relevant strategies for housing improvement.
After completing the HAT, a community is encouraged to attend a Housing Inter-agency Advisory Committee (HIAC). HIAC is a meeting where the community presents their HAT to Kansas Department of Commerce, Kansas Housing Resource Corporation, USDA-Rural Development and Federal Home Loan Bank .
The Federal Home Loan Bank (FHLBank) systems’ Affordable Housing Program (AHP) is a privately funded housing grant program whereby FHLBank Topeka partners with its member financial institutions and public and private housing development organizations to provide grants to help fill financing gaps on income-eligible owner-occupied and rental housing initiatives.
The HOME Rental Development Program, funded through the Federal HOME Investment Partnerships program, assists communities and developers with increasing the supply of affordable rental housing. Nonprofit organizations must meet certain criteria to be considered a CHDO, as defined by HOME program regulations.
The Low-Income Housing Tax Credit (LIHTC) Program promotes the development of affordable rental housing for low-income individuals and families.
Tax-Exempt Bond financing for multifamily housing is available through the State’s Private Activity Bond (PAB) authority.
The PAB is designed to provide local units of government the ability to issue tax-exempt bonds for a number of purposes including, but not limited to: facility and equipment financing for qualified manufacturers and processors, Beginning Farmers Program, waste treatment facilities, Mortgage Credit Certificates (MCC), Mortgage Revenue Bonds (MRB), and financing for residential rental developments.
The Rural Housing Incentive District (RHID) Act provides cities and counties a program to assist developers to build housing in rural communities by assisting in the financing of public improvements.
USDA’s Rural Rental Housing Program provides loans and guaranteed loans to increase the supply of affordable rural rental housing for income eligible tenants.
Loans can be combined with housing tax credits and other affordable housing products to help offset development costs.
The CDBG housing funds may be awarded to non-entitlement communities to add 20 years of useful life to the homes within their community occupied by low-to-moderate income citizens.
USDA’s Housing Preservation Grants provide qualified, public, non-profit organizations and public agencies funding to assist very-low and low-income homeowners to repair and rehabilitate their homes in rural areas.
The Moderate Income Housing Program (MIH) aims to help cities and counties develop new infrastructure and housing in rural areas.
The ESG replaces the Emergency Shelter Grant Program and expands the eligible activities to include homeless prevention and rapid re-housing components.
The five components available for ESG funds include street outreach, emergency shelter, homelessness prevention, rapid re-housing assistance and data collection through the Homeless Management Information System (HMIS).
The First Time Homebuyer Program (FTHB) provides a forgivable loan to greatly reduce the out-of-pocket expenses associated with buying a home.
Income-eligible households that have not owned a home in the past three years may apply for the FTHB.
The Homeownership Set-aside Program (HSP) is a down payment, closing cost and rehabilitation assistance program designed to help first-time homebuyers in FHLBank’s district purchase a home.
FHLBank members are eligible to access HSP funding to assist first-time homebuyers in areas they serve.
USDA Rural Development’s Direct Home Loan Program is used to help low-income individuals or households purchase homes in rural areas.
Funds can be used to build, repair, renovate or relocate a home, or to purchase and prepare sites, including providing water and sewage facilities. To check property and income eligibility for the program, view USDA’s Property & Income Eligibility Website.
USDA Rural Development’s Direct Home Loan Program is used to help low-income individuals or households purchase homes in rural areas.
USDA Rural Development partners with locally approved lenders to help them extend financing to individuals and families wishing to purchase in rural communities. The program is available for the purchase of existing and newly constructed homes. To check property and income eligibility for the program, view USDA’s Property & Income Eligibility Website.
USDA’s Home Repair Program provides loans and grants to very low-income homeowners to repair, improve, or modernize their dwellings; to remove health and safety hazards; or to install a storm shelter.
Homeowners 62 years and older may qualify for a grant if they are unable to repay a loan. To check property and income eligibility for the program, view USDA’s Property & Income Eligibility Website.
The Weatherization Assistance Program provides housing improvements that increase energy efficiency in eligible single-or multi-family dwellings, including manufactured homes.
Eligible participants are residents of households with income at or below 200 percent of the federal poverty guidelines.
The Community Development Program (CDP) is a special advance program that provides FHLBank members with wholesale loans (advances) priced below FHLBank’s regular advance rates to help finance qualifying commercial loans, farm loans and community and economic development initiatives in the areas they serve.
This favorable pricing, coupled with the availability of funds in terms of four months to 30 years, helps lenders extend long-term, fixed rate credit for community development.
The Community Housing Program (CHP) is a special advance program that provides FHLBank members with wholesale loans (advances) priced below FHLBank’s regular advance rates to help finance owner-and renter-occupied housing in their communities.
This favorable pricing, coupled with the availability of funds in terms of four months to 30 years, helps lenders extend long-term, fixed rate credit for housing.
The Kansas Housing Loan Deposit Program provides qualified builders and developers in Kansas access to $60 million in low-interest loans to finance housing development.
Under this program, the State Treasurer places funds in Kansas banks or farm credit associations so that they may issue loans to eligible borrowers. The amount of the loans are dependent on the purpose and are authorized for up to 5 years for single- and multi-family dwelling homes and up to 20 years for adult care and assisted living homes. Interested borrowers should contact their lenders for more information on if this program is right for them. Lenders must have an executed Participation Agreement on file in the State Treasurer’s Office to participate in the program.
