HOME Community Housing Development Organizations 2025

The HOME Community Housing Development Organization (CHDO) Program is a grant opportunity managed by the New Jersey Department of Community Affairs (DCA) aimed at supporting the creation of affordable housing for low-income households, as defined by the U.S. Department of Housing and Urban Development (HUD). The available funding for the 2014 fiscal year was $613,145, and the maximum award per project is determined by HUD’s federal per-unit subsidy limits, which vary based on the size of the unit and the project’s financial gap. This grant is exclusively open to non-profit organizations that are certified as CHDOs by the New Jersey DCA. These organizations must demonstrate a history of experience in developing and managing affordable housing, working with the target population, and maintaining strong relationships with financial institutions. Applicants must be in good standing with the DCA and the State of New Jersey, and only those certified as CHDOs are eligible to apply. Certification requirements follow the criteria outlined in 24 CFR Part 92, Section 92.300 of the HOME Program’s Final Rule, which ensures that the applicant is a community-based organization with a mission and capacity to develop affordable housing. The funding can be used for a variety of project-related capital costs. These include construction costs, professional and financing fees, acquisition, and development contingencies. The program covers both homeownership and rental projects, with a restriction period ranging from 10 to 30 years, depending on the amount of subsidy and the location or type of housing. Importantly, funds cannot be used for previously funded HOME projects, project reserve accounts, or to pay delinquent taxes or fees. Projects that receive other forms of state funding, such as the Low-Income Housing Tax Credits (LIHTC) or Special Needs Housing Trust Fund, are also ineligible. The application process requires applicants to submit a detailed project narrative, a comprehensive budget including all leveraged resources, and supporting documentation for the proposed development. Applications must be submitted through the DCA’s electronic SAGE system, with hard copy attachments submitted separately. The proposal review process includes a quarterly submission cycle, with applicants notified within 120 days of submitting a complete application. Applications are evaluated based on several criteria, with a maximum score of 100 points. Key factors include the applicant’s capacity to undertake the project (30 points), whether the project meets program requirements such as cost feasibility and alignment with affordability controls (40 points), and the characteristics of the project’s neighborhood, such as accessibility to public transportation and services (15 points). Additional points (10) are awarded for municipal contributions, such as financial support, land donation, or waived development fees. Other considerations, like the presence of additional DCA-supported projects in the area, whether the municipality is COAH or Court-compliant, and the location in a high-need area, can contribute up to 5 more points. To meet reporting requirements, grantees must provide regular documentation throughout the project’s development, including meeting minutes, payment certificates, inspection reports, and a final certificate of occupancy. After project completion, CHDOs must submit leases and unit inventory records if applicable, as well as a certification of funding sources and project costs prepared by a CPA. This program is an important funding source for non-profit developers committed to providing long-term affordable housing for New Jersey’s low-income residents, particularly in areas with limited affordable housing options or significant development needs.