How to Apply for Housing Grants in Puerto Rico
Puerto Rico is an incorporated territory of the United States. It is not considered a state of the American Union but U.S. federal laws are applicable to them. For this reason, they are eligible for all the benefits being given by the U.S. government including how to apply for housing grants.
In part of the government’s continuous efforts in improving the housing sector, the U.S. Department of Housing and Urban Development (HUD) had recently announced they are granting $73,000 worth of housing counseling grants to Puerto Rico.
The funding will be divided into four housing organizations in Puerto Rico that will give the low-income families a better chance of having their own homes or keep their homes from foreclosure through grants for home buyers and housing counseling grants.
HUD is said to be giving out around $29 million to national, regional, and multi-state counseling agencies. From what HUD Secretary Shaun Donovan had recently stated:
“The HUD-approved counseling agencies funding supports are crucial in helping struggling families on a one-to-one basis to manage their money, navigate the homebuying process, and secure their financial futures. We fought hard to persuade Congress to restore funding for housing counseling in HUD’s budget and now we’re working to make these important resources available as quickly as possible.”
How to Apply for Housing Grants for Home Buyers
Housing counseling grants, grants for home buyers, and grants for housing assistance are all created to assist families in purchasing their own home and guide them as to how they are supposed to keep it.
These grants also provide assistance to both home renters and the homeless on how to apply for housing grants. Financial literacy training is also being taught through this grant program that helps low to moderate income individuals and families manage their funds more efficiently.
Financial literacy training could be the most important thing in housing counseling and housing assistance. This enables home buyers and renters understand all the complex words involved so that negligence could be avoided.
Negligence is almost always the reason for mortgage scams and foreclosures. This is due to the reason that most home buyers do not always understand the whole rental or home buying process.
Funds for Grants for Housing Assistance and Counseling
According to HUD Secretary Donovan:
“These funds are complemented by the roughly $2.5 billion provided to the states as part of the $25 billion mortgage servicing settlement. Most states can use these funds for foreclosure prevention activities such as housing counseling and legal aid services.”
HUD is also awarding $2 million to three national organizations to effectively train more housing counselors to help families on how to apply for housing grants throughout the country. This is said to be in addition to $36 million worth of grant funds that will directly go to housing counseling grants in 27 national and regional organizations, 6 multi-state organizations, 16 State Housing Finance Agencies, and 419 local housing counseling agencies.
There will be an additional $4 million worth of funds allotted for the purpose of helping senior citizens seek reverse mortgages should they wish to. This will be through HUD’s program called Home Equity Conversion Mortgages (HECM) where the main concern is to help the elderly convert equity in their homes to income that they can use for their more necessary needs like medical costs and other living expenses.
However, how to apply for housing grants and housing counseling grants is a separate and quite selective process depending on the funds available and the status of the application as determined by the respective organization assigned.
How to Apply for Housing Grants and Housing Counseling Grants
The four local organizations in Puerto Rico that will receive the funding are:
- Corporación Desarrollo Económico, Vivienda y Salud from Arecibo – $19,732
- Corporación Milagros de Amor from Caguas – $16,183
- Ceiba Housing and Economic Development – $20,324
- One Stop Center from Río Piedras – $16,775
Applying for these grants is quite a highly competitive process. HUD determines the eligible organizations and they are monitored every now and then to ensure good work and maintain their approval status. The organizations then will determine the persons who are eligible for the available grants depending on facts and figures they are able to get.