Competitive mortgage loan interest rates and $12,000 to $15,000 in down payment and closing costs are now available

Dover, Del. June 21, 2023 – The Delaware State Housing Authority (DSHA) announced today four new programs designed to increase access to homeownership in the First State. Now, whether a homebuyer is purchasing their first or next home, DSHA offers mortgage products that can make the dream of homeownership a reality. The four programs are: 

• Smart Start Home Loan: A first mortgage loan formally known as “DSHA unassisted.” Interest rates will be priced daily and will be at or below current market rates. Program available for conventional and government loans. 
• Home Sweet Home Program (Temporary): A zero-interest forgivable second loan of $12,000 to be used for down payment and closing cost assistance for homebuyers purchasing a home with a maximum sales price of $285,000.00 or less.Each year the homeowner(s) resides in the subject property as their primary residence, the loan balance will decrease by 10% up to year 10. The loan will be forgiven after 10 years with verification the homeowner(s) has resided in the subject property as their primary residence
• Delaware Diamonds Home Loan (Temporary): This is a zero-interest forgivable second loan of $15,000 to be used for down payment and closing cost assistance. This program will be eligible to current “essential workers” who live in the state of Delaware with an occupation in the following fields: education, medical, including first responders, retail such as grocery, general, and wholesale store employees, and veterans.Each year the homeowner(s) resides in the subject property as their primary residence, the loan balance will decrease by 10% up to year 10. The loan will be forgiven after 10 years with verification the homeowner(s) has resided in the subject property as their primary residence. 
• First State Home Loan Program – FKA Preferred Plus: This is a zero-interest 2^nd Formerly known as “Preferred Plus,” it will provide a 4% down payment and closing cost assistance loan based on the 1^st mortgage final loan amount. The principal will be deferred until the following events: refinance, sales, transfer of title, and the property is no longer the borrower(s) primary residence (whichever comes first).

“The announcement of these programs is an important step in our efforts to provide all Delaware residents with the opportunity to enjoy the benefits of homeownership,” said Governor John Carney. “I want to thank the Delaware State Housing Authority for their dedication and leadership in this space and encourage Delaware families to look into these opportunities.”

“Homeownership is at the core of DSHA’s services. Our team is continuously formulating innovative and beneficial ways to help individuals access quality, affordable homes,” said Eugene R. Young, Jr., Director of DSHA. “These four programs will have a lasting impact on families, communities, and the state as a whole.”

The Smart Start and First State Home Loan programs will be subsidized by revenues from DSHA’s primary homeownership loan programs. The Home Sweet Home Program and Delaware Diamonds Home Loan are being funded by a $5 million commitment from the additional $30 million supplement allocated by Governor Carney to DSHA.

Buyers participating in the program must meet eligibility requirements for DSHA’s homeownership loan programs, including income limits and credit score (620 minimum). Renters looking to build credit can apply for the Delaware Tenant Rent Reporting Pilot Program, which reports on-time rent payments to Equifax, Experian, and TransUnion and on-time utility payments to TransUnion.

DSHA also offers financial counseling through HUD-approved housing counselors to help potential homebuyers improve their scores and get on the path to homeownership.

In correlation with the launch of these new programs, DSHA is also adjusting the income levels for its homeownership programs to provide more opportunities for residents to purchase homes in Delaware. The new income limits can be found on DSHA’s homeownership website.

The programs are available statewide, and DSHA will be working with its participating lenders to serve homeowners. See the complete lender list here. 

About the Delaware State Housing Authority

The Delaware State Housing Authority (DSHA), formed in 1968, provides quality, affordable housing opportunities, and appropriate supportive services to low- and moderate-income Delawareans. In addition to its role as the State’s Housing Finance Agency, DSHA is unique because it serves as a Public Housing Authority in Kent and Sussex County and a Community Development and Planning Agency. For more information about the Delaware State Housing Authority, please call: (302) 739-4263 or visit our website at: www.destatehousing.com

Millions are currently available for housing projects; Millions more are in the pipeline

Dover, Del. April 18, 2023 – The Delaware State Housing Authority (DSHA) has successfully launched two new affordable housing development programs funded by the American Rescue Plan Act (ARPA). Both programs are part of a multi-tiered approach to address the state’s housing crisis and strengthen communities. 

• The Catalyst Fund ($20 million in housing development assistance), administered in partnership with Cinnaire, launched this month and offers developers construction lending and a sales gap subsidy through ARPA funds to transform vacant and blighted properties into affordable units for low- and moderate-income homebuyers. A virtual information and update session for housing developers will be hosted this Thursday, April 20, at 11:00 a.m. Registration for the session is required.
• The Market Pressure Relief Fund (MPRF) ($10 million in housing development assistance),which launched in January 2023, relieves construction material cost increases caused by the COVID-19 pandemic on Delaware’s affordable housing development community by loaning ARPA funds to developers so that projects under construction are completed, and affordable housing units are added to the state’s inventory. Before the application deadline, affordable housing developers throughout the state applied and requested $4 million in assistance. DSHA is evaluating applications and will continue to explore ways to help more construction projects with the remaining MPRF funds. 

Governor John Carney and DSHA announced these programs, just two of five to be created, in July 2022. With more funding and programs in the pipeline this year, Delaware can further unlock potential housing development opportunities and ensure affordability in the existing housing stock.

For instance, ARPA funding will also be available to new creation and preservation development projects that intend to use the 2023 Low-Income Housing Tax Credit (LIHTC). Housing developers who meet eligibility requirements may include it with their LIHTC applications, due on Friday, April 28, 2023. If these applications are successful in the LIHTC allocation round, then the ARPA funding will be allocated to the projects to encourage both new units and the preservation of existing units.

Delawareans can stay informed about housing program announcements by signing up for DSHA’s newsletter at destatehousing.com/NewsAndEvents/newsletters.php.

“Delaware has never seen such a significant investment in housing. The programs DSHA is creating have never been executed at this scale,” said Eugene Young, Jr., Director of DSHA. “We’re thrilled with the progress made so far, and we’re not done yet. The impact of our efforts will allow Delaware to focus on what our housing landscape will look like well past 2026 when the funds expire.” 

ABOUT DELAWARE STATE HOUSING AUTHORITY

 The Delaware State Housing Authority (DSHA), formed in 1968, is dedicated to providing quality, affordable housing opportunities, and appropriate supportive services to low- and moderate-income Delawareans. In addition to its role as the State’s Housing Finance Agency, DSHA is unique in that it serves as a Public Housing Authority and a Community Development and Planning Agency. As a Public Housing Authority, DSHA receives funding from HUD to build, own, and operate public housing in Kent and Sussex counties, two of Delaware’s three counties. For more information about the Delaware State Housing Authority, please call: (888) 363-8808 or visit our website at www.destatehousing.com.

Local, State, And Federal Leaders Praise Investments Throughout Delaware

Dover, Del. April 10, 2023 – The Delaware State Housing Authority (DSHA) joined its nationwide counterparts in kicking off National Community Development Week, April 10 – 14. Today, the state hosted a press conference and site visit at The Flats Phase III & IV in Wilmington to inform the public on how and where federal funds are utilized to assist low- and moderate-income Delaware, in addition to showcasing the inspirational impact of investments to date.

National Community Development Week, created in 1986, focuses local and national attention on programs and funding that build more robust and resilient communities, such as the Community Development Block Grant (CDBG) program, HOME grants, and the Housing Trust Fund.

“Countless residents in our community have benefited from projects funded by the federal government, the majority of whom are low-and moderate-income persons,” said Senator Tom Carper. “Through the hard work and dedication of our Delaware community, local leaders, and business partners, we are building a better community for future generations.”

CDBG programs, HOME grants, and the Housing Trust Fund, coupled with state investments, touch various initiatives, including finding temporary housing for households displaced after natural disasters, COVID-19 pandemic response, and emergency repairs. These funds are a versatile funding source that helps revitalize our neighborhoods and improve the lives of Delawareans.

“The Biden-Harris Administration and HUD remain committed to building stronger and more resilient communities across America through CDBG, HOME, and the Housing Trust Fund,” said Matt Heckles, Regional Administrator for the U.S. Department of Housing and Urban Development – Region III. “I am excited to celebrate National Community Development Week with the First State as it has benefitted from these allocations and invested them in ways that improve the lives of Delaware residents.”

“We are investing in housing development across our state so that more Delaware families have access to safe, affordable housing,” said Governor John Carney. “The federal funds we’ve received over the years have bolstered our efforts to support our most vulnerable residents and build stronger communities by focusing on their needs. I’d like to thank the Congressional delegation for their efforts to secure this important federal funding.”

“It’s a positive move for Delaware to invest in building, rehabbing, and preserving rental and homeownership units as part of its many community development efforts,” said DSHA Director Eugene R. Young Jr. “We all know that we’re in a critical housing situation, and putting these dollars to work is something that many of the recipients, including DSHA, take pride in.”

Between 2017 and 2021, $9,869,445 in CDBG funds were provided for housing activities, such as construction, rehabilitation, homebuyer assistance, lead-based paint testing, and abatement. Seventy-six housing units were created using the Housing Trust Fund, and 50 rental units were created using HOME grants in the past five years.

The Flats III & IV is an extensive, seven-phase construction project to redevelop the original units as new affordable housing. Phase I, with 72 units, Phase II, with 72 units; and Phase III, with 77 units, are complete. Construction will soon begin on Phase IV, with 52 units. The project is expected to unfold over a 10-15-year period and is led by Todmorden Foundation, HDC MidAtlantic, and Woodlawn Trustees.

“The Flats are transforming the surrounding community in Westside Wilmington. We know that our attention to detail and efforts to maintain the area’s design feature works,” said Rich Przywara, President and CEO of Woodlawn Trustees. “We owe our success to the community development dollars that have passed through Delaware and are grateful to celebrate the importance of National Community Development Week with our partners.”

About Delaware State Housing Authority
The Delaware State Housing Authority (DSHA), formed in 1968, is dedicated to providing quality, affordable housing opportunities, and appropriate supportive services to low- and moderate-income Delawareans. In addition to its role as the State’s Housing Finance Agency, DSHA is unique in that it serves as a Public Housing Authority and a Community Development and Planning Agency. As a Public Housing Authority, DSHA receives funding from HUD to build, own and operate public housing in Kent and Sussex counties, two of Delaware’s three counties. For more information about DSHA, please call (302) 739-4263 or visit destatehousing.com.

Dover, Del. March 10, 2023 – The Downtown Development Districts (DDD) program, administered by the Delaware State Housing Authority (DSHA), recently released its Fiscal Year 2022 (FY2022) Annual Report and Story Map.

During FY2022, 64 development projects were completed receiving $4.6 million in state funds and leveraging $44 million in private investment. A majority were accomplished by rehabilitating existing buildings, which had been long vacant, and placing them back into productive use.

In addition, several historic properties were renovated to include mixed-use buildings with commercial or retail on the first floor and residential on the upper floors, helping to preserve the character of Delaware’s downtowns.

• Ninth Street Holdings LLC in New Castle – A dilapidated structure, considered a blight on the neighborhood, was demolished and replaced with six town homes with brick
• Triple Twelve LLC in Middletown – Originally a residence dating back to the 1800s, this building has been renovated into a tasting room and beer garden for a micro-brewery. This popular destination is attracting more visitors to Middletown while supporting surrounding businesses.
• 200Front LLC in Milford – Long dilapidated structures were demolished over several parcels to construct and design nine affordable townhomes to complement the North Milford Historic District.

The DDD program was created by legislation proposed by Governor Markell and passed unanimously in May 2014 by the General Assembly. Through state and local collaborations, robust incentives are provided to overcome the financial barriers and redevelopment challenges associated with downtown infill development.

Since its inception, the program has catalyzed private investment in designated Delaware’s downtown districts, spurring 357 projects completed and placed in service to transform distressed downtown areas into vibrant community centers.

The twelve districts are dispersed across the state, including Clayton, Delaware City, Dover, Georgetown, Harrington, Laurel, Middletown, Milford, New Castle, Seaford, Smyrna, and Wilmington.

Further development successes can be found on the program’s Story Map. This interactive website details the DDD projects in local areas that have received rebates or are currently in the pipeline.

Applications for 2022 Large Projects are currently closed. Applications for 2022 Small Projects are accepted on a rolling basis. For more information on DDD, please visit the DSHA website. The full annual report is available here.

About Delaware State Housing Authority

The Delaware State Housing Authority (DSHA), formed in 1968, is dedicated to providing quality, affordable housing opportunities and appropriate supportive services to low- and moderate-income Delawareans. In addition to its role as the State’s Housing Finance Agency, DSHA is unique in that it also serves as a Public Housing Authority and acts as a Community Development and Planning Agency. As a Public Housing Authority, DSHA receives funding from HUD to build, own and operate public housing in Kent and Sussex counties, two of

Delaware’s three counties. For more information about DSHA, please call (302) 739-4263 or visit destatehousing.com.

Dover, Del. February 21, 2023 – Now through Friday, March 31, the Delaware State Housing Authority (DSHA) invites all residents to complete a confidential housing survey that will guide housing agencies and local jurisdictions in their efforts to:

•  Prioritize housing and housing-related services,
• Develop more targeted program and policy responses, and
• Better coordinate the use of federal, state, and local resources.

The survey takes approximately 15 minutes to complete and can be accessed in English, Spanish, and Haitian Creole at: https://delawarecommunitysurvey.com/. Responses will be reported in the aggregate in order to protect survey takers’ privacy. All eligible survey takers will be entered into ongoing drawings to win one of five $100 gift cards.

The survey, which is part of a comprehensive statewide housing needs assessment, seeks input on residents’ current and past housing experiences, housing development preferences, and opinions on Delaware’s housing market needs. Hearing directly from residents about their housing situation is imperative for creating effective responses to needs.

Additional components of the needs assessment include data collection and analysis of a variety of data sources, as well as stakeholder interviews and focus groups with residents, community leaders, and housing advocates. The final report will put forth recommendations to address various housing challenges, including the regulatory, financial, and other barriers to the construction of affordable housing. It will be published in late summer or early fall of this year.

“We must reckon with the housing crisis our state is currently experiencing. It’s time to take a new, more aggressive approach, and I’m confident this housing needs assessment will help lead the way,” said Eugene R. Young, Jr., Director of DSHA. “We were pleased to see the community so engaged and supportive during our recent Fiscal Year 2024 General Budget Hearing and look forward to ongoing engagement throughout this needs assessment process.”

DSHA’s most recent Housing Needs Assessment was released in 2015, and it can be viewed here: http://destatehousing.com/FormsAndInformation/needs.php.
This survey is not associated with political parties, legislation, or elections. Individuals who require an accommodation to participate in the survey can contact avilia@rootpolicy.com or call (970) 880-1415. An example of a reasonable accommodation would be taking the survey by phone because the survey is difficult to complete through a screen reader. Hard copies of the survey are also available by request.

A pdf of the HNA_Flyer

ABOUT DELAWARE STATE HOUSING AUTHORITY
The Delaware State Housing Authority (DSHA), formed in 1968, is dedicated to providing quality, affordable housing opportunities, and appropriate supportive services to low- and moderate-income Delawareans. In addition to its role as the State’s Housing Finance Agency, DSHA is unique in that it serves as a Public Housing Authority and a Community Development and Planning Agency. As a Public Housing Authority, DSHA receives funding from HUD to build, own, and operate public housing in Kent and Sussex counties, two of Delaware’s three counties. For more information about the Delaware State Housing Authority, please call: (888) 363-8808 or visit our website at www.destatehousing.com.