The City of Houston will offer up to $125,000 in down payment assistance, closing expenses, subsidized interest rates, and principal reductions to around 200 households in a major move to address housing affordability and Hurricane Harvey recovery.
First-time homebuyers and families that lost their homes in the 2017 tragedy are the focus of the Harvey Homebuyer Assistance initiative, which was made possible by a $18 million initiative that was unanimously authorized by the Houston City Council. In addition to meeting income limits of no more than 120% of the local median income, eligible applicants must have been Houston residents as of August 25, 2017.
According to Mike Nichols, director of Houston’s Housing and Community Development Department, this program is a tiny move that will have a tremendous impact. It’s about providing housing for more than 200 families and indicating our intention to move Houston toward more affordability.
The initiative represents a revitalized partnership between the Texas General Land Office (GLO), which manages federal recovery funding from the U.S. Department of Housing and Urban Development, and the City of Houston. The two organizations have had a tense relationship in the past. The GLO took over the city’s Harvey Homeowner Assistance Program after Hurricane Harvey, claiming inefficiency, and at first gave neither Harris County nor Houston any funding.
For some, it’s too little, too late.
More than 160,000 people in the Houston area may require repair assistance after Harvey inundated over 150,000 houses.
According to the city, over half of the households affected by Harvey had low- and moderate-income incomes. According to community advocates, a large number of the destroyed homes were located in Latino and Black communities that lacked enough infrastructure and financial investment to prevent floods.
Following the start of its own state-run Harvey rehabilitation program for Houstonians, the Texas General Land Office contacted Lloyd Nelms, a resident of Houston, in May 2020. Nelms was fed up with waiting for assistance from the city after Harvey wrecked his long-time house. After completing all the necessary documentation, the GLO destroyed his house and replaced it with a new one in a matter of weeks.
Nelms claimed that on August 26, 2020, four years after he registered for the non-Harvey program and months after the GLO had restored his home, the city sent a contractor to his residence.
According to Nelms, “I lost hope in the city, but I didn’t lose hope in God.”
After serving as a state legislator for fifty years, Houston Mayor John Whitmire took office in 2023 and has made repairing the city’s relationship with irate homeowners a top priority. In order to obtain more than $200 million in unused federal disaster monies, he collaborated closely with Land Commissioner Dawn Buckingham.
We’ve noticed a significant change in the way the city and the GLO collaborate as a result of this partnership, Nichols said. Our recent assessment with the GLO was cordial and encouraging; this collaboration is essential to aiding in the reconstruction of our residents.
Applicants must meet federal and state housing requirements and already have a mortgage in order to be eligible for help. For comprehensive application instructions, prospective homeowners can access the city’s Housing and Community Development Department’s web portal. https://houstontx.gov/hcdrecovery/dr17/hbap.html is the City’s webpage.explains that although the program is closed, candidates can get additional information by contacting [email protected].
Houston has already attempted to assist families harmed by hurricanes. About 500 homebuyers were assisted by a similar scheme in the past, and 50 households are already waiting for the upcoming funding round.
According to Council Member Martha Castex-Tatum, affordability is a major concern not only in Houston but around the country. Despite its modest size, this initiative will have a profound impact on the 200 families it supports.
The program demonstrates Houston’s dedication to helping those affected by one of the biggest natural disasters in the city’s history rebuild their lives and seize new possibilities.
