On Thursday, Governor Murphy signed into law S-1430, which expands the use of affordable housing voucher program funding for the purpose of homeownership expense assistance. The new law took effect on December 12, 2024.
Specifically, the new law reserves a portion of the State rental assistance program funds to establish and administer three new programs. The first, a program comparable to the federal Section 8 Housing Choice Voucher Homeownership Program to enable households to use a program voucher to purchase a home by providing monthly homeownership assistance or single down payment assistance grant.
The second, a program comparable to the federal Section 8 Housing Choice Voucher Family Self-Sufficiency Program to assist families achieve economic independence and reduced dependence on welfare assistance and rental subsidies.
The third, a Home Repair Emergency Assistance Fund to assist families with the costs of necessary home repairs and other homeownership expenses over the course of their participation.
In addition, the law requires, instead of permits, local housing authorities that administer funding through the federal Section 8 Housing Choice Voucher Program to also implement the Housing Choice Voucher Homeownership Program.
The new law permits the Department of Community Affairs to immediately adopt rules to implement the new provisions of law. The new rules would be in effect for one year from adoption, at which time, the rules could be amended, adopted, or readopted.
Contact: Mike Cerra, Executive Director, mcerra@njlm.org, 609-695-3481, x120.