Habitat for Humanity asks lawmakers to restore $10M in pilot funds for mobile home preservation and down‑payment assistance

2102717 · January 3, 2025

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Summary

Habitat for Humanity Virginia urged the committees to restore two pilot projects removed from the governor’s budget: a $5 million loan fund to purchase mobile home parks and a $5 million down‑payment assistance pilot for households earning under 60% of area median income.

Habitat for Humanity Virginia asked the House and Senate appropriations committees to restore two pilot projects from the biennium budget that the governor’s amendment proposed to remove: a $5 million loan fund to help nonprofits or residents purchase mobile home parks and a $5 million down‑payment assistance pilot to help low‑income Virginians buy homes.

The Nut Graf: Overton McGee of Habitat for Humanity Virginia said the mobile home park loan fund (budget item 102m) and the down‑payment assistance pilot (102n) are critical to preserving affordable housing and expanding homeownership for households below 60% of area median income, particularly in rural areas and communities transitioning from public housing.

Habitat representatives noted nonprofits have previously purchased five mobile home parks in recent years to prevent displacement — examples in Albemarle, Charlottesville, Manassas and Chesterfield. McGee pointed to East Southwood Mobile Home Park in Albemarle, which was rezoned for a mixed‑income project that preserved 351 low‑income families. Habitat warned that many parks are being sold to investment groups and that nonprofit attempts to acquire parks in other regions have failed without the loan fund.

On down payment assistance, witnesses said a $5 million pilot would enable more rural families and households exiting public housing to become homeowners. Testimony noted that the budget language called for pilot guidelines to be created by Dec. 1, 2024 and that nonprofits expected to use funds in early 2025; cutting the funds after that date disrupted planned implementation.

What lawmakers heard: Habitat asked committees to restore both pilots in the budget and to allow nonprofits to access funds for timely preservation and homeownership efforts. No formal committee action was recorded at the hearing.

Ending: Habitat representatives said restoring the pilots would help preserve existing affordable stock and create pathways to homeownership in underserved and rural localities.