FY 2021 Self-Help Homeownership Opportunity Program (SHOP)

The Self-Help Homeownership Opportunity Program (SHOP) awards grant funds to eligible national and regional non-profit organizations and consortia to purchase home sites and develop or improve the infrastructure needed to set the stage for sweat equity and volunteer-based homeownership programs for low-income persons and families. Through this NOFO, HUD is making $10,000,000 of FY2021 SHOP grant funds available to national and regional non-profit organizations and consortia. SHOP units must be decent, safe, and sanitary non-luxury dwellings that comply with state and local codes, ordinances, and zoning requirements, and with all other SHOP requirements.

Only national and regional non-profit organizations and consortia with experience providing self-help homeownership housing programs are eligible to apply. Applicants must propose to use a significant amount of SHOP grant funds in at least two states. Individuals are not eligible applicants for SHOP grant funds. Applications received from individuals will not be reviewed by HUD.

Land acquisition, infrastructure improvements, and reasonable and necessary planning and administration costs (not to exceed 20 percent) are the only eligible uses for SHOP grant funds. The average SHOP expenditure for the combined cost of land acquisition and infrastructure improvements cannot exceed $15,000 per SHOP unit. Successful applicants must leverage other public and private funds to pay for the construction or rehabilitation costs of each SHOP unit and for any other program costs that are not assisted with SHOP grant funds.

The SHOP units must be sold to homebuyers at prices below the prevailing market price. Homebuyers must be low-income and must contribute a significant amount of sweat equity towards the development of the SHOP units.  Reasonable accommodations must be permitted for individuals with disabilities in order for such individuals to meet hourly sweat equity requirements. A homebuyer’s sweat equity contribution cannot be mortgaged or otherwise restricted upon future sale of the SHOP unit. Volunteer labor is also required.

SHOP Grantees may award SHOP grant funds to local non-profit affiliate organizations to carry out the Grantee’s SHOP program. These affiliate organizations must be located within the Grantee’s service area.

Funding of approximately $10,000,000 available through this NOFO.  HUD expects to make approximately 4 awards from the funds available under this NOFO. .Grants will be competitively awarded up to $1 million per project maximum to selected applicants.

Preference Points: This NOFO offers 2 points for either Promise Zone, Opportunity Zones or HBCU Preference Points.

Program Office: Office of Community Planning and Development  

Funding Opportunity Title: Self-Help Homeownership Opportunity Program (SHOP)

Assistance Listing  Number: 14.247

FAIN (FR) Number:  6500-N- 19

OMB Approval Numbers: 2506-0157

Estimated Opening Date: 6/23/21

Estimated Deadline Date:  8/23/2021

Agency Contact:  Questions regarding specific program requirements for this NOFO should be directed to Thann.Young@hud.gov. Persons with hearing or speech impairments may access this number via TTY by calling the toll-free Federal Relay Service at 800-877-8339. Please note that HUD staff cannot assist applicants in preparing their applications.

Program NOFO