Minnesota Housing Awards $37 Million to Projects that Encourage Affordable Homeownership

ST. PAUL, MN – The Minnesota Housing board of directors recently approved seven grants totaling $37 million for projects that encourage affordable homeownership across Minnesota. Grants were awarded through the Homeownership Investment Grants Program.  

The Homeownership Investment Grants Program was designed to increase the supply of affordable, owner-occupied homes through financing and development of new homes, rehabilitation of existing homes and establishing revolving loan accounts at eligible institutions. The program will help address the state’s homeownership gap by reaching historically excluded communities, rural and Tribal communities and communities of color. 

The selected projects will support revolving loan funds and financing at organizations designated as Community Development Financial Institutions by the U.S. Treasury Department. These specialized financial institutions serve communities with low incomes. Loans will include downpayment assistance, home improvement loans and construction or redevelopment loans that increase the supply of affordable, owner-occupied homes. 

“These grants will help more Minnesotans be able to afford to buy a home in the community of their choice,” said Jennifer Ho, commissioner of Minnesota Housing. “By contributing to revolving loan funds, these dollars will continue to support wealth building and homeownership for years to come.”

The Homeownership Investment Grants Program was funded through a one-time legislative appropriation. Grantees applied via a competitive request for proposals process. The board of directors approved the grants during a June 26, 2025, meeting.