Date Published: February 2013
NSP uses the HOME continued affordability regulations as a minimum baseline for affordability requirements. Under the HOME program standard, the affordability period is determined by the level of NSP investment in the unit of housing, whether rental or home ownership:
Under $15,000 = 5-year affordability period
$15,000-$40,000 = 10-year affordability period
Over $40,000 = 15-year affordability period
For new construction or acquisition of newly constructed housing, the minimum affordability period is 20 years.
Grantees can also set their own standard for the affordability period, as long as it meets the minimum HOME affordability requirements. The Unified NSP1 and NSP3 Notice issued October 19, 2010 states that, "HUD will consider any grantee adopting the HOME Program standards at 24 CFR Part 92.252(a), (c), (e), and (f), and 92.254 to be in minimal compliance with this standard and expects any other standards proposed and applied by a grantee to be enforceable and longer in duration."