The Housing Assistance Council (HAC) published a research brief and an interactive map on maturing mortgages in the USDA’s Section 515 Rural Rental Housing loan program. Since 1963, Section 515 mortgages have financed nearly 28,000 properties consisting of more than 533,000 affordable rental homes, often occupied by very low income households. When Section 515 mortgages mature or in some cases are paid off, owners are under no obligation to maintain the properties as affordable housing.
As of March 2016, there were approximately 13,830 remaining properties in the Section 515 program, consisting of more than 416,000 affordable rental units. HAC estimates that an average of 1,788 affordable rental units per year will exit the Section 515 program from 2016 to 2027. From 2028 to 2032, the number of units exiting the program will increase to an average of 16,364 per year. From 2033 to 2040, the number will increase to an average of 22,600 per year.
HAC provides an interactive map of Section 515 properties by expected program exit date.
Maturing USDA Rural Rental Housing Loans: An Update is available at: http://bit.ly/2bRAQOS
The interactive map is available at: http://arcg.is/2bT0Goq