Loudoun County, VA Increases Funding for Affordable Housing Development and Preservation

By Billy Cerullo, NLIHC Housing Advocacy Organizer 

Advocates and organizers, led by New Virginia Majority in Loudoun County, VA are celebrating an expansion of the Loudoun County Housing Fund in the form of an increase to the Local Tax Fund (LTF) in the fiscal year (FY) 2026 budget from the value of half of a penny of the real property tax to the equivalent of one full penny, culminating in $17.3 million for affordable housing. The Housing Fund has been managed by the local Department of Housing and Community Development (DHCD) since its inception in 1997 and was created to promote and fund affordable housing in Loudoun County. The overarching Housing Fund comprises numerous programs and subcategories, including the County of Loudoun Housing Trust.  

Advocacy and organizing around a dedicated funding stream to produce new affordable housing units in Loudoun County began in earnest in 2021 with an initial win in 2022 when the county government allocated half of a penny from the tax on sales of market rate units toward affordable housing production. Organizing continued throughout 2024 to double the amount being set aside, although it was not included in the subsequent FY25 budget.  

The increase from half of a penny to one full penny in the FY26 budget was a direct result of the organizing and advocacy of a broad coalition of tenants, non-profit organizations, and faith-based institutions who worked closely with the Loudoun County Board of Supervisors. The coalition organized actions in front of the Board of Supervisors including a pivotal community meeting with Board Chair Phyllis Randall that brought over 100 tenants and community members together to share their experiences and frustrations with existing housing programs.  

"Loudoun County is one of the wealthiest counties in the nation and home to a large working-class community that works in essential industries like food service, construction, hospitality, professional cleaning, and childcare,” said New Virginia Majority organizer Sofia Saiyed. “These essential workers keep Loudoun's economy running. Thanks to the persistent tenant organizing and the support of county supervisors, Loudoun will now have the resources to create programs that can ensure that essential workers can continue to live in the community they serve." 

The increase to the LTF will support the construction and preservation of affordable housing units in Loudoun County. Although the funds will not necessarily target a specific AMI at this time, advocates and organizers will continue to push for funds to be used for the development and preservation of units for Extremely Low-Income (ELI) renters as defined by HUD.  

"In a county as wealthy as Loudoun, most affordable housing is out of reach for working class families,” continued Saiyed. “Now that Loudoun County has established infrastructure to support affordable housing, we continue to work in partnership with County Supervisors and the Department of Housing and Community Development to ensure that the funds are dispersed equitably and targeted to support households earning less than 40% of the Area Median Income." 

New Virginia Majority plans to continue to advocate for the funds to support solutions targeting households making less than 40% of the Area Median Income (AMI).  

Learn more about the Loudoun County Housing Fund here.