Significant Federal Funding Boost for Affordable Homeownership in Western North Carolina
In a move set to bolster affordable housing availability, the North Carolina Department of Commerce’s Division of Community Revitalization has unveiled a Notice of Funding Opportunity (NOFO). This announcement, made today, allocates $53.38 million in federal funds to develop workforce housing units dedicated to homeownership in western North Carolina.
Governor Josh Stein highlighted the importance of this investment, stating, “This $53 million investment will expand access to affordable housing across western North Carolina as the region continues to recover from Hurricane Helene. It’s a critical step toward helping our neighbors rebuild in the places they call home.”
The Renew NC Workforce Housing for Ownership (WHFO) Program seeks to address pressing housing needs in counties identified by HUD as Most Impacted and Distressed (MID). The program is poised to fund projects in 17 counties, including Ashe, Avery, Buncombe, and others, to increase affordable homeownership opportunities.
To aid recovery from Hurricane Helene, the program targets workforce households earning up to 80% of the area median income. “Retaining a strong workforce depends on access to affordable housing,” said N.C. Commerce Secretary Lee Lilley. “Through the Workforce Housing for Ownership Program, we will help increase the supply of housing available to working families and foster more resilient local economies as communities recover from Helene.”
Eligible applicants for this funding include:
- For-profit housing developers
- Non-profit housing developers, such as CHDOs and CBDOs
- Community Land Trusts (CLTs)
- Public housing authorities and local government units
- Joint ventures among eligible entities with development capacity and financial oversight
- Other types approved by DCR, demonstrating capability to develop, own, or manage affordable housing under CDBG-DR and WHFO guidelines
Applications will undergo a competitive scoring process based on various criteria, including applicant capacity, development approach, and projected outcomes. Award amounts will range from $2 million to $5 million, contingent on project readiness and compliance.
Eligible properties must be designed for for-sale residential use, meet construction and environmental standards, qualify as real property under state law, and exclude manufactured homes in flood zones.
All projects must align with Hurricane Helene recovery efforts and adhere to federal HUD regulations. Deputy Secretary for Community Revitalization, Stephanie McGarrah, noted, “By supporting affordable homeownership for our workforce, we are ensuring that the people who serve our mountain towns every single day have safe, high-quality places to call home.”
The application process opens on August 25, 2026, and closes at 5:00 p.m. on December 13, 2026. Interested parties can access the full NOFO and application materials at commercerecovery.nc.gov. It’s recommended for potential applicants to complete an online prescreening to assess project readiness.
Renew NC is a key disaster recovery initiative, backed by a $1.4 billion Community Development Block Grant Disaster Recovery (CDBG-DR) from the U.S. Department of Housing and Urban Development (HUD), aiming to rebuild stronger and more resilient communities post-Hurricane Helene.
Additional Programs Under Renew NC
Renew NC is also accepting applications for its Community Infrastructure Program and the Multi-Family Construction and Repair (MCR) Program: Non-LIHTC. These initiatives provide grants for enhancing community hazard resilience and expanding affordable rental options in Hurricane Helene-affected areas.
Further details and applications are available at commercerecovery.nc.gov.
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