Rural Development Multi-Family Housing Rural Housing Voucher Program


The Rural Housing Voucher Demonstration program is designed to provide rental housing assistance vouchers to tenants in properties that pay off their Rural Development mortgage. The amount of this subsidy is the difference between the comparable market rent and the amount of rent being paid by the tenant when pay off occurs. Pay off properties may be located anywhere in the 50 states, Puerto Rico, the U.S. Virgin Islands and Guam.

General information about this opportunity
Last Known Status
Program Number
Federal Agency/Office
Rural Housing Service, Department of Agriculture
Type(s) of Assistance Offered
C - Direct Payments For Specified Use
Program Accomplishments
Not applicable.
Consolidated and Further Continuing Appropriations Act, 2012 (Public Law 112-55) for the Rural Development Voucher Program as authorized under Section 542 of the Housing Act of 1949, as amended, 42 U.S.C. 1471 et. seq. (without regard to Section 542(b)).
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
Applicants must (a) be residing in the Section 515 project on the date of the pay off of the Section 515 loan or upon foreclosure by Rural Development; (b) the date of the pay off or foreclosure must be after September 30, 2005; (c) as required by 42 U.S.C. 1436a the tenant must be a citizen, U.S. non-citizen national or qualified alien and will so provide proof of citizenship.
Beneficiary Eligibility
Applicants must be citizens, U.S. non-citizen nationals or qualified aliens and have an adjusted household income at or below 80 percent of area median income as determined annually by the U.S. Department of Housing and Urban Development (HUD) to be eligible for a rural housing voucher.
The applicant must furnish factual evidence that their adjusted household's income is at or below 80 percent of area median income as determined annually by HUD and furnish proof of citizenship to be eligible, or to continue to be eligible, for a rural housing voucher.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable.
Application Procedure
This program is excluded from coverage under 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.
Award Procedure
During the pay off or foreclosure process, Rural Development will evaluate every tenant family to determine if it is low-income. If Rural Development determines a family is low-income, after the foreclosure or prepayment, Rural Development will send the primary tenant a letter offering the family a voucher.
Not applicable.
Approval/Disapproval Decision Time
Not applicable.
Not applicable.
The voucher is renewable, annually, subject to the availability of appropriations to the USDA.
How are proposals selected?
Not applicable.
How may assistance be used?
The monthly housing assistance payment for the Rural Development Voucher Program is the difference between the comparable market rent for the family's former Section 515 unit and the tenant's rent contributon on the date of the pay off.
What are the requirements after being awarded this opportunity?
Not applicable.
Not applicable.
Not applicable.
Other Assistance Considerations
Formula and Matching Requirements
Statutory formula is not applicable to this assistance listing.

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
On an annual basis. Assistance is awarded/released on a monthly basis.
Who do I contact about this opportunity?
Regional or Local Office
None/Not specified.
Headquarters Office
Director, Multi-Family Asset Management Division, Rural Housing Service
USDA, Rural Development, 1400 Independence Avenue, S.W.
Washington, DC 20250 USA
Phone: 202-430-3114
Website Address
Financial Information
Account Identification
(Direct Payments for Specified Use) FY 22$35,780,670.00; FY 23 est $48,000,000.00; FY 24 est $48,000,000.00; FY 21$34,630,027.00; FY 20$32,000,000.00; FY 19$28,623,000.00; FY 17$22,000,000.00; FY 18 est $25,000,000.00; FY 16$17,530,138.00; -
Range and Average of Financial Assistance
Not applicable/available.
Regulations, Guidelines and Literature
Not applicable.
Examples of Funded Projects
Not applicable.


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