Housing Opportunity Through Modernization Act: Implementation of Sections 102 and 104; Further Extension of Compliance Date

Key Points

• HUD moved the deadline for new income and asset calculation rules to January 1, 2027 for several housing and homelessness programs.
• This affects programs run by states, cities, and nonprofits, including help for affordable housing, homelessness services, and community development funding.
• HUD says the delay is needed because its computer systems and guidance are not ready yet, and local programs need time to update software and train staff.
• Local agencies can choose to start using some of the new “income safe harbor” options early, but they are not required to fully switch until 2027.
• Until the new deadline, programs can generally keep using the older income-rule approach, but they must still follow the latest federally required income exclusions when checking eligibility.