By Matthew Power
Citing a lack of affordable housing, the U.S. House of Representatives in April approved a bill (H.R. 1776) that allows cities to use federal grants to help city employees–firefighters, teachers, etc., purchase homes near where they work. The bill allows local municipalities to tap into Community Development Block Grants and other funding. The program offers a 1 percent down payment option to teachers and city workers on FHA-insured homes. Those eligible can earn up to 115 percent of the area’s median income. Police willing to move into high-crime areas pay no down payment at all.
