Program Description

The Section 202 Supportive Housing for the Elderly program helps expand the supply of affordable housing with supportive services for the elderly. The program provides funding, called a capital advance, to construct, acquire, or rehabilitate multifamily properties that serve very-low-income individuals 62 years of age or older. In addition to the capital advance, properties receive a renewable Project Rental Assistance Contract (PRAC) which covers reasonable and necessary operating expenses beyond the tenant’s portion of the rent. This usually includes a service coordinator who links residents at Section 202 properties to supportive services in the community to allow them to live independently in an environment that provides supports such as cleaning, cooking and transportation. Additionally, owners can utilize up to $15 per unit per month for providing supportive services.

For information about existing 202 projects, contact your local HUD Multifamily Office (click on the state regional center that you are interested in contacting).

Information for 202 NOFO Applicants

The Section 202 program is open to nonprofit organizations with a 501(c)3 or a 501(c)4 designation or a nonprofit consumer cooperative. See the HUD Notice of Funding Opportunity (NOFO) page for the latest Section 202 NOFO with details on program requirements and how to apply.

NOFO Changes: In the Consolidated Appropriations Acts of 2021 and 2022, Congress appropriated funds to support the creation of intergenerational dwelling units for elderly caregivers raising children. Funding to build intergenerational units is available as part of the Section 202 NOFO.

To be notified of the release of the next Section 202 NOFO, make sure to be added to our mailing list. For more information on Section 202 funding availability, statutes and regulations, visit:

• HUD Funding Opportunities (scroll to the bottom to see current and prior year NOFOs)

• Section 202 statute in U.S. Code

• Section 202 Regulations

• Elderly Housing for Intergenerational Families

• RAD for existing Section 202 Project Rental Assistance Contracts

• Delegated Processing of Section 202 and Section 811 Programs

For Questions about the 202 NOFO, email 202CapitalAdvanceNOFO@hud.gov 

Information for Tenants

• To qualify to live in a Section 202 property, at least one adult member of the household applying must be at least 62 years old. 

• The household must make less than 50% of the Area Median Income (AMI) of the location of the property. You can find what 50% AMI is in your area here. 

• Residents at Section 202 properties are typically charged 30% of their adjusted income for rent, with the remaining costs covered by the federal government.

• If you are interested in applying to live at a 202 property, you should contact the property owner or manager directly. HUD does not manage the leasing of 202 properties. You can find 202 properties in your area by visiting the HUD Resource Locator and selecting the “Find Affordable Elderly and Special Needs Housing” option.

Resources

• Section 202 Trainings on HUD Exchange

• Preservation Options for Pre-1974 Section 202 Properties

• LeadingAge Center for Housing Plus Services’ Housing and Health Partnerships Toolkit

Related Programs

• Section 811 Supportive Housing for Persons with Disabilities.

• Service Coordinator Program

What’s New

• In FY2022 HUD announced $160 million in Section 202 awards. The list of the awardees for FY2022 is now available.

If you have questions regarding local projects/ properties proposals, financing or housing assistance, please click this link to find your closest local HUD Office and their Multifamily Production contacts.

If you have questions about HUD programs, policies and guidance in the MAP Guide, please click this link to use the HUD Exchange, "Ask A Question" form.

Last Updated: 10/11/2023