New program aims to boost rental housing quality in Socorro

In Socorro, and all across the state, a new initiative is bringing millions of dollars in forgivable loan funding to property owners willing to rehabilitate housing for low-income tenants.

The Rehab-2-Rental Program is designed to expand housing opportunities and improve the quality of rental units available to households using tenant-based housing vouchers. The goal: bring substandard housing up to code and increase stability for vulnerable tenants in a state facing a growing housing crisis.

“It’s a good program. I think we can get a lot more units out there, and we can house a lot more people,” said Mary Ann Chavez-Lopez, executive director for El Camino Real Housing Authority. “There’s a lot of units that are not up to par, and we’re thinking the landlords can take advantage of this, remodel their homes, and help a voucher holder at the same time.”

The grants will be issued on a first-come, first-served basis for qualifying landlords. Awardees may receive up to $25,000 per unit to repair and upgrade rental properties. For instance, a duplex could qualify for a $50,000 award, and a four-plex for up to $100,000. The funding is provided as a forgivable loan, meaning it does not need to be repaid so long as the unit is rented to a voucher holder for at least five years.

According to the Housing New Mexico website, a wide range of applicants are eligible to participate, including non-profit and for-profit organizations, housing authorities, Tribal governments, and other entities experienced in housing assistance or property rehab. Even applicants with limited experience may be approved for a single project at Housing New Mexico’s discretion.

Landlords who are approved to be a Rehab-2-Rental service provider will be responsible for entering a partnership agreement with Housing New Mexico. They will also be responsible for ensuring compliance with housing quality standards, hiring licensed and bonded contractors, and recording a Restrictive Covenant Agreement on the property to secure the funds. This agreement will be released once the five-year compliance period is fulfilled.

“We’ve spoken with several landlords who are definitely interested,” said Chavez-Lopez. “We’re optimistic that this will result in more housing options across the county.”

Landlords can apply and get more information from El Camino Real Housing Authority in Socorro.