The Missing Middle-Income Homeownership Development Program provides financial incentives and resources to support the construction or rehabilitation of modest homes for purchase by Vermont households earning up to 120% of the Area Median Income (AMI). The program includes two components:
- Construction Guarantee that provides construction loan guarantees for up to 15% of the development costs for program eligible homes; and
- Development Subsidy that provides up to 35% of development costs for program eligible homes.
The program was created by the Vermont Legislature and Governor Phil Scott in 2022, and is funded through the American Rescue Plan Act (ARPA).
To date, the Missing Middle-Income Development Program has held two rounds of applications for funding:
- Round 1: In March 2023, the VHFA Board of Commissioners awarded $14.2 million to 12 homeownership projects, which will create 92 homes across eight counties. The projects funded consist of various types of homes, including townhomes, condominiums, single-family, and modular. Learn more about projects awarded in Round 1.
- Round 2: As part of the Budget Adjustment Act in 2023, the program received an additional $9 million in funding. In September 2023, the VHFA Board of Commissioners awarded this funding to 12 homeownership projects, which will create 180 homes across eight counties (some of these homes also received partial funding during the first round of Missing Middle awards). Learn more about projects awarded in Round 2.
For additional information about the Missing Middle-Income Development Program, please see:
- Program Guidelines
- Application Materials:
- Compliance Documents:
- Recorded webinar: May 25 Missing Middle-Income presentation
- Press releases:
- September 26, 2023: VHFA announces innovative funding and state tax credit awards for 254 homes
- May 17, 2023: Missing Middle-Income Development Program Reopens
- March 15, 2023: Innovative state program funds new homes for middle- and lower-income Vermont buyers
- December 13, 2022: New program launches to increase homeownership opportunities for Vermonters
- June 13, 2022: Public feedback sought for Missing Middle Homeownership Program
Please contact staff at [email protected] with questions.