Utah receives $1.4 billion in affordable housing funding in FY 2022

A new report found that nearly 30 Utah programs provided close to $1.7 billion in funds for housing assistance to Utah homeowners and renters in fiscal year 2022, the latest year for which full data is available.

The study, “A Profile of Affordable Housing Programs and Funding in Utah, FY 2022” from the Kem C. Gardner Policy Institute at the University of Utah, said the funding came from federal, state and nonprofit sector sources.

“This analysis provides a vital snapshot of the affordable housing ecosystem in Utah, and underscores the diverse efforts across federal, state and nonprofit sectors to address the state’s housing needs,” said Jim Wood, Ivory-Boyer senior fellow at the Gardner Institute and lead author of the report. “Understanding the landscape of these programs and their impact is essential for policymakers, while also helping individuals and families secure stable housing.”

In addition to $1.4 billion in affordable housing funding from federal and state programs, $245.2 million came from a group of nonprofit organizations, the report said. Federal programs contributed $482.6 million, including $286.7 million via Low-Income Housing Tax Credits for 1,977 units and $160.5 million from HUD and USDA for rental assistance to 22,766 renter households. An additional $35.4 million supported various other programs, benefiting 609 rehabilitated units and 351 emergency grant recipients.

State programs, primarily through the Utah Housing Corp., facilitated $785.1 million in mortgage financing for 2,124 Utah homeowners and $43.4 million in downpayment assistance for 2,090 homebuyers. Other state initiatives added $102.9 million, contributing to gap financing and the preservation of 2,515 affordable units.

Twenty-one major housing-related nonprofit organizations generated $245.2 million in revenue, engaging in diverse activities from housing development and shelters to behavioral management and substance use disorder services for vulnerable populations. The study also found that Utah municipalities directly funded less than $20 million in housing assistance, primarily by passing through federal dollars to finance programs.

Study authors said higher rental rates significantly impacted the availability of affordable units for voucher holders during FY 2022. Housing Connect, the state’s largest public housing authority, estimated a reduction of 298 renter households served in FY 2022 due to rising rents. Additionally, some public housing authorities reported that over half of approved voucher holders could not find an affordable unit within the 120-day time frame that vouchers were valid.

The full report can be accessed through the Gardner Institute website at gardner. utah.edu.