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HUDBudget PDF pp. 35–38

Department of Housing and Urban Development

FY2026 enacted
$84.2B
FY2027 proposed
$73.5B
Change
$-10.7B
-13.0%
Budget reduction severity13.0% cut

Overview

The FY2027 budget proposes cutting HUD's funding by about 13%, dropping it from $84.2 billion to $73.5 billion. The plan would completely eliminate several major programs, including Community Development Block Grants, the HOME investment partnership program, housing aid for people with HIV/AIDS, and housing counseling services, while also cutting funding for homeless assistance, tribal housing, and fair housing enforcement. These cuts would broadly affect low-income families, people experiencing or at risk of homelessness, Native American communities facing housing shortages, and local governments that rely on federal grants to build and maintain affordable housing.

8 programs affected · $6.2B total proposed reduction

Program-level cuts

eliminationBudget PDF p. 36

CDBG

Community Development Block Grant

$3.3B
100.0% cut

1,250+ cities/counties; since 2005: 563,236 jobs created; 7.5 million people served in FY2023 alone

eliminationBudget PDF p. 36

HOME

HOME Investment Partnerships Program

$1.3B
100.0% cut

1.39 million homes financed since 1992; 404,000 families receiving rental assistance; leverages $4.52 per federal dollar

elimination Alabama impactBudget PDF p. 37

HOPWA

Housing Opportunities for Persons with AIDS

$529M
100.0% cut

People living with HIV/AIDS at risk of homelessness; ~70% of PLWHA face housing instability

reductionBudget PDF p. 37

Native American Programs

Native American and Native Hawaiian Housing Programs

$489M
50.0% cut

Tribal nations with 68,000-unit housing shortage; 40% substandard housing rate on reservations

reductionBudget PDF p. 36

Homeless Assistance

Continuum of Care Program

$393M
9.0% cut

~650,000 shelter beds/housing units; homeless individuals and families

reductionBudget PDF p. 38

Fair Housing

Fair Housing Initiatives Program (FHIP)

$60M
60.0% cut

Fair housing enforcement organizations; discrimination complainants

eliminationBudget PDF p. 38

Housing Counseling

HUD Housing Counseling Grants

$58M
100.0% cut

Homebuyers and homeowners receiving counseling; 150+ Women's Business Centers

elimination Alabama impactBudget PDF p. 37

PRO Housing

Pathways to Removing Obstacles to Housing

$50M
100.0% cut

States/localities pursuing zoning reform and housing production