EL PASO, Texas (KFOX14\/CBS4) \u2014 Unused money from a federal first-time homebuyer program will be redirected to help build more affordable multifamily housing in El Paso.<\/p>\n
City officials voted Tuesday unanimously to approve reallocating unclaimed funds from the federal first-time homebuyers program toward the development of multifamily units for low-income families. <\/p>\n
RECOMMENDED: El Paso weighs shifting $2.5M from first-time buyer aid to affordable housing<\/a><\/p>\n The city\u2019s director of Community and Human Development, Nickole Rodriguez, explains how the money will be used. <\/p>\n “We\u2019re looking for non-profits, non-profit development teams to develop affordable units here in El Paso. This money only goes to pay for units designated specifically for low- to moderate-low income families,” says Rodriguez.<\/p>\n Rodriguez said federal regulatory restrictions made it impossible for first-time homebuyers to qualify for assistance under the program. The city stopped advertising applications in 2025, and the last person received federal assistance in 2021. Instead, the city directed residents to local homebuyer assistance programs.<\/p>\n Rodriguez said the income requirements tied to the funding also limited who could qualify. <\/p>\n “In order to qualify for units that are under this funding source, they need to be at least 80% of the area median income; what we typically look for is at 60%,” Rodriguez said.<\/p>\n Paulina Carr reports the city’s decision to reallocate unused federal first-time buyer funds.<\/p>\n<\/p>\n After the pandemic, Rodriguez explained, the housing market shifted as home prices increased while the federal income cap did not change to match current conditions. That left homes in the area ineligible under the program and prevented the funds from being distributed.<\/p>\n