Housing Finance Program
Housing, Homelessness and Community Development Division
The King County Housing Finance Program (HFP) administers funds for the development and preservation of affordable housing throughout King County.
Partnerships are encouraged among local governments, public housing authorities, nonprofit housing developers, for-profit developers, and service providers in order to produce the greatest number of units for the most reasonable public investment, and to provide appropriate supportive services to residents with special needs.
Learn About Our Programs
Interim Loan Program
Provides low-cost financing for the acquisition of property that will be developed to provide low income housing, prioritizing projects proposing the development of permanent affordable housing with at least 25 percent of the units for homeless households. Additionally, units must be affordable to households at or below 50 percent of area median income, with homeless units to be at or less than 30 percent of area median income.
Credit Enhancement Program
An initiative to assist in the development of affordable housing. On select projects that meet King County priorities, King County will provide a credit enhancement which reduces the financing costs for housing developments. In exchange for project savings, the developer agrees to set aside affordable units within the project.
Learn About Our Priorities
Priorities for eligible housing project activities are established in the King County Consortium Consolidated Housing and Community Development Plan 2015-2019. In general, funding is available for the following housing project types and development activities:
Eligible affordable housing projects must be located in King County. Different funding sources might have specific geographic requirements. For federal and RAHP sources, please review the requirements on the King County Consortium web page.
Projects supported by HFP funds must provide housing that is affordable to income-eligible households. Generally, rental housing projects must be affordable to households at or below 50 percent of median income. Home ownership projects must be affordable to households at or below 80 percent of median income.
2018 Funding priorities
King County continues to prioritize funds for capital projects that expand the continuum of homeless housing. Homeless housing projects should reflect a Housing First system orientation with a focus on moving homeless people into housing as quickly as possible. Homeless housing projects will be required to use the Coordinated Entry for All (CEA) system, which includes reduced barriers to entry for tenants. Fund sources that King County historically prioritizes for projects that serve homeless and/or extremely low-income households are the 2331 Document Recording Fee, RAHP, and HOME funds.
In 2018, King County will also prioritize funding for permanent housing projects that serve individuals or households with a member being discharged directly from in-patient medical or behavioral health systems. The projects funded under this “system-connected” housing priority is intended to prevent people from being discharged into homelessness after stays in medical or behavioral health institutions, and sponsors must agree to enter into a Memorandum of Understanding with a King County-approved referring facility before the execution of the King County housing capital contract.
For projects intending to serve people connected to the behavioral health system, the discharging facilities acceptable to King County include institutional/hospital care systems and 24/7 Residential Treatment facilities. King County intends to use VSHSL and MIDD funds for this system-connected priority.
Transit Oriented Development
Capital projects that expand access to affordable housing within a half- mile of a high capacity transit (defined as any Light Rail, RapidRide, Bus Rapid Transit (BRT), Sounder or Sound Transit Express bus station, or a key transfer point for varying transportation nodes) for low- and moderate-income households earning between 30% and 80% of the Area Median Income will be prioritized by the County. Continuing the County's practice began in 2017, HFP will work with funded projects to identify 10% of the units within each TOD project as having a preference for tenant referrals from King County or a King County-approved agency in order to expand affordable housing opportunities in the County.
See the TOD Bond Allocation Plan for specific investment strategies.
The Housing Finance Program (HFP) program works with other divisions in King County's Department of Community and Human Services and other partners to coordinate planning activities and funding for affordable housing that meets the needs of special populations. Partners include the King County Behavioral Health and Recovery Division, the King County Developmental Disabilities Division, the King County Veteran's Program and King County Regional Homelessness Authority. These partners work with HFP to provide guidance and priorities for developing housing for the special populations that they serve. At various points in time, money may be dedicated to housing for specific special needs populations and administered by HFP.