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You sure can, but before you apply for the Section 8 Homeownership Program, here are some things you should consider.

When many people hear Section 8, they immediately think of rental assistance. And while a Section 8 Housing Choice Voucher can pay a portion of your rent, there’s another type of voucher that may be even better: A homeownership voucher.

Yes, you can get help from the Department of Housing and Urban Development (HUD) when buying a home. And yes, this makes owning a home more accessible for those who lack a high income or significant savings. Is a Section 8 homeownership voucher right for you, though? Let’s take a look at the pros and cons before you decide to take things further.

What Is the Section 8 Homeownership Program?

Officially called the Housing Choice Voucher Homeownership Program, this form of Section 8 assistance helps low-income families buy homes instead of renting them. The HUD has allowed people to use their Section 8 vouchers towards homeownership since 2000.

Why did the HUD have a change of heart in how it provides housing assistance? Because using a voucher to buy a home lets a family build equity in the property. And this allows those funds to be used for a better purpose instead of simply paying a landlord.

To secure a homeownership voucher, you will need to contact your local Public Housing Agency (PHA). They will determine if you meet income requirements and other factors to qualify.

If you do qualify, you can use your voucher to buy a home and make your mortgage more affordable.

The Pros of the Section 8 Homeownership Program

• You can often find a home in a safer neighborhood when purchasing versus renting.
• There is usually less discrimination involved when buying a home via Section 8 versus renting.
• To receive your voucher, you will need to complete an education program on personal finance, the costs of homeownership, etc. This can build a solid foundation for your financial future and make you a better homeowner.
• A housing partner will help you through the home buying process so you can avoid scams, get proper inspections, etc.
• You can use your home to build equity and enjoy a better standard of living over time.
• You can enjoy the pride that comes with becoming a homeowner.

The Cons of the Section 8 Homeownership Program

• Some lenders may not be willing to work with homeownership vouchers.
• A voucher could take many years to secure due to high demand and long waiting lists.
• A voucher usually will not last for the entire duration of a home loan. A 20-plus year mortgage’s voucher will end after 15 years, while a mortgage shorter than 20 years will lose voucher support after 10 years.
• You will need to secure additional funding or pay your mortgage out of pocket once voucher support ends.
• A voucher may not be enough to get you into a more expensive real estate market.