New Orleans Housing Investment Program (NOHIP)

The information below is intended as a summary only. Applicants should review the full Request for Applications (RFA), Program Policies and Procedures, and all published addenda for complete program requirements.

FAQ

  1. What is the New Orleans Housing Investment Program (NOHIP)?

The New Orleans Housing Investment Program (NOHIP) is a residential development initiative administered by the New Orleans Redevelopment Authority (NORA) and funded through the New Orleans Redevelopment Fund (NORU). The program provides financing to qualified developers to construct affordable, resilient, energy-efficient homes on NORA-owned properties for sale to income-qualified homebuyers in Orleans Parish.

  1. Who is eligible to apply, and can first-time developers apply?

Eligible applicants include individuals, for-profit entities, nonprofit organizations, partnerships, joint ventures, and development teams that can demonstrate the experience, qualifications, financial capacity, and organizational ability necessary to successfully complete residential development projects.

First-time developers may apply; however, applications are evaluated based on demonstrated experience, team qualifications, financial capacity, project strength, and readiness to proceed. Applicants without direct development experience are encouraged to assemble an experienced development team.

  1. What types of projects are eligible?

NOHIP supports the new construction of for-sale residential housing on properties made available through the solicitation. Projects must comply with all applicable program requirements, building standards, environmental regulations, and affordability requirements.

  1. 4. What properties are available?

The list of available properties is provided as an attachment to the Funding Opportunity within WebGrants. Applicants may request one or multiple properties through a single application.

  1. Can I use a property I already own or previously acquired from NORA?

No. NOHIP financing is only available for properties offered through the NOHIP solicitation and acquired through the program. Properties previously acquired through auction or other disposition methods are not eligible for NOHIP financing.

  1. How do I submit an application?

Applications must be submitted electronically through NORA's WebGrants portal. Paper applications, emailed applications, and incomplete submissions will not be accepted.

  1. What information must be submitted with the application?

Applicants will be required to provide information regarding organizational capacity, development experience, project design, development budget, financing strategy, development schedule, community impact, and other information identified in the Request for Applications (RFA). Supporting documentation must also be uploaded through WebGrants.

  1. How many properties may I request and how will they be awarded?

Applicants may request multiple properties; however, awards are based on application scores, demonstrated capacity, funding availability, and project feasibility. When multiple applicants request the same property, NORA may award the property to the highest-scoring proposal or take other actions consistent with program goals.

  1. Can applicants ask questions during the solicitation period?

Yes. Applicants may submit questions during the application period in accordance with the instructions provided in the RFA.

  1. Where will updates and addenda be posted?

All official updates, clarifications, and addenda will be posted through WebGrants and NORA's website. Applicants are responsible for monitoring these locations throughout the solicitation period.

  1. What financing is available through NOHIP?

NOHIP provides construction financing through NORU. Developers may receive up to $120,000 per property in financing. A minimum of $20,000 plus applicable interest must be repaid. Up to $100,000 may be forgiven through a combination of developer subsidy (up to $80,000) and homebuyer subsidy (up to $60,000), subject to program requirements and subsidy layering review.

  1. How is subsidy determined?

Final subsidy amounts are determined through a subsidy layering review and cost certification process. Subsidy amounts may be adjusted based on actual development costs, sales prices, and program requirements.

NORU financing may not exceed 75% of the certified Total Development Cost (TDC) for any project.

  1. What happens if the final sales price exceeds total development cost?

Any unused subsidy must be repaid to NORU. Final subsidy amounts are determined through cost certification and subsidy layering review.

  1. Can NORU increase the subsidy if costs rise or a property does not sell quickly?

No. NORU will not increase subsidy amounts beyond approved limits, regardless of changes in development costs, market conditions, or sales timelines.

  1. How are funds disbursed?

Funds are generally disbursed on a reimbursement basis following the submission and approval of eligible draw requests and supporting documentation. Processing times vary, but complete and accurate draw requests typically move through review more quickly.

  1. What documentation is required for draw requests?

Developers may be required to submit invoices, lien waivers, inspection approvals, draw request forms, proof of payment, contractor documentation, and other materials necessary to verify eligible expenses.

  1. What construction standards must NOHIP homes meet?

All homes must comply with applicable building codes, NORA Hazard Resilience Standards, ENERGY STAR certification requirements, FORTIFIED standards, and other program requirements consistent with the most current applicable version. Qualified professionals, including licensed contractors and certified raters, may be required to achieve compliance.

  1. Can construction begin immediately after award?

No. Environmental clearance and Notice to Proceed requirements must be satisfied before construction activities begin.

  1. Are there minimum square footage requirements?

No. However, proposed homes should reflect current market conditions, neighborhood context, affordability objectives, and sound residential design practices.

  1. Are duplexes or homes with rental units allowed?

No. NOHIP is intended for single-family homeownership development.

  1. Are Green Infrastructure features required?

Yes. Each project must incorporate a minimum of two Green Infrastructure features with a combined minimum stormwater storage capacity of 1,000 gallons. Examples may include rain gardens, rain barrels, bioswales, infiltration trenches, stormwater planter boxes, detention features, or permeable surfaces.

  1. What environmental requirements apply?

Projects must comply with all applicable environmental review requirements. Developers may not undertake choice-limiting activities, including construction or site work, until all environmental requirements have been satisfied and authorization has been provided.

  1. How long do developers have to complete construction?

Construction is generally expected to be completed within twelve (12) months of property acquisition unless otherwise approved by NORA and NORU.

  1. Can homes be pre-sold?

Yes. Developers may market homes and enter into purchase agreements prior to completion of construction, subject to program requirements and applicable approvals.

  1. What are the basic homebuyer eligibility requirements?

Homebuyers must meet program income requirements, complete HUD-approved homebuyer counseling, qualify for mortgage financing, and may not own more than a 50% interest in another residential property at the time of closing.

  1. What is the Good Neighbor preference?

For the first thirty (30) days of marketing, homes may only be placed under contract with eligible Good Neighbor households. A Good Neighbor household includes at least one member employed as a law enforcement officer, firefighter, emergency medical technician (EMT), or Pre-K through 12th grade teacher.

  1. How does the homebuyer assistance subsidy work?

Eligible homebuyers may receive financial assistance to help bridge the affordability gap between the home's sales price and what the household can reasonably afford. Homebuyer assistance is subject to underwriting, subsidy layering review, and program requirements.

  1. What reporting requirements apply after award?

Developers will be required to submit periodic reports, draw documentation, certifications, and other information necessary to monitor project progress and ensure compliance with program requirements.

  1. What Section 3 requirements apply?

Projects may be subject to Section 3 requirements under federal regulations. Developers must comply with all applicable Section 3 obligations, including reporting, workforce outreach, and documentation requirements as identified in the program materials and funding agreements.