The FY26 Pathways to Removing Obstacles to Housing (PRO Housing) competition, administered by the U.S. Department of Housing and Urban Development (HUD), provides funding to communities that have taken steps to remove regulatory barriers to building and preserving homes. The program supports efforts to expand affordable housing, with an emphasis on homeownership opportunities and housing located in Opportunity Zones and rural communities.

Overview

HUD issued this Fiscal Year 2026 PRO Housing Notice of Funding Opportunity (NOFO) under the authority of the Consolidated Appropriations Act, 2026. The program operates within the Community Development Block Grant (CDBG) framework, and all CDBG assistance prioritizes serving low- and moderate-income people and households. The funding opportunity number is CPD-2600-DC-0098.

The program has four core goals:

• Decrease the cost and increase the supply of affordable housing, especially in Opportunity Zones and rural communities.
• Remove barriers to affordable housing, leading to the construction or rehabilitation of more units, reduced production time, and the availability of land for affordable housing.
• Reward jurisdictions that have enacted laws and regulations that will lead to more affordable housing production and preservation.
• Increase opportunities for affordable homeownership by reducing administrative and structural barriers.

Funding and Benefits

• Total Program Funding: $50,000,000
• Expected Number of Awards: 10
• Award Minimum: $5,000,000
• Award Maximum: $10,000,000
• Funding Instrument Type: Grant
• Cost Sharing or Matching Requirement: No
• Opportunity Category: Discretionary

Eligibility

Eligible applicants include:

• State governments
• County governments
• City or township governments
• Metropolitan Planning Organizations (MPOs)
• Multijurisdictional Entities

Prospective eligible applicants with overlapping geographies (e.g., a county government and a city government located within that county) are encouraged to partner on a single application rather than submitting two competing applications. Individuals, foreign entities, and sole proprietorship organizations are not eligible to compete for or receive awards under this announcement.

Selection Criteria

HUD will select applicants that demonstrate:

• Progress and a commitment to eliminating local barriers to facilitate the increase in affordable housing production and preservation, through enactment or implementation of less restrictive zoning, land use, or permitting laws and regulations.
• An acute need for housing affordable to households with incomes below 100 percent of the area median income.
• A commitment to create new homeownership units before the expiration of the funding performance period.

Deadline and Timeline

• Closing Date: August 3, 2026
• Posted Date: June 3, 2026
• Last Updated: June 3, 2026

Electronically submitted applications must be submitted no later than 11:59 p.m. ET on the listed application due date. Applications are to be submitted through Grants.gov.

Contact Information

Grantor: B. Cory Schwartz
Email: CDBG-PROHousing@hud.gov

Applicants are strongly encouraged to monitor HUD's PRO Housing website for information about general updates, Frequently Asked Questions, and PRO Housing webinars. The assistance listing number is 14.023 -- Community Development Block Grant- PRO Housing Competition.