US HB4023

HUD must establish a pilot program within 1 year to award capitalization grants to State and Indian tribe housing finance agencies that maintain revolving loan funds for down payment assistance

Down payment assistance loans range from 3% to 20% of home purchase price, with maximum amounts of $150,000 in high-cost areas, $100,000 in medium-cost areas, and $50,000 in low-cost areas

Eligible borrowers must be U.S. citizens or permanent residents, first-time or first-generation homebuyers, earn no more than 150% of area median income, and complete HUD-approved homebuyer education counseling

Upon home sale, borrowers repay the original loan amount plus a proportional share of any appreciation (if the home appreciated) or just the original amount (if it depreciated), with repayments recycled back into the State loan fund

Authorizes appropriations for fiscal years 2026 through 2030, with grant amounts distributed proportionally based on State or tribal population and up to 15% allowed for administrative costs