Adapt Subsidize Application

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40B Affordable Housing for Homebuyers. Chapter 40B Housing is a program created by the State of Massachusetts which allows developers to override local zoning bylaws in order to increase the number of affordable homes in municipalities where less than 10% of the housing is defined as affordable.
Grantees may provide an interest rate subsidy to make the payments more affordable. For example, a bank may provide a couple with a home loan with a five percent interest rate. The grantee may subsidize it so that the interest rate changes from five percent to three percent, thereby lowering the mortgage payment.
Chapter 40B is a state statute, which enables local Zoning Boards of Appeals to approve affordable housing developments under flexible rules if at least 20-25% of the units have long-term affordability restrictions.
For non-age-restricted units, you must be a first-time homebuyer. This means you have had no homeownership interest in a principal residence during the past 3 years OR you are a displaced homemaker or single parent who has only owned a home with a former spouse while married.
A subsidy is a direct or indirect payment to individuals or firms, usually in the form of a cash payment from the government or a targeted tax cut. In economic theory, subsidies can be used to offset market failures and externalities to achieve greater economic efficiency.
Payment assistance – also called “subsidy” – is offered to eligible homeowners with USDA Rural Development Single Family Housing Direct-financed mortgages. This assistance reduces eligible customers' required monthly payments based on their household income.
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