The Oakland City Council has authorized the application for a $5 million CalHome grant from the California Department of Housing and Community Development. If awarded, the funds will be allocated to support Accessory Dwelling Unit (ADU) construction assistance, mortgage assistance for first-time homebuyers, and owner-occupied rehabilitation assistance. The City’s Housing and Community Development Department (HCDD) aims to improve housing affordability and sustainability by providing financial assistance and technical support to low-income homeowners. The ADU Construction Program is expected to create 16 new units, offering homeowners financial stability and rental income opportunities. The funds will be structured as 0%-3% subordinate loans with deferred payments for 30 years, targeting applicants earning up to 80% of the Area Median Income (AMI). Oakland plans to prioritize Justice40-designated areas, focusing on communities most affected by economic and environmental disparities. The program aligns with the City’s housing policies to expand affordable homeownership and increase Oakland’s overall housing supply.
This initiative directly supports Oakland’s efforts to expand affordable housing options and prevent displacement of lower-income residents. By funding ADU construction, mortgage assistance, and rehabilitation support, the city aims to create new housing opportunities, promote generational wealth, and address long-term housing affordability.