(The Center Square) – The state of Ohio wants local governments to buy, rehabilitate, or build residential properties to improve affordable access.
The state will give local landbanks $100 million over the next 16 months to create housing for income-eligible Ohioans. It is also establishing another $50 million in nonrefundable tax credits to landbanks and developers for rehabs and new construction when the property is sold.
“Housing needs are present all across Ohio,” said Gov. Mike DeWine. “Through this program, we have the opportunity to support new investments in housing construction that will help cultivate vibrant neighborhoods and stimulate economic vitality.”
The Welcome Home Ohio program is part of the state budget passed in June and is run through the Ohio Department of Development. Landbanks or land reutilization corporations can apply for $25 million each fiscal year and the money can be rolled forward.
The state predicts at least 1,600 homes could be built or rehabbed over the two years of the program.
“Ensuring Ohioans have a home they can afford brings our families stability and allows them to have a place where they can stay healthy, raise their children, continue working, and live their best lives,” said Ohio Department of Development Lydia Director Mihalik. “Our ultimate goal is to increase the affordable housing stock across Ohio so that more residents can realize the dream of homeownership.”
The tax credit will be assessed on a maximum of $90,000 or a third of the cost of rehab or construction, whichever is less. The state believes the credits could lead to at least 550 homes over the two years.
“By ensuring all current and future Ohioans have access to affordable housing, we are not only meeting the basic needs of our residents but also laying the foundation for sustainable economic development,” Lt. Gov. Jon Husted said. “As companies continue to invest in Ohio, we will need the housing stock to support that growth and prepare our communities for the opportunities those businesses bring.”
