Which program grants money to nonprofit organizations to assist low income families who are willing to contribute sweat equity toward the construction or renovation of a home?

• A. HOME Investment Partnerships Program
• B. National Housing Trust Fund
• C. Section 8 Housing Voucher Program
• D. Self-Help Homeownership Opportunity Program SHOP

Answer: (D)

This question is about which housing program uses a sweat-equity approach to help low-income families own homes and provides grants to nonprofits to make that possible. The Self-Help Homeownership Opportunity Program is specifically designed for this model: it grants funds to nonprofit organizations to organize and support self-help projects where families contribute labor toward building or renovating their homes, lowering costs and enabling ownership.

The other programs have different focuses. The HOME Investment Partnerships Program provides formula grants to states and localities to fund affordable housing development and rehabilitation, not specifically sweat equity by the buyers. The National Housing Trust Fund targets expanding affordable rental housing, not owner-occupied homeownership through sweat equity. The Section 8 Housing Voucher Program offers subsidies for renting privately owned housing, rather than assisting with construction or renovation of homes for ownership.