A housing program in Washington State that was supposed to help low-income tenants buy their rented homes has been called out for failing to deliver.
A new audit shows that, even though 135 homes were eligible for purchase in 2023, not a single family got the chance to buy their home.
The program, called Eventual Tenant Ownership, uses federal Low-Income Housing Tax Credits to build homes and promises tenants the chance to buy them after 15 years.
But according to state auditors, the program isn’t working as it should.
They said it’s not well-managed, and many tenants don’t even know about their homeownership options.
“This is a serious problem,” said Rep. Gerry Pollet from Seattle.
“Hundreds of Native American families and others were promised they could own their homes, but it’s not happening.”
Why Isn’t the Program Working?
State auditors found several issues, including:
- The program doesn’t do enough to make sure tenants know they can buy their homes.
- Developers and property owners aren’t being held accountable for offering homes for sale.
- Steps to prepare tenants for homeownership, like resolving legal issues and financial readiness, aren’t being completed.
Only 18 of the nearly 1,300 projects in Washington that received tax credits offer tenant purchase options, and most of these are managed by tribal governments.
Even in those cases, the process is taking far longer than expected.
What’s Being Done?
Lawmakers are now pushing for changes. Pollet and Rep. Chris Stearns are planning new rules to make sure developers follow through on their promises.
If they don’t, they could lose future tax credits.
The Housing Finance Commission, which runs the program, admits it could do better.
Executive Director Steve Walker said, “We didn’t take the right steps to make home purchase opportunities happen.
But we’ve spent the last two years improving the program, and we hope to see progress soon.”
What About the Families?
Some families, like members of the Nooksack Tribe, are facing even more challenges.
Recently, three Nooksack households were evicted from low-income housing, even though those homes could have qualified for ownership.
Lawmakers and attorneys are calling for stricter enforcement of the program to prevent abuses.
“We need to protect these families and hold property owners accountable,” said Gabe Galanda, a lawyer for the Nooksack families.
What’s Next?
The state audit suggests making big changes to the program, like requiring more frequent updates from property owners and creating clear steps to prepare renters for homeownership.
Everyone involved is hoping these fixes will finally help families achieve their dreams of owning a home.