Pennsylvania is making more than $95 million in new funding available for housing initiatives across the Commonwealth, giving local communities another significant source of support as housing affordability remains a major concern for homeowners, renters and developers.
The Pennsylvania Housing Finance Agency (PHFA) announced the new funding opportunity on September 14, opening a Request for Proposals through the Pennsylvania Housing Affordability and Rehabilitation Enhancement, or PHARE, Fund. Applications are due by 2 p.m. on November 19, 2026.
Funding Targets Local Housing Needs
The PHARE program is designed to help communities address housing needs based on local conditions. Funding can support efforts involving affordable housing, housing rehabilitation, homeownership assistance, homelessness prevention and other housing-related initiatives.
Unlike a single statewide construction program, PHARE allows communities and organizations across all 67 Pennsylvania counties to pursue funding for projects that respond to their own housing challenges.
That flexibility makes the latest funding round significant for Pennsylvania's housing market. Communities facing aging housing stock may use resources to preserve existing homes, while others can pursue programs designed to expand access to affordable housing or help residents remain in their homes.
A Growing State Investment in Housing
The latest funding builds on a broader increase in Pennsylvania's investment in affordable housing.
In June, PHFA announced $93.4 million in PHARE awards supporting 432 housing and community development initiatives throughout the state. Those awards were expected to help preserve 1,662 affordable rental units, create 49 new single-family homes, assist prospective homebuyers and provide housing counseling and financial education.
The state has also increased the amount available through PHARE in recent years. Governor Josh Shapiro secured annual increases that are expected to raise the program's funding cap to $100 million by 2027.
Since PHARE was established in 2012, more than $450 million has been distributed to nearly 2,300 housing initiatives, while the program's total awards have helped leverage more than $3.5 billion from other funding sources.
What It Could Mean for Pennsylvania Communities
For local governments, nonprofit organizations and housing groups, the new funding represents an opportunity to move projects forward that might otherwise struggle to secure financing.
The need remains particularly important as housing costs continue to pressure households across Pennsylvania. Increasing the supply of affordable homes is only one part of the challenge; preserving existing affordable housing and helping residents avoid displacement can also have a major effect on local housing stability.
For developers and community organizations, programs such as PHARE can also help bridge financing gaps for projects that serve lower-income households or address housing conditions that would not be financially feasible through conventional investment alone.
Applications for the latest PHARE funding round are now open, with the November 19 deadline giving communities several weeks to prepare proposals.
With more than $95 million on the table, the latest PHARE round could become an important source of housing investment across Pennsylvania as communities head into 2027 planning.
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