August 17, 2026 | From City of New Orleans
New Orleans Housing Trust Fund Gets Its First Budget — $12.3M Split Between Homeownership and Rental Programs
City's newly funded Housing Trust Fund will back five programs in 2026, prioritizing projects that can bring units online quickly
New Orleans' Housing Trust Fund (HTF) Advisory Committee has submitted its first annual report and budget to City Council, kicking off the fund's inaugural year. The HTF receives its first allocation in January 2026, and the Committee voted 5–1 to approve the plan at its November 12, 2025 meeting.
The Numbers
The fund draws 2% of the city's General Fund revenue — an estimated $14.5 million for 2026. After setting aside a rainy-day reserve and administrative costs, $12.3 million in program funds remains, split evenly between homeownership and rental initiatives:
- Homeownership — $6.1M (50%)
- Rental Supply Expansion — $3.4M (27%)
- Rental Preservation — $2.9M (23%)
Where the Money Goes
Homeownership funds will support three efforts: construction subsidies for new affordable, for-sale homes (~$100K/unit, 21 homes); an owner-occupied roof rehab program (~$25K/unit, 122 roofs); and a flexible fortified-roof assistance program (~$25K/unit, 40 roofs).
Rental supply dollars go entirely to a construction subsidy for small multifamily (up to four-unit) buildings, which can be built by-right under recent zoning changes — an estimated 26 to 53 new units, depending on how many projects mix rental and for-sale units.
Rental preservation funds will subsidize small landlords making repairs in exchange for keeping units affordable, adding an estimated 57 to 191 preserved units. That effort will be boosted by a separate $5M program from the Office of Community Development.
All told, the plan is projected to fund 266 to 427 housing units in its first year.
Why the 50/50 Split
The Committee had originally floated a one-third/two-thirds homeownership-to-rental split favored by the enabling ordinance, but landed on an even split after City Council amendments — even though renters make up the larger share of severely cost-burdened households in the city. The Committee says it prioritized programs that can produce units fast, and notes that many "homeownership" dollars will actually flow through mixed-tenure buildings that also create rental units.
The plan also scales back the Committee's original ask for small multifamily construction funding (from $6.35M to $3.4M) after City Council raised concerns about permitting capacity — a cut that drew public pushback at the November meeting, with current members pledging to push for restored funding in future years.