VHIP Application

Applications for the Vermont Housing Improvement Program are now being accepted. To apply, please click the button below.


As an addendum to VHIP project funding, the Healthy Homes Initiative (HHI) provides additional grant funding that offers property owners supplemental grants ranging from $500 to $30,000. These grants can be used to update leaking service lines, old plumbing, replace outdated fixtures (sinks, toilets, dishwashers, laundry) with high-efficiency devices, and install new water systems (wells and septic systems) and water efficiency improvements as part of VHIP housing rehabilitation projects.

  • VHIP-HHI supplemental grants are available to property owners who have received approval for their VHIP project(s).
  • VHIP-HHI supplemental grants do not impact the total per unit funding caps received for VHIP projects.
  • There are no match requirements to receive VHIP-HHI supplemental grant funding.
  • Property owners are subject to and must comply with all guidelines and parameters of the Vermont Housing Improvement Program as contained in VHIP Eligibility Application and the VHIP-HHI Supplemental Eligibility Application.

If you have questions about the Health Homes Initiative, please contact Cheryl at (802) 477-1331.

VHIP Program Details:

  • VHIP offers grants up to $50,000.00 per unit for repairs needed to bring vacant rental units up to Vermont Rental Housing Health Code guidelines, or to add new or accessory dwelling units.

  • VHIP Round 2 Per Unit Funding Caps
    • Up to $30,000 per unit for 0-1-2 Bedroom Units.
    • Up to $50,000 per unit for 3+ Bedroom Units and the creation of New or Accessory Dwelling Units (ADU).
  • Existing units must be vacant for a minimum of 90 days before the Property Owner can apply to VHIP.
  • To be eligible for the program, the Property Owner must be current on their property taxes and mortgage payments.
  • Property Owner is required to contribute at least a 20% match of the grant funds prior to first grant disbursement. An “in-kind” match or defer match timeline may be approved at the discretion of the Homeownership Center overseeing project management.
  • VHIP requires Property Owners to commit to providing housing to households exiting homelessness; households that are working with an immigrant or refugee resettlement program; or low income tenants.
  • Property Owners are required to work with a Coordinated Entry Lead Organization or an Immigrant or Refugee Resettlement Program to find suitable renters who have experienced homelessness or displacement. This engagement shall continue at unit turnover for a minimum of 5 years.
  • If households meeting these criteria are not available to lease the unit to, the Property Owner may petition the Department of Housing and Community Development (DHCD) to lease the unit to a household with an income equal to or less than 80 percent of the Area Median Income (AMI) for a minimum of 5 years.
  • For newly created Accessory Dwelling Units as defined in 24 V.S.A. § 4412(E), Property Owners are exempt from seeking homeless tenants through a Coordinated Entry Lead Organization or an Immigrant or Refugee Resettlement Program.
  • All units assisted must be rented at or below HUD Fair Market Rents (FMR) for the appropriate County (published annually) or at a rate allowed by a recognized housing assistance voucher for at least five years and Landlord must sign a Housing Affordability Covenant outlining this.
  • Alternative tenant selection processes may be considered for approval by the Department of Housing and Community Development during the 5-year program covenant timeframe.
  • Grant funds are considered taxable income.
  • Project scope may be reviewed and altered if the property is on or eligible for the State or National Historic Register.
  • Completed units must comply with the Vermont Rental Housing Health Code and local ordinances.
  • Eligible applicants MUST have the ability to meet the deadline for completion, see below*

Current HUD Fair Market Rents for Washington/Lamoille/ Orange Counties:

Fair Market Rents 2022
Washington County
Lamoille County
Orange County

How will grant applications be evaluated?

  • Shovel Ready status- is it feasible to complete the full scope of the rehab and unit leased up by the deadline? (18 months)
  • Past Experience and readiness to work with the Continuum of Care and Coordinated Entry Rental application process
  • Is the project brining long-term vacant units back on line including imporement of blighted buildings and apartments with substantial code-violations
  • Willing to rent at the HUD Fair Market Rent for five years including having a Housing Subdidy Covenant on the building and providing the LC-142 form to the Agency of Commerce and Community Development annually
  • Property Taxes and Seer/Water bills are current. No Federal or State Tax liens and property not in foreclosure.