For small-town contractors who do rehab and replacement homes, one of the state's steadiest sources of work has a deadline coming up fast.
Mississippi Home Corporation (MHC) has $6.6 million available through its Homeowner Rehabilitation program, according to a notice of funding availability dated July 8, 2026. The money comes from the U.S. Department of Housing and Urban Development's HOME Investment Partnerships Program.
The goal, according to the notice, is "to preserve and improve the supply of safe, decent, sanitary, and affordable owner-occupied housing for low-income households while strengthening communities and neighborhoods."
Phase I applications are due by 4 p.m. CDT on Friday, Oct. 23, 2026. Late applications won't be accepted.
Who can apply and for what
Contractors can't apply directly. The NOFA says all local units of government, nonprofit organizations and planning and development districts are eligible, and they must show they have the administrative capacity to handle HOME-assisted work and all federal and state requirements.
The awards are grants, with a maximum of $600,000 per award. No match is required. The notice lists the program activity simply as "Construction," which tells you where most of the money ends up.
The money can be used to rehabilitate or reconstruct existing owner-occupied single-family homes, correcting health and safety problems and bringing them up to applicable property standards, according to the NOFA.
MHC's Homeowner Rehabilitation program page lays out the rules for which homes qualify:
- Household income must be at or below 80% of the area median income.
- The owner must have lived in the home for at least 15 years, with proof of ownership and occupancy.
- A home must be replaced if three or more of these systems fail to meet current building code: electrical, roofing, foundation, plumbing, and heating and cooling.
- Homes that meet code in at least three of those systems may be rehabilitated if the cost stays under the limits set for the application cycle.
Manufactured units may be used to replace manufactured housing, MHC says. When a home is too deteriorated to save, new units can be built for the owners.
That rule about failing systems is the key one for builders. It decides whether a job is a repair or a full replacement, and that changes everything from the scope of work to the crew it takes.
The timeline
According to the NOFA, the 2026 cycle runs like this:
- Phase I workshop: Held Aug. 19, 2026.
- Applications opened: Aug. 31, 2026.
- Phase I applications due: Oct. 23, 2026, by 4 p.m. CDT.
- Application review: Oct. 26 to Nov. 6, 2026.
- Funding announcement: Dec. 9, 2026.
- Phase II workshop: Jan. 12, 2027.
- Phase II applications due: March 31, 2027.
Applications can be submitted through MHC's online portal, by mail through the U.S. Postal Service or by hand delivery. The agency contact listed on the NOFA is Jackie Cobbins in MHC's Federal/State Grants Division.
Award recipients must follow MHC's HOME Homeowner Rehabilitation Application Guide, its Federal Program Compliance Manual and the federal HOME rules at 24 CFR Part 92.
MHC's program page highlights past projects, including homes in the Town of Centerville, the City of Brookhaven and the City of Morgan City. The page also posts the 2026 workshop presentation and a notice, numbered 26-001, on submitting local code enforcement approval for homeowner rehab projects, a reminder that local building officials are part of the process.
Why it matters for Contractors
This is federal money that turns into real jobs for local builders, usually small ones. Once awards are announced on Dec. 9, the towns, nonprofits and planning districts that win will be lining up contractors to repair roofs, rewire homes, replace HVAC systems and plumbing, fix foundations, or tear down worn-out houses and build new ones for longtime owners. Because applicants must already show their capacity to run the program, contractors who want in should talk with their town clerk, local planning and development district or housing nonprofit now, before the Oct. 23 deadline, about whether they're applying and how they'll pick builders. Expect HOME paperwork, inspections and federal requirements to come with the work. With a cap of $600,000 per award, contractors who know the program's rules and price carefully will be ready when local bids go out.