The COVID-19 pandemic brought widespread financial hardship to homeowners across the country. In response, the federal government launched the Homeowner Assistance Fund (HAF), a critical resource aimed at helping Americans avoid foreclosure, utility shutoffs, and other housing-related crises. For those living in homeowners associations (HOAs), the HAF may even help cover unpaid association dues in select states—including Virginia.
This article explains what the Homeowner Assistance Fund is, how it works, and how it applies to HOA communities in Washington DC, Virginia, and Maryland.
Established under the American Rescue Plan Act of 2021, the Homeowner Assistance Fund was designed to help homeowners affected by the pandemic catch up on housing-related expenses. The fund allocates nearly $10 billion to support mortgage payments, utility bills, insurance premiums, and—in some cases—HOA assessments.
Each state received a minimum of $50 million in funding, with additional distributions provided to tribal governments, U.S. territories, and the District of Columbia. To access these funds, each state was required to submit a plan to the U.S. Department of the Treasury. Once approved, the state could begin distributing aid through designated housing finance agencies.
Most U.S. states have approved and active HAF programs. However, implementation and available aid vary.
States with Active HAF Programs Include:
States Currently in Pilot Phases Include:
States with Approved but Inactive Programs Include:
For the most accurate and current information, homeowners should contact their state’s housing authority directly.
While the fund was initially designed to address mortgage and utility delinquencies, some state plans have extended coverage to include HOA and condo association dues. In these states, HOA dues are considered necessary housing-related costs, particularly because delinquency can lead to fines, liens, or even foreclosure.
As of now, states that include HOA dues as eligible expenses under HAF include:
If you’re a homeowner in one of these states and are behind on your HOA dues, you may be eligible for financial assistance through your state’s HAF program.
To qualify, homeowners generally must meet two criteria:
In some cases, additional documentation may be required, such as mortgage statements, utility bills, or proof of HOA dues.
If you live in an HOA and believe you qualify, your first step should be to review your state’s HAF program guidelines. You can usually find this information on your state’s housing finance agency website. You should also:
In most cases, funds are disbursed directly to your mortgage servicer, utility company, or HOA to pay off outstanding balances.
If your state’s HAF program doesn’t currently support HOA dues, don’t panic. Some states may update their plans as the needs of homeowners evolve. In the meantime:
For homeowners in the DC metro area, here’s what you need to know about the Homeowner Assistance Fund in each jurisdiction:
Washington DC
The District of Columbia received its own HAF allocation and launched a program through the DC Housing Finance Agency (DCHFA). DC’s program covers mortgage assistance and some housing-related expenses, though HOA and condo dues coverage under the DC plan is limited. Homeowners should contact DCHFA directly or visit dchfa.org for the latest guidance on eligible expenses.
Virginia
Virginia has one of the strongest HAF programs in the region. Administered by Virginia Housing, Virginia’s active program explicitly includes HOA dues as an eligible expense. Northern Virginia homeowners who have fallen behind on HOA assessments due to COVID-related hardship may apply for direct assistance to their association. Income limits are based on area median income for each locality. Visit virginiahousing.com for current program status and application instructions.
Maryland
Maryland’s HAF program is administered through the Maryland Department of Housing and Community Development (DHCD) and is listed as active with a primary focus on mortgage-related costs. Homeowners in Montgomery County, Prince George’s County, and other Maryland jurisdictions should review current program guidelines at dhcd.maryland.gov to determine if their HOA dues qualify under the current program terms.
Delinquent HOA dues can have serious consequences. Associations rely on dues to maintain shared amenities, pay for insurance, and manage operational costs. When dues go unpaid, it can strain community resources—and in some states, it can result in legal action or foreclosure. Programs like the HAF help preserve housing stability not just for individual homeowners, but for entire communities.
Because HAF program rules vary by state and continue to evolve, it’s critical for homeowners and HOA boards to stay informed. Homeowners should routinely check their state’s housing agency website for updates, and HOA boards should communicate openly with residents about available financial relief.
The Homeowner Assistance Fund has played a crucial role in helping Americans maintain housing stability during an unpredictable period. While not every state includes HOA dues in their approved use of funds, many do—including Virginia—and more may follow. If you’re struggling with dues or mortgage payments, now is the time to explore your options.
For HOA boards looking to better support their residents during times of financial stress, working with an experienced property management company can help ensure you stay compliant with changing regulations while maintaining transparency and stability. Gordon James Realty can help. Contact our team today to learn how we support associations through compliance, budgeting, and proactive community management.
Can the Homeowner Assistance Fund pay HOA dues directly to the association?
Yes, in states where HOA dues are listed as eligible expenses—including Virginia—funds are typically disbursed directly to the HOA or condo association on behalf of the homeowner, rather than as cash to the homeowner.
Is the Homeowner Assistance Fund still accepting applications?
Program availability varies by state. Some programs have closed after exhausting their allocation, while others remain open. Check with Virginia Housing or Maryland DHCD for current status in the DC metro area.
What happens if my HOA tries to impose fines while my HAF application is pending?
Most HAF programs require the housing agency to contact your HOA or servicer to pause collection activity during the application review. Contact your state’s HAF program immediately and notify your HOA that an application is in process.
Can HOA boards access HAF funds directly on behalf of residents?
No. HAF funds are only available to individual homeowners who meet the eligibility criteria. HOA boards cannot apply on behalf of residents, but they can encourage homeowners to explore available programs and provide documentation such as dues statements and delinquency records needed for applications.
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