Elon Musk’s DOGE decision could put $1 billion in affordable housing at risk—are you affected?

Finding affordable housing in the US has become increasingly difficult, and for many low-income families and seniors, a federal program designed to preserve affordable units was a crucial lifeline.

But now, a major funding cut is threatening the future of thousands of housing units, leaving residents and property managers uncertain about what comes next.


The Trump administration, alongside Elon Musk’s Department of Government Efficiency (DOGE), has decided to end a $1 billion program that helped maintain affordable housing across the country.

The move, part of a broader freeze on funding at the US Department of Housing and Urban Development (HUD), has raised concerns among housing advocates.

Without this funding, many affordable units could deteriorate or disappear entirely, worsening the already severe housing crisis.


Screenshot 2025-03-12 at 10.58.35 PM.png
Thousands of affordable housing units across the US face an uncertain future as federal funding cuts take effect. Image Source: YouTube / FOX 9 Minneapolis-St. Paul.


Why this matters


The Green and Resilient Retrofit Program, passed by Congress in 2022, was designed to provide grants and loans for energy-efficiency improvements in affordable housing.

But it was more than just an environmental initiative—it also helped keep housing units affordable for up to 25 years.

By making energy-efficient upgrades, property owners could lower costs while maintaining long-term affordability.


With the program now being shut down, HUD has not clarified how it will handle the rollback, leaving many housing developments in limbo.

The DOGE, under Musk’s leadership, has been tasked with cutting federal spending to eliminate waste and fraud, but critics argue that the agency’s approach is too drastic.

In response to the criticism, Trump stated that he wants Musk's DOGE to take a more precise approach to spending cuts, likening it to using a "scalpel" rather than a "hatchet."


Also read: Could DOGE play a role in your wallet? What this means for Americans’ savings

Who is affected?


The program had already allocated funds to improve at least 25,000 housing units nationwide.

Without this support, housing projects may struggle to secure additional investments, leading to further uncertainty for residents.

For example, the Smith Tower Apartments in Vancouver, Washington—a 170-unit building that serves low-income seniors—had been approved for a $10 million grant to help fund critical renovations.

Now, those plans are at risk.


Source: YouTube / KING 5 Seattle.​


“The potential loss of this funding seriously jeopardizes our ability to upgrade essential systems,” said Greg Franks, president of the building’s management company.

“These improvements are necessary to sustain the livability of this building for another 60 years.”

Housing advocates warn that losing existing affordable homes will only make the crisis worse.

“If we are losing the homes that are currently affordable and available, then we’re falling further behind,” said Sarah Saadian, vice president of public policy at the National Low Income Housing Coalition.

“It’s like trying to fix a boat that has a hole in the bottom while more water keeps coming in.”

Also read: States challenge Trump’s appointment of Elon Musk—implications for DOGE

What happens next?


With HUD remaining silent on the program’s future, developers and property managers are scrambling to come up with contingency plans.

While some previously approved projects may still receive funding, many remain in uncertainty.

Across 42 states, the District of Columbia, and Puerto Rico, hundreds of affordable housing projects now face an uncertain future.


Source: YouTube / WUSA9.​


For seniors and families who depend on these housing programs, staying informed is essential. If you or someone you know is affected by these changes, reaching out to local housing authorities or community organizations can provide guidance and support.

Read next: Struggling with energy bills? This new support for pensioners could change everything!

Key Takeaways

  • The Trump administration and Elon Musk's Department of Government Efficiency have terminated a $1 billion affordable housing program, risking thousands of low-income housing units.
  • The Green and Resilient Retrofit Program aimed to make energy-efficiency improvements in affordable housing but is part of broader funding freezes at HUD.
  • The program's cancellation could lead to the deterioration or loss of affordable housing units across the United States.
  • With HUD not commenting on the situation, affordable housing developers and property managers are left uncertain about future funding for crucial housing projects.

We at The Grayvine understand how important stable housing is for older adults and their families. Have you or someone you know been impacted by the termination of the Green and Resilient Retrofit Program? What are your thoughts on these funding cuts? Share your experiences in the comments.
 

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