Introduction and BackgroundThe U.S. Department of Housing and Urban Development (HUD) released the Fiscal Year 2026 Continuum of Care (CoC) Competition and Youth Homelessness Demonstration Program (YHDP) Grants Notice of Funding Opportunity (NOFO) on June 1, 2026. The purpose of the funding is to promote a community-wide commitment to the goal of ending homelessness and to provide funding for efforts by nonprofit providers, states, local governments, and Indian Tribes or tribally designated housing entities to quickly rehouse homeless individuals, families, youth, persons fleeing domestic violence, dating violence, sexual assault, and stalking while minimizing the trauma and dislocation caused by homelessness; to promote access to and effective utilization of mainstream programs by homeless individuals and families, and to optimize self-sufficiency.
Please note, this year’s NOFO introduces significant shifts in funding priorities, with an increased focus on:
- $1.3 billion set-aside for new Transitional Housing and Supportive Service Only projects
- Treatment and recovery-oriented programming
- Shift away from Housing First, with a focus on service participation requirements for program participants to promote self-sufficiency
- Reducing unsheltered homelessness and encampments
- Reducing returns to homelessness
- Increasing competition for grants in order to improve system efficiencies
- Increasing participants earned income and long-term stability
- Increasing exits to permanent housing without subsidy
- Advancing public safety through partnerships with law enforcement and first responders
This NOFO provides funding opportunities for Permanent Supportive Housing, Rapid Rehousing, Homeless Management Information System, Coordinated Entry with a focus on supportive services, street outreach, and standalone transitional housing projects, encouraging CoCs to evaluate project effectiveness and ensure participation from diverse community partners, including faith-based organizations. Tier 1 is equal to 60% of the CoC’s Annual Renewal Demand meaning more competition at the local and national level. More information about the FY 2026 CoC NOFO and additional application resources can be found on the
Continuum of Care Competition page on HUD’s website.
Eligible ApplicantsNon-profit organizations, Public Housing Agencies, States, and units of local government that have the capacity to administer federal funding and have experience administering programs and services that assist people experiencing homelessness and/or a housing crisis are eligible to apply for FY 2026 HUD CoC funding.
Application Submission ProcessAll organizations submitting a request to renew CoC funded projects are required to submit a Renewal Project Local Application, All Local Project Applications (outside of e-snaps) are required to be submitted to the CoC on or before 11:59:59 PM ET July 13, 2026.
e-snaps:
https://esnaps.hud.gov/In addition to the Renewal Project Local Applications required by the CoC, organizations submitting for renewal CoC funded projects, if accepted by the CoC, will be required to also submit an application for each new project in e-snaps. E-snaps is the online application system HUD uses for the CoC program. The FY 2026 CoC Renewal Project Applications will available in e-snaps in the near future. E-snap applications will be due to the CoC by 11:59 PM PT, August 20, 2026.