HR1640-119

What This Bill Does

The HEIRS Act addresses heirs' property, where residential title passes through intestacy to multiple heirs as tenants in common. HUD must establish, within one year, a grant program for eligible entities that had already enacted or later enact the Uniform Partition of Heirs Property Act or a substantial equivalent. Grant funds help residents pay bona fide expenses for establishing and documenting ownership rights or settling a decedent's estate. HUD must also run annual grants for housing counseling, legal assistance, and financial assistance related to title clearing and home retention for heirs' property owners, with $10 million authorized annually for fiscal years 2026 through 2030. HUD must prioritize entities with track records serving homeowners, minority and low- or moderate-income residents, and neighborhoods with high concentrations of those residents or heirs' property. The bill also requires HUD-funded housing counselors to explain heirs' property risks, estate planning, title-clearing options, and referrals to mission-driven nonprofits or higher-education legal clinics.

Who Benefits and How

Heirs' property owners benefit from grants for title clearing, estate settlement, housing counseling, legal aid, and home retention. Low-income homeowners benefit because HUD must consider services targeted to low- and moderate-income people. Minority communities benefit because grant criteria prioritize neighborhoods with high concentrations of minority residents and heirs' property. Legal services clinics benefit from referral roles and funding-linked demand for title-clearing assistance.

Who Bears the Burden and How

HUD must establish grant programs, evaluate eligible entities, administer $10 million annual authorizations, and update counseling requirements. Eligible jurisdictions must enact or adopt the Uniform Partition of Heirs Property Act or a substantial equivalent to receive section 2 grants. Housing counseling nonprofits must educate consumers about heirs' property risks, estate planning, and title-clearing services. Federal taxpayers bear the cost of heirs' property grants from fiscal years 2026 through 2030.

Key Provisions

• Creates HUD grants for jurisdictions adopting the Uniform Partition of Heirs Property Act or a substantial equivalent.
• Authorizes grant use for ownership documentation, title clearing, and estate settlement expenses.
• Provides $10 million annually from fiscal years 2026 through 2030 for heirs' property resolution grants.
• Requires HUD-funded housing counselors to explain heirs' property risks and refer consumers to title-clearing help.