The Board of Directors of CARHOF will screen all applications for funds to ensure compliance with guidelines established by the Internal Revenue Service and the Colorado Real Estate Commission. The enabling regulations by the Colorado Real Estate Commission that led to the creation of CARHOF stipulate that moneys shall be spent on "community-based, affordable housing initiatives". Additionally, any programs that are funded through CARHOF should be in compliance with Internal Revenue Service guidelines for tax-exempt organizations.

The following activities will be considered for funding:

1. Predevelopment costs for the acquisition, rehabilitation or construction of renter or owner-occupied housing which is committed to the targeted income level of individuals and families (80% or below area medium income).
2. Land acquisition as part of an affordable housing project
3. Costs of new construction, rehabilitation or conversion for affordable housing units.
4. Administrative and operating costs of qualified organizations actively pursuing the provision of affordable housing for moderate, low and very low income individuals and families.
5. Assistance to moderate, low and very low income individuals who are in danger of becoming homeless or otherwise in need of housing.