Displacement Prevention Act of 2004

Displacement Prevention Act of 2004 - Authorizes the Secretary of Housing and Urban Development to provide grants to maintain the affordability of low- and moderate-income housing to: (1) property owners for property rehabilitation; (2) nonprofit organizations for multifamily property acquisitions; and (3) owners of covered multifamily properties in strong rental markets. Sets forth eligibility provisions, including extension of affordability restrictions.

Prioritizes property assistance based upon the: (1) termination date of Federal assistance; (2) number of low-income residents; and (3) extent to which owner assurances of affordability restrictions will exceed periods provided for by this Act.

Directs the Secretary to make enhanced housing vouchers (under section 8 of the United States Housing Act of 1937) available to eligible families upon the termination date of an assisted multifamily housing project. Defines such families as: (1) a low-income family; (2) a moderate-income elderly or disabled family; or (3) a family residing in a low vacancy area.

Requires the owner of an assisted multifamily housing project who intends to alter or terminate affordability restrictions to notify the Secretary, appropriate State and local entities, and each tenant. Stipulates that failure to so notify shall prevent the owner from tenant eviction or rent increase until one year after provision of such notification.

Requires specified compliance reviews.