The projects at Carley Hill, on the north of the city and Farringdon Row, in the city centre, have received over £3.1 million from the Department for Levelling Up, Housing and Communities.
The funding - from the Brownfield Land Release Fund 2 (BLRF2), delivered by the One Public Estate (OPE) Programme - will see a total of 255 homes built across the sites.
Sunderland City Council applied for the funding to help it deliver on its promise of providing a greater choice of housing for residents that better meets their needs and aspirations.
Cllr Kevin Johnston, portfolio holder for dynamic city at Sunderland City Council, said: "We are thrilled that our funding bid has been successful for these two important schemes.
"Over the next decade, we are seeking to deliver tens of thousands of new homes to help meet the needs of our residents now and into the future, and these developments will be key to helping us achieve our goals."
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The funding for Carley Hill will support the remediation of 4.28 hectares of brownfield land to enable the development of a 115-unit scheme, which will be delivered by Gentoo and will provide a mix of two, three and four-bedroom houses and two-bedroom bungalows and apartments.
The first homes are set to be completed in Spring 2025 with 87 of the properties being made available for affordable rent.
Joanne Gordon, Homes and Development Director at Gentoo said: "Gentoo is committed to addressing the affordable homes shortage in Sunderland through the supply of new, high quality and energy efficient homes. Our Cricketers Hill development in Carley Hill marks Gentoo's tenth affordable development across the city and opens up even more routes for Sunderland residents to own or rent a home."
Farringdon Row is the second of four new residential neighbourhoods in the pioneering Riverside Sunderland urban regeneration programme.
The transformation of the two-hectare site will support the delivery of 140 new homes on a brownfield site overlooking Riverside Park and the River Wear, with strong connectivity to Sunderland City Centre.
All homes at Riverside Sunderland will provide a future living offer that will attract new and existing Sunderland residents to live in the vibrant city centre, with the properties sitting alongside the orchards and allotments of Kingsley Gardens and nearby Riverside Park, which is continuing its journey towards becoming an accessible, attractive, and ecologically diverse parkland.
