For Immediate Release
Date: August 24, 2005
Contact: Bill Grassano, 202-220-2360 bgrassano@nw.org
NeighborWorks® America Recognizes Community Leaders and Partners for Innovative Approaches to Promoting Homeownership
Honorees Receive Awards at NeighborWorks Training Institute in Washington, D.C.
Washington, D.C. – NeighborWorks America today announced national honors for four organizations that developed creative and cost-effective approaches to help families of modest means attain homeownership. NeighborWorks made the announcement at the Washington, D.C. NeighborWorks Training Institute, the nation’s premier community development and training program for professionals and community leaders.
“Innovation is key to putting homeownership within reach of people who may not know they can afford to buy a home,” says NeighborWorks CEO Ken Wade. “The four organizations receiving honors have figured out creative ways to put people on a path to homeownership, and in so doing, have opened a new chapter in the lives of people who may never thought they could own a home of their own,” says Wade. “I’m extremely pleased to have such creative people working for the cause of affordable housing,” says Wade.
The four categories and winners in those categories are:
Best Innovative Partnership with a Lender/Insurer: Community HousingWorks (CHW), San Diego, for holding “Pre-Qualification Rallies” for first-time homebuyers. CHW has pre-qualified 647 individuals and families in 2005. Pre-Qualification Rallies provide initial readiness counseling to graduates of homebuyer education classes provided by Community HousingWorks. During a rally, potential homebuyers receive a credit report, provide financials and work with a volunteer loan officer who reviews their financial information. The sessions give customers insight into their mortgage readiness and purchase price potential.
Best Innovative Partnership with Realtors®: Colorado Association of Realtors Housing Opportunity Foundation (CARHOF) promotes safe, decent and affordable housing by providing grants to non-profit and public housing agencies. The foundation collects interest from real estate escrow accounts and donations from Realtors to be granted to nonprofit and public agencies. Families of modest means receive down-payment assistance, homebuyer counseling, new home construction funds, and assistance to prevent homelessness.
Best Innovative Partnership Other: Puertas Abiertas/Open Doors program showcases how partnerships successfully adapt to changing market conditions and exercise their collective ability to help Latino families realize their aspirations to become homeowners. Puertas Abiertas is a strategic partnership of Nashville, Tennessee, partners Conexión Américas and other non-profit organizations with three financial institutions which created a loan program using specialized underwriting for the immigrant Latino community. In two years, the program created 70 new homeowners and $8 million in loans.
Best Innovative Partnership with an Employer/Government/University: Capitalized by the City of McAllen, Texas, the McAllen Affordable Housing Program (MAHP) has grown to a $24 million revolving loan fund that has provided more than 2,400 low-income families with homeownership opportunities. MAHP, a public-private partnership, assists families unable to qualify for conventional home loans by providing below-market financing with flexible underwriting guidelines and loan approval by a community loan committee. MAHP provides savings directly by acting as developer, general contactor, and non-profit mortgage company.
The Innovations in Homeownership Contest was underwritten by the MetLife Foundation, a long-time partner of NeighborWorks America.
About the Innovations Award
The Innovations in Homeownership Contest identifies and recognizes creative, cost-effective strategies and approaches that nonprofit housing organizations use to promote homeownership to underserved communities. Four awards are given each year through the gracious support of the MetLife Foundation. The NeighborWorks Center for Homeownership Education and Counseling (NCHEC) and the NeighborWorks Campaign for Home Ownership jointly sponsor the contest. Since 1993, the Campaign has assisted over 90,000 new homeowners, counseled more than 500,000 families and promoted investments of more than $8 billion. NCHEC is the largest national training and certification provider for the housing education and counseling industry, assisting more than 2,000 practitioners annually, who reach millions of households seeking homeownership opportunities.
About NeighborWorks America
NeighborWorks America provides financial support, technical assistance and training for communities across the nation, including the NeighborWorks network – a nationwide network of more than 235 community development organizations working in more than 2,700 urban, suburban and rural communities across America. These organizations engage in revitalization strategies that strengthen communities and transform lives. In the last five years alone, NeighborWorks organizations have generated more than $8.5 billion in reinvestment and helped more than 500,000 families of modest means purchase or improve their homes or secure safe, decent rental or mutual housing.