How does Homes for Hearts choose a resident?
Homes for Hearts has partnered with Room in the Inn Memphis to help with the vetting and case management of each of our residents. Vetting is based on relationship building and willingness to work toward sustainability and homeownership. Room in the Inn helps keep our residents connected to medical, employment, social and other supportive services they need while transitioning toward our homebuyer program.
How does your homeownership program work?
After a resident has completed their 6 month transition, we then offer a no profit, no interest mortgage that costs no more than 20-30% of average median income. Payments cost as little as $225 – $375 monthly, depending on the resident’s income, cost of the home, location and lot size. This includes the mortgage, taxes, insurance and escrow and allows homebuyers to pay their home off in 15 years on average. Depending on a resident’s income we can get their principal payment as low as $125.00 monthly. Utility bills average $80-100 monthly. Homes for Hearts will continue to work with our Memphis partners to help find each of our residents steady employment if they need it in order to sustain their monthly payments. Some of our resident’s disability and or social security payments will cover our affordable housing costs. If at anytime, they wish to leave the homebuyer program, their principal payments are returned in full. Once they own their home and wish to sell it, they have to give us the first option to buy back at a fair market value. This allows us to find a new resident for the home, and keep the home affordable for years to come. We hope our residents love the affordability and comfort of their home enough to keep it forever.
How do you keep the homes from getting into investor’s hands?
Homebuyers are not allowed to rent or sublease the home during the home buying process. Once a homebuyer owns their home and they wish to sell it, they must give us the first option to buy back at a fair market value. This allows us to find a new resident for the home, and keep the home affordable for years to come. The buyback price of the home must allow for a new Homes for Hearts resident to move in, and spend no more than 20-30% average median income toward housing. We hope our residents love the affordability and comfort of their home enough to keep it forever.
Do you work with government funding?
Homes for Hearts will accept government funds as long as they have no conditions that would violate our principles or limit our ability to provide permanent, sustainable, cost-effective, affordable housing with a clear path toward homeownership. We currently do not work with any government funding.
Is Homes for Hearts a tax-exempt nonprofit organization?
Yes. We are a US 501(c)(3) nonprofit 85-2299402
Give today and help us build our next home for Memphis! All donations are tax deductible.
If you have any questions please reach out! email@example.com 901.290.6174 – Zach Waters, Founder & CEO