HAC Awards $4.1 Million for Local Self-Help Homeownership Programs

WASHINGTON - Nov. 8, 2013 - PRLog -- The Housing Assistance Council (HAC) is partnering with 16 organizations in 10 states to build 286 self-help homes for low and moderate-income families. HAC provides financing for these projects using $3.26 million in funds from the federal Self-Help Homeownership Opportunity Program (SHOP), which is administered by the Department of Housing and Urban Development, and $881,500 from other sources.

Through the SHOP program, families develop sweat-equity in the construction of their homes and create a sense of community by assisting their neighbors with the construction of their homes as well. “Since its inception, HAC has been a supporter of the SHOP program as a means for creating safe, affordable housing and stable communities for low-income rural Americans,” said Moises Loza, HAC’s Executive Director. “HAC is proud to work with local organizations across the nation and help families reach their dreams of homeownership.”

Local affiliates leverage resources from a variety of private and public sources to provide this affordable housing opportunity to low- and moderate-income homebuyers. Many of the families participating in HAC-funded SHOP projects obtain low-interest mortgage loans from the U.S. Department of Agriculture’s homeownership program. By leveraging critical resources, including use of volunteer labor when possible, self-help housing producers are able to create affordable, sustainable homeownership opportunities for low-income homebuyers.

SHOP funds cover costs associated with land acquisition and infrastructure improvements. Community-based organizations will supervise homebuying families who work together in groups to construct their own homes and their neighbors’. HAC’s local SHOP affiliates can use up to $15,000 per unit for eligible development. They are responsible for all construction activities, including securing additional funding, preparing sites, training families, and managing the self-help process.

Since the inception of the SHOP program, HAC has been awarded funding to produce 9,709 units of affordable housing for families. To date, HAC’s local partners have completed 8,396 homes.

About the Housing Assistance Council
HAC, founded in 1971, is a nonprofit corporation that supports the development of rural low-income housing nationwide. HAC provides technical housing services, loans from a revolving fund, housing program and policy assistance, research and demonstration projects, and training and information services. HAC is an equal opportunity lender.

For a complete list of HAC SHOP 2013 awardees visit http://www.ruralhome.org/information-and-publications/press-room/86-year-2013/740-11082013.