Habitat for Humanity Greater San Francisco
Organization
Habitat for Humanity Greater San Francisco (Habitat GSF) has been building homes and creating affordable homeownership opportunities for families in San Francisco, San Mateo, and Marin counties for 35 years. Its mission is centered wholly around increasing homeownership, financial stability, and generational wealth for families earning between 50-120% of area median income in those three counties. The organization’s approach is multi-pronged by providing the following services: community development, home construction, affordable financing, and advocacy. The Habitat Model of offering affordable financing has a partnership component with families contributing up to 500 hours of “sweat equity” to help build their homes. Under this model, Habitat GSF has built over 250 homes to date and has plans to double that in the next seven years through larger projects such an 80-home development in Novato that breaks ground next year.
Issue
How can the Habitat for Humanity Greater San Francisco affiliate scale its impact on affordable housing and sustained homeownership outside of its current model of Habitat developing, building, and financing the homes for low- and moderate-income families?
Situation
Habitat GSF strives to expand its impact on affordable housing across the three counties it serves beyond the development of, construction of, and lending for its homes. Currently, Habitat GSF provides financing at 0% interest and $0 down with monthly payments capped at 30% of their income to families who are at 50-80% of average median income. Habitat GSF sees an opportunity to grow homeownership by launching a low-interest mortgage program (as other Habitat affiliates have) to help families in the 50-150% of average median income range who purchase or renovate homes built outside of Habitat GSF. Originating low-interest loans to moderate income households would also increase mortgage revenue for its own real estate projects thereby making more projects meet financial requirements and allowing Habitat GSF to build more homes and serve more families. Additionally, Habitat GSF could become a partner to Community Land Trusts and other nonprofit developers by partnering on a mortgage offering to people in their affordable housing projects.
Project Overview
Habitat GSF requests assistance and insight into what is required to set up a low-interest mortgage program in San Francisco, San Mateo, and Marin counties. In addition to a SWOT analysis and feasibility study, the organization would like recommendations on whether such a program is a revenue stream worth pursuing. If so, Habitat GSF would also appreciate guidance on what the loan product is and how the organization delivers it. Recommendations for potential financial institutions or capital access for Habitat GSF to partner with would be appreciated as well.
Other
This is a Full Team project:
- Scope: High-priority organizational challenge involving strategy or management
- Team Size: 5-6Â consultants, including 1-2 project leaders
- Project Duration: 6 months
- Estimated time Contribution: Team member: 3-4 hrs/week, Project leader: 5-6 hrs/week
Read more about the Full Team Project Consultant role and the Project Leader role.