Habitat for Humanity of Grand County, Colorado Inc

Background Statement

Habitat for Humanity of Grand County was formed in 1999 as a non-profit, ecumenical organization with the stated goal of eliminating poverty housing in Grand County. We became an affiliate of Habitat for Humanity International in November of 1999. Habitat welcomes the participation of all people regardless of race, religion, economic status or gender.

To date we have completed eleven houses. Five are in Granby; one is located in Kremmling. Our five most recently completed houses are in Hot Sulphur Springs. Our next house will be built in Hot Sulphur Springs.

Habitat comprises three major programs: home building, home financing/mortgage assistance, and family support and education programs that provide on-going help to new and existing Habitat families. As part of our home financing and mortgage assistance program, we act as the lending institution for a Habitat family and sell the house to them with an affordable first mortgage. To ensure that the family's monthly payments are affordable, we set the amount of this mortgage and the term of the loan so that the principal, taxes and insurance do not exceed 25% of the family's monthly income. This first mortgage represents only a fraction of the value of the house. To ensure sustainability we cover the remaining appraised value of the home with a "silent second" mortgage. This mortgage is forgiven when the family pays off the first mortgage.

In lieu of a cash down payment, we require that each homeowner complete 200 hours of "sweat equity" toward the building of their home. The homeowners gain valuable hands-on knowledge of their home and skills that will help them deal with home maintenance tasks they will face as a homeowner.

Since our families are first time homebuyers we provide on-going support to the family as they transition to the challenges of home ownership. We provide education classes, one-on-one counseling and on-going support throughout the term of their mortgage. This aspect of our program includes a six week financial literacy course we offer to our new families, existing families who are struggling to meet their mortgage commitment, and future applicants for our homeownership program.