Habitat for Humanity formally broke ground in September but construction on its upcoming 11-unit affordable housing development began this week in Airdrie’s Bayview Community.
Currently, the organization is actively working with the community to fundraise for the project and continue to accept applications.
Lisa Fonseka, manager of marketing and communications at Habitat for Humanity Southern Alberta, said there are several misconceptions about the program, and who can apply.
First off, she said Habitat for Humanity fits within the general housing spectrum.
“Generally speaking, there's subsidized housing and there's market rental, but what happens to everybody stuck in between, right?” she said. “They're caught in rental cycles. They're subject to rent increases. They might be moving often or living in unsafe or overcrowded situations, but they're stuck, right? They have nowhere to go. They can't qualify for subsidized rental. But they can't afford market housing. So that's where we exist to serve.”
Habitat provides affordable housing ownership options for those in between these markets.
Fonseka added there is also some misconceptions about Habitat providing free housing, which is not the case. Their unique model provides home buyers with an affordable mortgage, including no down payment, no interest, and customized monthly payments.
“No down payment means you don't have to save thousands of dollars for a down payment,” Fonseka said. “No interest means you pay fair market value for your house and you always know how much it will cost, and then the customized monthly payments [mean] we cap each homeowner's monthly payments at 30 per cent of their income.”
If home owners are doing well they can pay their mortgage off faster, while payments can be adjusted in case something happens to their income. Those three factors make up a model that helps families afford a home and build equity.
“Common professions of Habitat homeowners include things like healthcare aids, teachers' aids, construction workers, security personnel, people who are holding essential jobs in the community and they're working hard,” Fonseka said. “They just can't save enough to buy a house the traditional way.”
Applying for the program
Additional criteria is included in the application process like income, employment, current housing, debt, and so on. Another factor they must meet is having at least one child under the age of 18.
An eligibility quiz on the Habitat website lets applicants know if they meet the criteria. From there, they can fill out the online application form.
There are some documents to submit, after which the Habitat team reviews applications and gets in touch with those who are a good fit. Applications are accepted on an ongoing basis until all 11 new homes in Airdrie are matched to a family.
Once accepted, homeowners must commit to 500 volunteer hours to help build their homes. Home maintenance and financial literacy classes are also offered to help set them up for success.
It takes roughly between six and eight months for families to complete their hours, finish the homes, and sign the mortgage, before they move in. President and CEO of Habitat for Humanity Southern Alberta, Gerrad Oishi, said they expect families to be in their homes by Christmas next year.
Some families stay in their Habitat house for a long time while others use it as a stepping stone into the housing market. Habitat then has the option to buy their home back and accept a new family into the program.
Habitat built eight homes previously in Airdrie's Ravenswood community since 2012, and this new project would bring that total to 19 homes.
An information session for Habitat for Humanity is coming up on Nov. 4 at 6:30 p.m. at the Airdrie Public Library. People can sign up online at eventbrite.ca.
At Airdrie’s Aug. 20 council meeting funding was allotted from the Affordable Housing Reserve Fund (AHRF) totalling $61,000 in support of the Habitat project, largely related to the property taxes and pre-development costs. Combined with other City incentives, Airdrie provided a net contribution of $100,500 towards the non-profit project.
For more information or to apply for housing, go to habitatsouthernab.ca/bayview.