Habitat for Humanity International (HFHI) is a global nonprofit housing organization working in local communities across all 50 states in the U.S. and in approximately 70 countries. Habitat’s vision is of a world where everyone has a decent place to live.
Habitat works toward our vision by building strength, stability and self-reliance in partnership with families in need of decent and affordable housing. Habitat homeowners help build their own homes alongside volunteers and pay an affordable mortgage.
Habitat for Humanity of Franklin County, VA (HFHFCVA) was incorporated in 1994 as an all-volunteer organization which has built and renovated 27 homes for our neighbors in Franklin County. Each affiliate/chapter is a complex, self-sustaining business enterprise. To support the home construction and ownership process, the organization implements the following business processes:
- Social Services – The families that are selected to partner with us must meet specific financial criteria (40%-80% AMI) and agree to participate in the construction process. They are also educated and mentored in financial management, budgeting, and home maintenance.
- Mortgage Origination – Habitat provides no/low-interest loans to its partner families. Loan processing and servicing must comply with strict federal and state laws.
- Community Engagement – A key aspect of the Habitat mission is to bring people together to build homes, community and hope. When churches, businesses, and civic organizations engage in the home building process, the community is energized and encouraged to do more!
- Fundraising – Although Habitat is an international organization, each affiliate is self-sustaining and must identify and develop its own funding sources. We do not receive funding from Habitat International.
Habitat for Humanity builds affordable homes for low-income families. However it is not a giveaway or handout program. The homes are made affordable by being built with the “sweat equity” of the partner families, donations (money, land, labor, materials), and providing no/low-interest mortgages.
Homeowner Family Selection
The Homeowner Family Selection process is driven by the combination of the Habitat for Humanity mission, Habitat for Humanity International policies, and federal and state laws regarding mortgage lending.
Habitat for Humanity of Franklin County VA, Inc. partners with families who are unable to qualify for a conventional mortgage. For approval as a Habitat future homeowner, an applicant must meet three basic HFHI criteria: need, willingness to partner, and ability to pay. Qualify the Need – Family income and existing living conditions are evaluated to ensure the family meets the criteria for selection established by the state and HFHI.
- Willingness to Partner – The family must participate in the home construction process as a form of “sweat equity” in the project. Completion of financial management and family budget classes are also required.
- Ability to Pay – A Habitat house is not free and comes with a mortgage. The borrowers’ income, credit score, and debt are evaluated to ensure the family is able to pay the monthly mortgage payment along with their other financial obligations. Income must be 30%-80% of AMI for Franklin County.
Critical Home Repairs
Habitat for Humanity and our affiliate recognize the need to help people who own their own home but do not have the resources to make repairs to alleviate health, life, and safety code issues.
Our affiliate initiated a Critical Home Repair program in June 2016. These include:
- Roof repair/replacement,
- Handicap ramp construction,
- Handicap bathroom conversions,
- Aging in place modifications
Most of the clients are living on disability or social security. This is a significant need in Franklin County as our aging population, with limited resources, needs to make repairs to their homes to avoid health and safety issues. It can only be addressed through the resources (money and labor) of the community.
Habitat ReStore
In November 2020, we opened our ReStore in the Schewels Shopping Center on Franklin St. This location has 10,000 sq. ft. of retail floor space and another 2000 sq. ft. of storage. The store provides 3 benefits to the Franklin County community:
- Provides a place to donate used/unwanted household and construction materials thus reducing the amount of materials going into landfill
- Provides a place to purchase household and construction goods at prices significantly lower than retail
- Proceeds of the sale go to our construction programs and housing ministry.
Residents and businesses from Franklin County and the lake communities donate household and construction items to the store for resale including furniture, appliances, cabinets, counters, sinks, flooring, etc. Homeowners who are remodeling or upgrading their home and furnishings donate these used items, rather than trashing them and sending them to the landfill.
We are investigating ways to increase the impact the store has in our revenue generation providing additional financial resources for new Habitat homes. This includes building new relationships with local businesses and increasing advertising.