Re “Prospect of home ownership escapes 70-year-old Randolph resident,” Free Press June 29-July 1 edition:

The role of Housing Opportunities Made Equal in the Richmond Redevelopment and Housing Authority’s scattered site process was to provide education and counseling. HOME is not a lender and does not provide financing.

HOME carefully guards our clients’ personal and financial information and we cannot speak to the specifics of any client’s case, but we can share the basic process.

The education provides a comprehensive overview of what families need to know and do to become successful first-time homeowners. Families attend six hours of pre-purchase education. The topics included personal finance, credit, and the role of the lender; the role of the Realtor; fair housing; home inspection, loan closing, foreclosure prevention; and the need and importance of home maintenance and how to prevent costly home repairs.   

The counseling session includes an in-depth analysis of the family’s credit report, budget and overall financial readiness to purchase a home, including recommendations for best practices in budgeting, affordability, purchase power and lifestyle management.  Counselors also reiterate information on the entire home buying process.

An action plan is developed by the counselor during the initial session and updated as needed. Counselors guide and advise individuals through the entire process from homeownership consideration, financial preparation, financing — including the down payment and closing cost assistance process, if eligible — home inspection, the closing process, home maintenance and long-term mortgage management. Counselors also appropriately provide referrals based on the needs of the household.

HOME’s homeownership program has been in existence for 20 years and has provided down payment assistance to more than 2,000 first-time home buyers.  Over the lifetime of the program, we have a 96 percent success rate for new homeowners still being in their homes five years after closing.

After receiving education and counseling, our clients — the potential home buyers — have to qualify for a first mortgage with a private lender of their choosing. This is one of the qualifications to receive down payment assistance from HOME. 

HOME also would never recommend that a client roll outside debt into a home purchase transaction, which can be a dangerous practice and lead to unsustainable housing cost. 

For those clients in RRHA scattered site properties who did not qualify or chose not purchase, HOME was able to help some find places to rent utilizing a housing choice voucher through our mobility program.

HEATHER MULLINS CRISLIP

The writer is president and CEO of Housing Opportunities Made Equal of Virginia Inc.