FLAGSTAFF, AZ — Thomas "Tucker" Usher III is getting the keys to a brand new home built through Habitat for Humanity of Northern Arizona's (HFHNA) new Starter Home Program.
The program, developed following Flagstaff's housing emergency declaration, aims to add 100 starter homes to the affordable housing market.
HFHNA cites the need due to an analysis that found the city has an undersupply of about 8,000 housing units and over 12,000 households with an affordable housing need.
Usher, a single dad who has his daughter during the summer and Christmastime, is set to move into the first house completed as part of this program.
To qualify, low-to-moderate-income families must either live in a home lacking sufficient safety or livability standards, or their payment exceeds 30% of their monthly income.
Down payments on the starter homes are $1,000 and the monthly payment amounts will be at or below $1,000. HFHNA says it will provide mortgage financing with a 10-year, 0% interest loan, allowing the homeowner to save $10,000 in equity annually.
The starter homes are designed for families to outgrow them, at just 500 square feet. Families can then use the money saved in equity as a downpayment for a conventional home. HFHNA says it will then buy back the homes, refurbish and resell them to new families.
HFHNA also notes the sustainability aspect of the homes — a net zero energy goal with rooftop solar panels and no natural gas.
A second home is scheduled to be completed in the spring of 2023.
When Usher found out about his new home, he couldn’t believe it. He says it still doesn’t feel real, even though he’s been in the home and gets his keys on Thursday.
“I would have never imagined this. If someone's like, ‘Hey, in five years you're going to be moving into your own home and you're going to run this thrift store. You'll be the store manager.’ I would have never believed it,” Usher said.
He finally gets a place to call home and have a house for his daughter to stay in when she visits him.
“This is just a miracle for her to come to a place where it's just that we can actually call home as a family,” Usher said.
The construction of the second starter home should be complete around springtime. Habitat for Humanity says it plans to build 40 more over the next five years thanks to the donation of three acres of land from a private developer in Flagstaff.
“This is an amazing product because for the very first time, we're using home equity savings to allow low- to moderate-income families to save money just through paying a mortgage payment, but we’re making it affordable,” said Eric Wolverton with Habitat for Humanity.
Wolverton said they had more than 650 families apply for the first starter home. They’ll randomly select the next family from the pool of applicants.
“We have to allow families to be able to grow their own wealth, and equity savings is the easiest platform to do that,” he said.
“It's just a miracle, you know. I just — I'm very beyond thankful,” Usher added.
