Habitat for Humanity of Greater Memphis
Habitat for Humanity of Greater Memphis
Habitat for Humanity of Greater Memphis is dedicated to helping local residents build or improve decent, affordable places they can call home.
Currently, Memphis Habitat has two programs available, plus our new 8-hour homebuyer education class for those using THDA and other mortgage lenders.
URL: https://www.memphishabitat.com/ourprograms
Address: 7136 Winchester Road, Memphis, TN 38125
Phone: 901.761.4771
New Homeownership Program:
Individuals and families who are interested in applying for the Habitat program must meet a number of requirements, which fall into three categories – NEED, PARTNER and PAY.
Demonstrate NEED:
Families applying to the Habitat program must currently have a need for decent, affordable housing.
- Substandard Conditions
- Overcrowding
- Homelessness
- Cost-Burden
Be willing to PARTNER:
- Perform “sweat equity” by working on their house and other Habitat houses, at the Habitat ReStore and at other area nonprofits. Individual homebuyers are asked to complete 350 hours; couples are asked to complete 400 hours. Eighty percent of the hours must be completed before construction begins on the family’s house. Only 30 percent of hours can be “donated” by family and friends
- Make a 2 percent down payment — at least $1,000 (can be paid in increments)
- Build a $1,000 emergency fund
- Complete the multi-week Habitat Institute Homebuyer Education Course
- Meet quarterly for one year after move-in with Habitat’s Family Services staff to discuss their adjustment to homeownership
- Maintain or decrease your “debt-to-income” ratio while in the Habitat program
Be Willing and Able to PAY:
Families must have stable, verifiable income sufficient to support a monthly mortgage payment and other expenses and must meet the income guidelines listed below. Habitat serves families earning less than 80% of area median income for Shelby County. Income guidelines are set by the U.S. Department of Housing & Urban Development. Having income within these guidelines does not guarantee eligibility.
| Family Size | Gross Yearly Income |
| 1 | $18,000 – $33,600 |
| 2 | $19,800 – $38,400 |
| 3 | $21,600 – $43,200 |
| 4 | $23,400 – $48,000 |
| 5 | $24,850 – $51,580 |
| 6 | $26,300 – $55,700 |
| 7 | $27,750 – $59,550 |
| 8 | $29,200 – $63,400 |
Other Qualifications:
- Be a first-time home buyer, meaning they have never owned a home or haven’t owned a home in the past three years
- Have not had a home in foreclosure in the past four years
- Be unable to qualify for a conventional loan due to income level
- Be able to prove ability to afford the monthly payment and household expenses
- Have fair or passable credit and no judgments or liens
- Have not declared Chapter 13 bankruptcy in the past 12 months or Chapter 7 in the past two years
- Must have re-established credit from any previously declared bankruptcies
8-Hour Homebuyer Class:
Are you thinking about buying a home? Even if you aren’t building and buying a home with Habitat, you likely still have a lot of questions about the process. How does your credit affect the process and how can it be improved? How do you qualify for a loan? What happens when you close on the mortgage? What sort of maintenance will your home need?
These and many other questions will be answered during our pre- and post-purchase homebuyer education class, which is open to the general public. Over the course of 8 hours, our THDA-certified and NeighborWorks®-certified mortgage professionals will review what you need to know when considering the purchase of a house, including:
- Are You Ready to Buy A Home?
- Managing Your Money
- Understanding Credit
- Obtaining a Mortgage Loan
- Shopping for a Home
- Protecting Your Investment
- Maintaining & Improving Your Home
- Community Involvement
This course will meet the requirement for homebuyer education with THDA (including Hardest Hit Fund Down Payment Assistance) and other mortgage lending agencies. Simply present your certificate of completion to your lender. It is recommended you take the class at least four weeks prior to closing. Cost of attending the class is $25 per person/household.
Enroll in the Class:
To enroll for the class, please contact Liz Miller, family services manager (lmiller@memphishabitat.com or 901-322-3519) or Steve Herrington, homeownership services manager (sherrington@memphishabitat.comor 901-322-3521) via email or phone at least two days prior to the class date.
Where is the class held?:
The class is held at the Memphis Habitat offices, located at 7136 Winchester Road. All classes start promptly at the posted time. If you arrive late, you will be asked to return for a different class date. Child care services are not available. Lunch will be provided during this class (please notify us of any dietary restrictions when you register).
Aging in Place Program:
Habitat for Humanity of Greater Memphis’ Aging in Place (AIP) program serves Shelby County senior citizens and focuses on accessibility improvements, mobility modifications, weatherization enhancements and critical home repairs that are crucial to help seniors live in their own homes longer. Memphis Habitat wants to make continued homeownership for Shelby County seniors a reality so they can age in place with the comfort and dignity they deserve.
The Aging in Place program receives financial support from a variety of sources, including The Federal Home Loan Bank of Cincinnati. The City of Memphis, Division of Housing and Community Development is a partner in this program.
The work done for applicants accepted during this application period will focus on roof repairs, with other work done as budget allows. There is an extremely tight timeframe for a limited number of applicants to be accepted and work to be completed, so applicants must be in need of roof repairs, have all documentation available immediately and will be accepted on a first come, first qualified , first served basis.
Am I eligible?
You may qualify for the AIP Program if you meet all of the following criteria:
- I own and live in my home full-time. 1
- I own no property other than my home.
- I am age 60 or older, or someone else age 60 or older lives in my home full-time.
- My home is within the city of Memphis, Tennessee.
- The city and county property taxes on my home are current.2
- The mortgage on my home is current2 and I can show a recent mortgage statement to prove this. (If there is no mortgage on the home, I will sign an affidavit stating there are no liens on the home.)
- My home needs roof repairs. (I understand that if the budget allows, other repairs and modifications may be done, but the primary focus of this work will be to the roof.)
- I meet the income guidelines for the program, based on my income and the income of everyone else who lives in my home. This round of applications will only serve families below 50% AMI. (see chart below)
- I have proof of ownership of the property.
- I can provide documentation to prove identity, age, residency and income for myself and everyone else who lives in my home.3
- All persons listed on the deed to my home will sign all required documentation.
- All of my information matches across all documents or I have proof that differing information is correct.4
| # Living in Home | Max Gross Household Income |
|---|---|
| *As of 12/3/17; subject to HUD AIM guideline changes. | |
| 1 | $21,000 |
| 2 | >$24,000 |
| 3 | $27,000 |
| 4 | $30,000 |
- Rental properties are NOT eligible to receive assistance through this program.
- “Current” means you are not being charged any interest, fees or penalties on an outstanding balance OR you are meeting all the conditions of an agreed payment plan.
- Documents you need to provide might include: a driver’s license or other government issued ID, birth certificate, utility bill, 2 consecutive pay stubs within the past 30 days, mortgage papers, Social Security income statement, retirement/pension and/or bank statements.
- Proof of name change, marriage license, divorce decree, death certificate, etc.
Who does the work?
Habitat will coordinate the work with trained volunteers and/or home repair companies. All companies will be properly licensed and insured. Project managers will monitor the quality of the work throughout the process to make sure it is up to program standards.
What kind of work will be done?
Inspectors from Habitat will prepare a list of recommended work. This is simply a list of suggested work and not a guarantee of the final project list. Actual work to be done will be determined only by Habitat based on the program’s budget limitations and the extent of work necessary. The work done for applicants accepted during the application period will focus on critical repairs and accessibility modifications, with other work done as budget allows.
Other work that may be provided includes:
- Roof repairs or replacement
- Other modifications as budget allows, possibly including installing grab bars, wheelchair ramps, widened doorways, fixing broken windows, repairing water leaks, electrical repairs and other work that fits within the guidelines of the AIP program.
* Cosmetic work is NOT covered under this program. This includes, but is not limited to: painting, cabinets, appliances, window treatments/security bars, and repairing trim work.
* If your home is not a detached, single-family home (example: a condo or mobile home), you may not be eligible for certain services.
What’s the cost?
Habitat will pay all costs for materials and AIP work as a GRANT TO YOU, but a restriction will be placed on the deed of your home. You will not have to repay the grant unless you sell or transfer ownership of your home within 5 years after AIP work is completed. If you stay in your home for 5 years after work is completed and follow all grant terms, your balance is reduced to ZERO, and you owe nothing. The grant restriction is forgiven at a rate of 20% per year. You will also need to participate in post-project surveying at 2 months, 1 year, and 3 years after work has been completed.
All AIP program clients are required to pay a $12 fee to Habitat to cover the cost of recording the deed restriction with the Shelby County Register of Deeds. All persons listed on the deed and mortgage must sign the deed restriction, as well as other required documents.
| Time in Home AFTER AIP Work Completed |
Grant Repayment Amount |
| Up to 1 year | 100% |
| 1-2 years | 80% |
| 2-3 years | 60% |
| 3-4 years | 40% |
| 4-5 years | 20% |
| 5 years or more | ZERO |
What happens after work is done?
Project managers from Habitat will do a final inspection to make sure work has been completed properly. When all work has passed final inspection, you will sign a certificate of completion. Habitat will contact you 2 months later to complete a brief survey about your experience with the AIP program. Additional surveys will be conducted 1 year and 3 years after work is completed. These surveys help us improve the program and measure its impact so we can help more senior citizens.