A growing number of families in central Arizona now have access to affordable housing, thanks in part to a unique arrangement between Habitat for Humanity Central Arizona (HFHCAZ) and Mutual of Omaha Bank.
Mutual of Omaha Bank recently purchased more than two dozen non-interest bearing mortgages originated by Habitat for Humanity, totaling approximately $740,000. HFHCAZ has been able to immediately use the funds as capital, investing the money to help further its mission to build, renovate and repair affordable homes in partnership with families in need.
In total, Mutual of Omaha Bank has purchased nearly 250 mortgages and contributed nearly $8.1 million in capital to HFHCAZ since 2009. HFHCAZ has used that funding to provide adequate shelter to more than 500 low income families throughout central Arizona. The nonprofit organization also has invested in new land, new developments, new Re-stores and new home repair programs.
“During one of the worst recessions in history, Habitat for Humanity Central Arizona has been able to grow and triple our volume, serving hundreds of families, thanks in large part to Mutual of Omaha Bank’s support,” said Roger Schwierjohn, president and CEO of HFHCAZ. “Surviving this economic downturn and housing crisis would’ve been even more challenging without access to this important capital. Today, Habitat for Humanity Central Arizona is a much stronger and more vibrant organization because of Mutual of Omaha Bank.”
As part of its mission to provide affordable housing for low income families, HFHCAZ works to keep costs low with volunteer labor and donated materials. Once a home is built, HFHCAZ then sells the home to the new owner by asking for a minimal down payment and offering a zero-interest mortgage.
By acquiring the mortgages, Mutual of Omaha Bank has provided HFHCAZ immediate access to capital, while ensuring the mortgages are serviced by a local nonprofit that specializes in mortgage lending.
“With Habitat’s significant presence in the Valley, we saw this as a great opportunity partner with a solid nonprofit organization who invests in the local community,” said Kevin Halloran, Arizona state president for Mutual of Omaha Bank. “We are well-positioned to support and service these mortgages and are proud to help such a great non-profit like Habitat.”
For more information about Habitat for Humanity Central Arizona, visit http://www.habitatcaz.org or contact Roger Schwierjohn at (623) 583-2417.