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June 2005
14
City Program Helps Build Homeowners
SALISBURY POST
It's been said that home ownership defines the American dream. Four families
recently achieved that dream with assistance from Salisbury Community
Development Corporation (CDC).
It's been said that home ownership defines the American dream. Four families
recently achieved that dream with assistance from Salisbury Community
Development Corporation (CDC).
Open house was held recently at the new homes of Wendy Zech, left, and
the Brown family on West Fisher Street. Photo by city of Salisbury.
Friends, relatives, neighbors and city officials celebrated their hard work
at a joint open house in their new neighborhood on West Fisher Street.
The dreams didn't come easily. The Community Development Corp. set out a
challenging course for the families:
* Attend mandatory homeownership classes.
* Pay off all their debt.
* Save $1,000 for a down payment.
* Qualify for a home loan at a local bank.
"I did it all," said Wendy Zech, a teacher at Southeast Middle School. Like
Zech, the new homeowners are employed and pay rents that would be equivalent
to a mortgage payment but had been unable to secure enough funding for the
down payment.
That is where partnerships come in. The N.C. Housing Finance Agency partners
with the Community Development Corp. to provide down payment assistance as a
second mortgage. The second mortgage reduces the amount homeowners borrow by
20 percent and makes their mortgage payments affordable. The second mortgage
becomes due when the first mortgage expires.
Mayor Susan Kluttz offers a gift from the city to Nathan Brown, the son
of Jeff Brown, far left, as Wendy Zech and Deborah Walker watch.
In addition, because of Community Development's oversight, local banks —
Citizen South Bank, F&M Bank and First Bank — have agreed to provide
mortgage rates that are sometimes below market. Representatives from all
three banks were on hand to congratulate the homeowners at the recent open
house.
None of the new homeowners pays more than $650 for principal, interest,
insurance and taxes, on a fixed rate 30-year mortgage.
In addition to Zech, new homeowners are Torrance Stevenson and LaSheika
Byrd, Jeff Brown and Deborah Walker.
Zech and Brown have closed on and moved into their newly constructed homes.
Walker closed last week.
"I am so happy to be a homeowner," said Walker. "I hoped we could close May
21, my birthday, but we were delayed."
Stevenson and Byrd's home, designed by architect Karen Alexander, secretary
of the Community Development board, is still under construction. Closing is
expected in mid-July.
More than 100 people attended the open house, which included a tour of the
new houses, refreshments and entertainment.
Butler Builders of N.C. Inc. built the homes. Company owner Jimmy Butler
attended the open house.
"The difference in this corner is amazing," said Butler of what were once
vacant lots, woods and boarded homes. "Cooperation from the city of
Salisbury was incredible."
Butler will soon begin constructing two additional Community Development
Corp. homes to the east of the four.
Speakers at the open house included Fannie T. Butler, president of the West
End Community Organization, an advocacy group founded in her garage in 1971.
"We are a voice for residents in the area," said Butler.
Mayor Susan Kluttz, the other four City Council members and City Manager
David Treme also attended.
"I think this is one of the best things we can do as a city," Kluttz said.
Wendy Zech stands on her new front porch with Scott Eddy and architect
Karen Alexander.
Also attending the open house were Bill Bunting and Will Parry-Hill,
representing the N.C. Housing Finance Agency.
Prospective homeowners may learn more about the Salisbury Community
Development Corp. by calling 704-638-2154 or going online to
www.salisburycdc.org.
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