With a line of credit from Mercy Loan Fund, Mercy Housing Colorado (MHCO) developed an affordable home purchase program acquiring and reselling U.S. Department of Housing and Urban Development (HUD) foreclosed homes in the Denver metro area. The properties are made available at a discount to HUD certified nonprofits which can sell the homes at HUD restricted prices to income qualified buyers, targeting households at or below 80% of Area Median Income.
Through the HUD program, MHCO offered homeownership opportunities to low and moderate income families who were priced out of the Denver market. Partnering with down payment/ closing cost assistance providers ensures that appropriate homebuyer education and foreclosure prevention counseling is provided.
For many, it’s an opportunity to be a homeowner for the first time in their lives. Such is the case with Thomas Vargas and Natalie Tapia and their three daughters, who purchased their first home in Commerce City, Colorado in July 2008.
“We’ve always lived in apartments or condos and the kids couldn’t play in the yard by themselves. We’ve never had a permanent place to stay and really call home” explained Ms. Vargas. “All we can say is ‘WOW’ – we’re so happy to have a place of our own now where our kids can have their own backyard and each of them gets their own room.” She went to say, “We’re so happy to have worked with Mercy Housing on buying our first home together.”
Since 2004, MHCO has purchased 130 homes from HUD across the Denver-metro area, fixed them up and put them back on the market at surprisingly affordable prices. Mercy Loan Fund is proud to be a part of this program that has made the dream of homeownership possible for many families, including Ms. Vargas’ family.