A Four-Year, $3,875,000 Initiative of Business, Church & Community Groups Partnering with Working Families to Build Affordable Homes and Rebuild Neighborhoods in Rutherford County Building the Future Building HOMES Building TEAMWORK Building COMMUNITY 00012RutherfordCampaignBroch_update7_6_2012_1Press.indd 1 7/8/12 7:36 PM
Our Building Rutherford 2012 Campaign brochure. We're updating this with information for our Building Rutherford 2 campaign for 2015-16. For more information, visit our website: www.rchfh.org
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
A Four-Year, $3,875,000 Initiative of Business, Church & Community Groups Partnering with Working Families to Build Affordable Homes and Rebuild Neighborhoods in Rutherford County
Habitat for Humanity eliminates housing blight and replaces it with new energy efficient homes that add to the local tax base through increased property values and utilities.
House #99 (pictured left) was built on Hancock Street with 180 volunteers
over an eight-week period.
Building Rutherford is a four-year, $3,875,000 initiative of business, church and community
groups partnering with working families to build affordable homes and rebuild neighborhoods
in Rutherford County. Through this 2011 – 2014 initiative, Rutherford County Habitat for
Humanity (RCHFH) will expand homeownership opportunities by acquiring residential lots in
older sections of Murfreesboro, Smyrna and La Vergne plus developable tracts suitable for
small Habitat neighborhoods (5 – 12 homes) throughout the county.
The Building Rutherford initiative was developed using the comments and suggestions of
over 100 business, church and civic leaders interviewed as part of a study conducted by
ByrneAllen Corporation in 2010. The initiative represents the operational focus of RCHFH for
A Four-Year, $3,875,000 Initiative of Business, Church & Community Groups Partnering with Working Families to Build Affordable Homes and Rebuild Neighborhoods in Rutherford County
5
Brian ThurePresident
Taylor Farms Tennessee, Inc
Homeownership Level Pacesetter ___ $100,000
Leading the Build.We are committing our personal time and the financial resources
of our organizations toward accomplishing the goals of Building Rutherford.
We enthusiastically urge you to join with us, our employees and our members, and many other supporters of
Rutherford County Habitat for Humanity (RCHFH) as an investor in Building Rutherford.
Community Level Pacesetter $250,000+
Susan BrennanVP, Manufacturing Smyrna & Decherd
Nissan North America, Inc.
Terry HaynesGeneral Partner & CEO
Haynes Brothers Lumber
$40,000
Supporter Level Pacesetters
Joseph A. PeayChief Executive Officer Murfreesboro Medical
Holds the first mortgage and a "silent" second mortgage for the difference between the sales price (land and materials) and appraised value at closing. This second mortgage is reduced annually at no cost to the homeowner, building equity and ensuring the homeowner does not unreasonably profit from the market appreciation of the home.
Acts as escrow agent on the mortgage (collecting and remitting property tax and homeowners insurance)
Prohibits homeowner from leasing, subleasing, assigning or transferring the home
Prohibits homeowner from pledging the property as security,or further mortgaging the property
Retains a “right of first refusal” in the event the Habitat homeowner wishes to sell the home, allowingRCHFH to repurchase the home for the amount of a bona fide third-party offer, less the remaining mortgage balances.
Abides by Tennessee law that states that all contracts for home loans must contain the following restrictive covenant: This zero interest or low interest rate loan cannot be refinanced, replaced or consolidated without the prior, written approval of the local board of directors of the nonprofit lender which financed the loan so long as this initial, zero interest rate loan is in existence.
Requires homeowner to keep the property well-maintained and in good repair
Retains the right to repurchase the home in the event of the homeowner’s death
Restrictions After the SaleRutherford County Habitat for Humanity (“RCHFH”): After being selected by a committee of local Rutherford County
Habitat for Humanity (RCHFH) volunteers using a comprehensive
screening process, partner families must:
Complete 300 hours (single parent family) or 400 hours (two parent family) of “sweat equity,” including:
50 hours completing classes in financial budgeting and homeownership
250 hours working on the construction of their own home and or other Habitat homes
Purchase the home at the cost of construction (land and materials) through a 25-year, interest-free mortgage held and collected by RCHFH
Make timely monthly mortgage payments (principal, property taxes and insurance) of approximately $380 per month
Accept a second mortgage for the difference between the purchase price and appraised value of the home at closing. This second, “forgivable mortgage" or silent mortgage is reduced each year at no cost to the homeowner as payments are made on the first mortgage – building owner equity in the home.
The Building Rutherford initiative requires not only home sponsors,
but also a solid community commitment to build Habitat homes in
Rutherford County. Multi-year investments help fund the purchase of land
and building materials for additional Rutherford County Habitat homes.
Your organization will be welcomed as a Community, Neighborhood,
Homeowership, Woodworker, American Dream, or Supporter level investor
and accorded specific benefits and advantages.
Based on the level of investment, Building Rutherford investors are
given opportunities to provide labor to help build sponsored homes. Your
organization can structure this opportunity as a corporate team-building
exercise, community involvement or “volunteer day," church ministry activity
or just a fun day of helping neighbors help themselves.
RCHFH will help you take full advantage of the many benefits at your level
of investment in Building Rutherford and, of course, keep you informed
on all activities of RCHFH. We hope your investment will lead you to a full
Home Sponsorship at some future date. But for now, we would love to
welcome you as in investor in this important initiative.
Becoming a Home Sponsor is Easy
Rutherford County Habitat for Humanity (RCHFH) will lead you through the
planning stages, help you organize your volunteers, introduce you to your
Habitat family, schedule your build and assist you every step of the way.
Don’t worry that you’ve never built a house before (or even swung a hammer!),
we’ll help you, just like you are helping a hard-working Rutherford County family
realize their dream of homeownership.
If your organization has the financial means to sponsor a home but may not
have a sufficient number of volunteers, RCHFH can match your organization
with labor provided by another Building Rutherford investor organization.
Your support of Building Rutherford translates directly into homes built and lives changed far beyond Rutherford County.
Benefits of Investing in Building Rutherford
RCHFH offers sponsors the opportunity to direct their tithe to a specific country or region in which HFHI builds homes. If not directed, Building Rutherford tithes will be sent to Habitat for Humanity Mozambique, Uganda and Tsunami stricken areas for families in need and especially to build homes for families caring for orphans impacted by HIV/AIDS or other illnesses.
Building RutherfordReaches Far Beyond Rutherford County
RCHFH is an affiliate of Habitat for Humanity International (“HFHI”). As part of its affiliate agreement, RCHFH tithes a portion of its funding to HFHI to build homes for needy families in developing countries. When a Rutherford County Habitat home is sponsored, the resulting tithe is often sufficient to fund at least one additional home for a family in an impoverished country.
25 – Year Impact of 145 New & ExistingHabitat Homes
Local Government Fees & Taxes
City & County property tax (average annual taxes = $800 per home) $ 3,190,000 City & County recording fees (recording fees = $700 per home) 101,500
$ 3,291,500
Utilities
Electric (annual revenues = $1,200 per home) $ 4,350,000 Television (annual revenues = $720 per home) 2,610,000 Telephone (annual revenues = $360 per home) 1,305,000 Water & Sewer (annual revenues = $600 per home) 2,175,000 Water Tap Fees (tap fees = up to $5,500 per home) 797,500
Title Insurance Premiums 146,740 (average homeowner & mortgage premiums = $1,012 per home)
$ 3,589,740
Economic Impact of Rutherford County Habitat for Humanity
From our founding in October 1989 to June of 2012, Rutherford County Habitat for Humanity built 110 new homes in partnership with lower-
income, working families in our community. In Fiscal Year 2011-2012, nine new homes were completed.
Under the four-year Building Rutherford initiative, RCHFH will add 45 additional homes to the community. Soon totaling 145, Rutherford County
Habitat homes will continue to produce measurable economic benefits for local businesses, churches and governments in our community.
Over the course of the 25-year mortgages, 145 Rutherford County Habitat for Humanity homes will generate over $32,000,000 in economic benefits for our community:
Impacting Our Local Economy
Type of Economic Activity
Spending Generated Due to Savings from Rent (increased disposable income)
Groceries $ 1,832,859 Restaurants 971,395Household Furnishings and Supplies 1,177,267Clothing / Apparel 736,208 Vehicle Purchase & Operation 3,725,014Healthcare/Personal Care 1,852,846 Entertainment 1,085,324Education 210,536Life & Personal Insurance 94,608Savings & Retirement 953,406Other 1,280,536
$ 13,920,000 RCHFH homeowners pay a monthly mortgage payment of approximately $330, which is an average of $320 less than their previous monthly rent payment of $650. Spending figures are calculated using current spending habits of Rutherford County residents earning $25,000 – $30,000 per year.
A Four-Year, $3,875,000 Initiative of Business, Church & Community Groups Partnering with Working Families to Build Affordable Homes and Rebuild Neighborhoods in
Rutherford County
Rutherford County for Humanity is a § 501(c)(3) organization.