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LOCAL BANKS SUPPORT HABITAT FOR HUMANITY'S RESPONSE TO THE FORECLOSURE CRISISBank of America, Federal Home Loan Bank San Francisco and Wells Fargo provide critical funding for foreclosure acquisition programREDWOOD CITY, CALIF., October 9, 2009 -- Habitat for Humanity Greater San Francisco today announced growing support from the banking community for its Neighborhood Revitalization Program (NRP), with three local banks stepping up to provide critical funding to acquire and rehabilitate blighted bank-owned homes in communities hard hit by the foreclosure crisis. Bank of America, Federal Home Loan Bank San Francisco and Wells Fargo will contribute financial support totaling nearly $275,000, helping Habitat to revitalize neighborhoods that have been destabilized by home foreclosures. This funding-$150,000 from the Bank of America Charitable Foundation, $60,000 from Federal Home Loan Bank San Francisco's Affordable Housing Program, and $62,500 from Wells Fargo-combined with community support, has enabled Habitat to purchase three bank-owned homes in the Belle Haven neighborhood of Menlo Park so far, with a fourth acquisition underway. Habitat expects to have 10 or more NRP homes within a year. The first NRP home was completed and dedicated on October 5, 2009. While the devastating effects of the mortgage crisis continue to reverberate through the housing market, Habitat's NRP gives banks the opportunity to support a solution-based approach, establishing pockets of success and creating responsible homeownership opportunities for local working families. As with its new-home construction model, Habitat's families selected for the NRP will help with the reconstruction and refurbishment of the homes as part of the standard sweat equity requirement. They access the same terms of Habitat's homeownership program, including no down payment and a zero-interest mortgage, to purchase their homes. They will undergo significant homeownership education and training, just as all Habitat families do, helping to keep Habitat's foreclosure rate at less than one percent locally and around the country. "The more I work on the house and see its progress, it's sinking in that one day we will move into this house," said Maria, a candidate homeowner. "Working on the house makes me appreciate all the hard work that the community has put into it." "In addition to their financial grants, some banks have provided us early access to their inventory of foreclosed properties and reduced prices for acquisition," said Phillip Kilbridge, Executive Director of Habitat Greater San Francisco. "They are also deploying scores of employees to provide hundreds of volunteer hours for the building and renovation efforts. We appreciate their support -- from entry-level employees through senior management." "Bank of America works closely with local nonprofits like Habitat for Humanity Greater San Francisco to help stabilize communities highly impacted by foreclosures," said Ann Thompson, Senior Vice President of Mortgage Retail Lending for the Bay Area. "The Neighborhood Revitalization Program helps protect communities against the blight of abandoned properties, while placing well-deserving families into these homes to preserve the economic and quality-of-life benefits of homeownership." "The Federal Home Loan Bank of San Francisco has supported Habitat for Humanity through our Affordable Housing Program since 1990," said Lawrence H. Parks, Senior Vice President, Legislative and External Affairs, FHLBank San Francisco. "We are pleased to participate in this important effort to rehabilitate these vacant homes and create new avenues to homeownership." Wells Fargo, in addition to its initial investment in the program, is assisting Habitat Greater San Francisco in the purchase of its fourth Menlo Park home, providing a 10 percent discount off the list price ($249,000) of the property. "Our collaborative efforts will fulfill more dreams of homeownership, and gives a big step forward in helping to revitalize Bay Area communities in need," said Wells Fargo's California Community Development Director Brenda Wright. Some Wells Fargo, Bank of America and Federal Home Loan Bank commissioned employees are even taking unpaid time off to volunteer on the construction site of Habitat Greater San Francisco's NRP homes. About Habitat for Humanity Greater San Francisco In addition to the NRP homes, Habitat for Humanity Greater San Francisco is currently building seven new homes at Whitney Young Circle in San Francisco and two homes on Parkview in Daly City. Contact:
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