Housing in Los Angeles is so expensive that only four in 10 households
own their own home, compared with the national average of nearly seven
out of 10 households. And in the city's low-income neighborhoods,
the homes often are in disrepair. Local community-based organizations
have been struggling to find ways to increase homeownership opportunities
for low-income families but lack the ability to acquire homes at sufficient
scale to make widespread changes. The Enterprise Home Ownership Partners
program is designed to overcome these challenges.
Enterprise Home Ownership Partners work in two ways to provide affordable homes, first by purchasing properties from
the federal government in specified regions within the city of Los
Angeles. Secondly, by acquiring property within the city of Los Angeles for the development of new townhomes. Enterprise Home Ownership
Partners borrowed $32 million from The Enterprise Foundation for acquisition
and rehabilitation costs.
Rehabilitation of the homes
is substantial, reducing the risk of expensive home repairs for new
homeowners. The completed homes are energy efficient and will have
three bedrooms and two bathrooms, whenever possible, to meet the needs
of the city's larger families. The new townhomes will be both two and three bedrooms, energy efficient and meet all LAHD requirements. All homebuyers are required
to complete certified homebuyer-education courses. Affordable loans are available
to make homeownership possible for very low-income families.
The following organizations are participating in this program through
loans and grants ranging from
$1 million to $8 million: Bank of America,
Broadway Federal Savings Bank, The California Community Foundation,
Citigroup Bank, Fannie Mae, Ford Foundation, Manufacturers Bank, Mellon
First Business Bank, Merrill Lynch, Washington Mutual, and Wells Fargo.