GULFPORT, MS - As the national credit crisis and the ongoing effects from the devastation of Hurricane Katrina continue to impact South Mississippi, realizing the dream of homeownership remains unachievable for many Gulf Coast residents.
However, Gulf Coast Renaissance Corporation is continuing to offer some encouraging solutions. The nonprofit organization, focused on providing affordable workforce-housing solutions for the six southern counties of the state - Pearl River, Hancock, Harrison, Jackson, George and Stone counties - unveiled a new, long-term, stimulus-style program at a press conference in Gulfport called MyHome MyCoast.
Through MyHome MyCoast, thousands of individuals who previously could not qualify for a residential mortgage, or found the challenges of real estate costs prohibitive, can now attain the dream of homeownership.
Following Hurricane Katrina in 2005, thousands of Coast residents lost their jobs, their homes, and in some cases, both, causing them to rely heavily on credit, often weakening their credit rating. That fact, combined with the increased tightening of mortgage lending requirements, has created a cycle of financial problems to which many residents could find no end.
"I believe MyHome MyCoast will help spur the housing market and economic growth through development of permanent, affordable workforce housing in South Mississippi. This innovative program responds to a tremendous need by bringing together public and private sector partners, all of whom have a huge stake in our state's continued recovery from Hurricane Katrina," said Mississippi Governor Haley Barbour.
MyHome MyCoast is a perpetual fund that will leverage $40 million in Community Block Development Grant money, sourced from Mississippi's $5.4 billion federally funded Hurricane Katrina recovery package, along with $40 million committed by a select group of respected local lending partners for a total fund of $80 million.
Individuals with a household income up to 120 percent of the AMI (area median income), who have not owned a home in the program's six coastal counties in the previous six months or were displaced or affected by Hurricane Katrina, as well as new residents to the program's six coastal counties, are applicable for MyHome MyCoast.
MyHome MyCoast participants will benefit from the program's lending partners' 30-year fixed rate mortgages, as well as a zero-percent interest on a second mortgage funded by MyHome MyCoast. Approved applicants are also eligible to receive a down-payment-assistance grant and a one-time grant for closing costs of up to $3,500.
"The financial assistance provided by MyHome MyCoast alleviates some of the burden on individuals and families trying to achieve homeownership," said Kimberly LaRosa, president and CEO of the Gulf Coast Renaissance Corporation. "Key to the program's long-term success is the strong counseling requirement, which prepares applicants for obtaining a mortgage, the rewards of homeownership and prevention of foreclosure. We will give our applicants the skills, resources and opportunity to achieve the dream of purchasing a home and long-term security for their families," said LaRosa.
"Through the support of Governor Barbour and his staff, the Mississippi Development Authority, Gulf Coast Housing Director Gerald Blessey and Enterprise Corporation of the Delta, as well as the commitment of our local lenders and other partners, Gulf Coast Renaissance Corporation is making a real difference in closing the area's affordable workforce-housing gap," said Anthony Topazi, Chairman of the Renaissance Corporation. "It has taken dedication, coupled with countless hours of hard work by the Renaissance staff - lead by CEO and President Kimberly LaRosa - to create MyHome MyCoast, a program that will change lives and create a more prosperous, viable Gulf Coast."
Source: Gulf Coast Renaissance