The house itself was solid but had been badly fire damaged. Glen Eden parishioners worked hard to make it liveable, It was purchased for $80,000 in the name of the Catholic Bishop of Auckland, and a 25 year mortgage was arranged. The house has been administered since that date on behalf of the Bishop by an independent board.
Since the house was made liveable by the voluntary work of parishioners, and furnished by donations from parishioners, six families have been able to become debt-free, to save a deposit and to buy and move into a home of their own Our seventh family has recently moved in.
Why the scheme is necessary?
Many families cannot afford to pay market rents and, at the same time, save money for a deposit for a home of their own. Rising rentals, or sale of the rented premises by the owner, often force families to move to cheaper areas or double up with relatives, with resulting health problems and children forced to change from school to school and sometimes fall behind or even drop out.
Under our scheme, owning their own home becomes an achievable goal, and we can also sometimes provide financial advice which enables the family to get out of the debt, which would make a mortgage impossible. HOST does not give hand-outs. It works in partnership with families who must prove that they can be good tenants and reliable rent payers, and therefore viable future homeowners.
How the scheme works?
The selection of the families has been done by Monte Cecilia, though for the last vacancy we also invited , through the parish newsletter, local families with children to apply. We did not receive any applications. The only stipulation we have is that the family must include children and that, at the end of their time in Tahi Terrace, they must have enough income to support a mortgage.
The Home Ownership Support Team (HOST) signs them up to a standard tenancy agreement at market rental; they also sign a special, separate agreement which states that, provided the money is used as a deposit for their own home, HOST will reimburse the greater part of the rent they have paid. ( A portion of the rent is retained to help pay for the outgoings on the house). If the tenants breach the agreements, they forfeit their rights to the partial reimbursement of the rent paid. Rents have to be set at a realistic figure since proof of ability to regularly pay a substantial rent is required by a bank to grant a mortgage.
Through the generosity of donors , some of whom have been in the scheme since it began, we were able last year to pay off our own mortgage. Our other costs, such as maintenance, rates etc. have been, and continue to be supported by our donors. After 31 years in operation, our donor list has been shortened through death,, moving from the parish and change of circumstances, but we have been delighted to welcome new donors, which has enabled us to make some essential repairs and up-grades to the house. We are also very grateful to parishioners who provide voluntary work when required.
This project has made our parishioners a little more aware of the plight of families who would never achieve home ownership on their own. Your donations can make a difference. We would dearly like to have some new people join the scheme, whether as regular donors, as occasional workers, or to join the HOST management board.
If you would like to help, or to get further information, please contact the HOST team members listed below.[vc_row _parallax_=”false” show_title=”false”][vc_column width=”1/4″ show_title=”false”]