Eliza Jimmie just moved into her new home in Northway. Becoming a homeowner was made easier and more secure for her by combining funding from two sources: Interior Regional Housing Authority’s (IRHA) Home Ownership Program (HOP) and the Bureau of Indian Affairs’ (BIA) Housing Improvement Program (HIP), which is administered in Interior Alaska by Tanana Chiefs Conference (TCC).
IRHA’s HOP Program assists eligible low-income Alaska Native households in obtaining a home built by IRHA, and BIA’s HIP funds a down payment or principal balance bolster for eligible households. For Eliza, the combination of these programs helps keep her mortgage payments lower; her housing situation is also sustainable well into her future.
- HIP funding focuses on down payment assistance for Alaska Natives and secures buyers lower mortgages and Annual Percentage Rates (APRs). TCC will assist with 30% of the total purchase price, capped at $75,000. Examples: If a house is priced at $200,000 x 30%, $60,000 is the assistance amount. If a condo is priced at $75,000, the funding at 30% is $22,500.
- HOP funding focuses on mortgage lending solutions for buyers struggling to secure loans under standard financing conditions. The program is a 20-year purchase agreement with IRHA to acquire a home through affordable payments. The repayment model varies depending on whether buyers reside in the rural or the urban Interior, but the function is to keep payments affordable for low-income families.
For TCC Tribal members, the HIP funding brings the possibility of home ownership to people in rural communities while still allowing them to subsist and continue the Indigenous way of life – practices that don’t yield high income amounts.
“This is a way for us to build brighter financial futures for our village residents without them having to leave home,” says Mitchell Shewfelt, Housing Program Manager at TCC, “And continuing our way of life, teaching it to our future generations, is more important now than ever.”
For Eliza, the combination of these two programs means she can continue to raise her family in Northway.
“My kids and I are beyond blessed and grateful to be able to stay in our village and have a home that will be here when they are grown,” she says, “We want to say thank you to TCC, IRHA, BIA, and NVC on the joint collaboration of effort to get us into our new home.”
Eliza is the first client in the history of TCC’s stewardship of HIP to be assisted by the program, although more applicants are still house hunting.
“Eliza’s home is the first collaboration between TCC and IRHA to buy housing together in our history,” says Shewfelt, “and we are looking forward to helping many more in this way.”
Although in Eliza’s case, the two programs operate together, Shewfelt emphasizes that the programs can be used independently of one another and encourages everyone to look at the application and reach out with eligibility questions.
Home ownership comes with many benefits, including decreased housing costs, more options for home customization, and the building of personal credit. If you are interested in applying for the Housing Improvement Plan program, you can learn more and apply at www.tananachiefs.org/services/housing, or call Mitchell Shewfelt at (907) 452-8251 ext. 3319.
Join us in building a brighter future, one home at a time!