FirstBank has committed to a $10 million investment in The Housing Fund for the organization’s Shared Equity Program of affordable housing. The Shared Equity Program allows for sustainable, continuous affordable housing solutions through renewable single-family homes.
More Details on The FirstBank Investment
“At FirstBank, one of our main priorities is community, and we know the importance of giving back to the communities we serve,” said Chris Holmes, President and CEO of FirstBank. “FirstBank fully supports the mission and vision of The Housing Fund, and we are grateful for the opportunity to partner with them through their Shared Equity Program, which will go a long way toward equipping Tennesseans with financial stability and security.”
“We are thankful for FirstBank’s partnership and for this generous investment,” said Marshall Crawford, President and CEO of The Housing Fund. “Our ultimate goal is to break the cycle of poverty for families across Tennessee, and we know that means creating access to wealth-building opportunities through homeownership. FirstBank’s investment will play a major role in helping us reach our goals through leveraging additional capital, preserving and maintaining existing affordable housing, and creating new affordable housing options in Nashville and across the state.”
The Shared Equity Program allows for sustainable, continuous affordable housing solutions through renewable single-family units. It is designed for homes to be purchased by and eventually resold to low- to moderate-income individuals and families, constantly renewing the available affordable housing stock.
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“We are privileged to see firsthand the tremendous, positive impact that owning a home can have on an individual or family,” said Calvin Dunning, Vice President, Fair Lending and CRA for FirstBank. “The Housing Fund has been instrumental in creating affordable, sustainable housing solutions. FirstBank is committed to doing our part to help ensure our neighbors have access to these ownership opportunities.”
Homebuyers in the program are only required to provide 1 percent of the purchase price, with 25 percent contributed by The Housing Fund and the other 74 percent coming from a FirstBank loan. Once the homeowner is ready to move on, they can sell it only to another qualified low- to moderate-income buyer affiliated with The Housing Fund. At closing, The Housing Fund gets back its 25 percent contribution at 0 percent interest. Any appreciation in value is split between the seller and The Housing Fund, which then reinvests that money back into the home by helping the next buyer with a 25 percent contribution toward their purchase.
About The Housing Fund
Since its incorporation in 1996, The Housing Fund has assisted over 3,900 first-time homebuyers receive over $29 million in down payment assistance loans, as well as provided more than $60 million in financing to assist individuals and organizations purchase, rehabilitate, or construct homes for low- and moderate-income families. THF has lent over $89 million, which has leveraged over $500 million in private financing for more than 6,000 units.
Nashville-based FirstBank, a wholly owned subsidiary of FB Financial Corporation (NYSE: FBK), is the third largest Tennessee-headquartered bank, with 82 full-service branches across Tennessee, South Central Kentucky, Alabama and North Georgia, and a national mortgage business with offices across the Southeast. The bank serves five of the major metropolitan markets in Tennessee and, with approximately $11.9 billion in total assets, has the resources to provide a comprehensive variety of financial services and products.