New homeownership opportunities are on the horizon for communities in three states with the support of New Markets Tax Credit (NMTC) allocation from The Housing Partnership Network, Inc. (HPN). The NMTC transaction, which closed on April 9, 2025, will result in the development of 119 affordable homes by HPN member organizations Affordable Homes of South Texas, Inc., Atlanta Neighborhood Development Partnership, Inc., and Homewise, Inc. Each nonprofit housing developer is receiving a NMTC-funded loan, supported also by American Express NMTC Homeownership 2025 Fund, LLC as the NMTC investor and U.S. Bancorp Impact Finance. Smith NMTC Associates, LLC facilitated the closing to maximize the project’s community benefits, provides the recapture guaranty, and will work closely with each project on compliance and impact reporting over the 7-year compliance period.

The Housing Partnership Network is an award-winning business collaborative of 100+ of the nation’s leading housing and community development organizations. HPN facilitates peer-to-peer learning and promotes policy and practice that is based on the proven experience of some of the nation’s most successful nonprofits. Through its unique networked approach, organizations and leaders accelerate and scale innovation to more rapidly respond to changing market challenges and opportunities. Together with its members, HPN has developed, rehabilitated or preserved 500,000 affordable homes and has provided homebuyer education and counseling for 1.3 million families.

Homeownership is Economic Development

In addition to providing quality, affordable homeownership opportunities that support household stability and intergenerational wealth creation, the communities in which these projects are located benefit economically:

• Building and rehabbing homes for sale creates construction jobs and training opportunities, and bolsters businesses that support the construction industry.

• Quality affordable housing is necessary for workforce development – businesses and companies need housing for their employees.

• The construction and sale of homes improves the local economy through job creation, construction fees, property and sales taxes, and consumer spending because homeowners generally have more discretionary income than renters.

• Home equity is the largest asset households can leverage to start businesses, invest in training or higher education, and prepare for financial emergencies.

• Homeownership contributes toward better health and education outcomes, especially for children; and homeownership also promotes civic and social engagement.

Customized Homeownership in the Rio Grande Valley

With a $7.76 million NMTC loan (QLICI), Affordable Homes of South Texas, Inc. (AHSTI) will build 54 new single-family homes in 5 different subdivisions across Hidalgo County. Homebuyers will be able to select interior and exterior colors and features to customize their new homes. This project increases the availability of affordable housing, while also enhancing community stability and promoting homeownership in underserved areas – aligning with AHSTI’s commitment to enhancing living conditions and fostering economic growth in the Rio Grande Valley. Hidalgo County is one of the poorest counties in the nation: due to low wages for those employed in agriculture, retail, food service and hospitality; 42% of renters are cost burdened by paying 30% of their wages for rent, and the remainder of renters are severely burdened by paying 50% of their income for housing. Homebuyers will also have access to affordable mortgage products, comprehensive pre- and post-purchase financial counseling, and homeowner education like basic home maintenance skills.

photo #1 above: A happy household previews their future home.

Preserving Affordability & Increasing Homeownership in Atlanta

With a $9.7 million NMTC loan, Atlanta Neighborhood Development Partnership, Inc. (ANDP) will acquire 35 vacant single-family homes from large-holding rental investors to rehab and sell affordability to low-income homebuyers across multiple neighborhoods in Atlanta, Georgia. ANDP is a thought leader regionally and nationally on preserving and creating affordable homeownership opportunities. Market conditions in the metro Atlanta area, including higher debt costs and the opportunity to take an investment windfall from market appreciation have led to institutional single-family investors selling off rental homes – creating a unique opportunity to increase affordable homeownership opportunities. The goal is for all homebuyers to have a safe, move-in ready home. ANDP’s efforts will provide lower income families with stable homeownership opportunities, easing neighborhood displacement.

photo #2 above: A previously vacant three-bedroom and three-bath rental home is now renovated and available for purchase in DeKalb County.

A New Community Takes Shape in New Mexico

With a $8.73 million NMTC loan, Homewise, Inc. will develop 30 townhomes as part of a new community development named Sombra del Oeste. Located in the southwest quadrant of Albuquerque, New Mexico, Sombra del Oeste will be a new mixed-income residential community with a variety of two- and three-bedroom homes. Residents will have access to desirable amenities like the city’s largest open space system via the adjacent rail-to-trail Amole Arroya Corridor, to employment centers via the nearby interstate I-40, and to nearby stores. The neighborhood is also located next to Solare Collegiate Charter School, a high-performing charter school serving grades 5 through 8. The townhomes are located in an area where the poverty rate is 20.8% and the AMI is 71%. Most of the planned townhomes will be sold to households earning 80% AMI or below. Homewise provides potential homebuyers with one-on-one financial coaching and guidance, real estate services and lending, and post-purchase support to ensure that new homeowners are successful.

photo #3 above: Groundbreaking featuring (left to right) Homewise Chief Government Affairs Officer Lisa Huval, Solare Collegiate Charter School Director Rachael Sewards, U.S. Representative for New Mexico 2nd District Gabe Vasquez, Homewise CEO Mike Loftin, and a representative of Housing New Mexico.