Self-Help Housing allows families to use their "sweat equity" as the down payment on the new home that they otherwise could not afford.
Self-Help Enterprises pioneered the concept of organized mutual self-help housing construction in the United States. With skilled onsite supervision of Self Help Housing construction staff, families participate directly in the construction of their own homes. The cost savings –"sweat equity" -provides the down payment on each home.
The participation of Self Help Housing in the process, is from start to finish. In predevelopment, staff works to market the program, provide homeownership training, develop building groups into effective teams, and assist eligible families in the submission of loan applications. Most often, mortgage loans are secured from the USDA's Rural Economic and Community Development Services (RECDS), the federal agency which also finances the costs of Self Help Housing's technical assistance.
Generally, 5 to 12 families are formed into a group which pools its labor and elects its own leadership. During the typical eight-month construction period, families dig and form their foundations, pour and finish the concrete, frame the houses and install doors, windows, electrical wiring and cabinets, lay floor tile and paint inside and out.
To be eligible, families must have a good employment history, clean credit, and the ability and willingness to meet the labor requirements. House plans are modest yet attractive, ensuring that participating homebuilders invest their labor and money into a home which will hold its value.
To date, Self Help Housing has completed the repairs of over 100 disaster related homes in Southeast Texas and has assisted in the building of over 15 homes with Mennonite Disaster Services and Habitat For Humanity.
