AZTEC, N.M., June 9, 2010 (GLOBE NEWSWIRE) -- When the WhiteHorse family did not qualify for the Economic Council Helping Others Inc. (ECHO) housing program in 2005, they did not give up. Since then, the WhiteHorses have worked hard to reduce their personal debt and improve their credit in hopes to reapply for assistance.
Gino and Penny WhiteHorse have three children of their own and are foster parents to two children. For four years, they rented a home that was too small and were desperately trying to become owners of a larger home that could accommodate their family.
In the meantime, the ECHO housing program, Home Ownership Problems Eliminated (ECHO HOPE), was restructured. Originally, ECHO HOPE was involved with a USDA Mutual Self-Help Program to assist families with building their own home. ECHO continues to work with the USDA, but now also partners with Four Corners Community Bank to obtain Home Equity Leverage Partnership (HELP) grants from the Federal Home Loan Bank of Dallas.
HELP, a first-time homebuyers program available through FHLB Dallas member institutions, such as Four Corners Community Bank, provides grant funds to assist income-qualified, first-time homebuyers with down payment and closing costs on a newly constructed or existing home. In 2010, FHLB Dallas set aside $3 million in HELP funds to provide eligible recipients up to $5,000. The amount may be increased up to $7,000 if a member financial institution or another mortgage lender contributes at least $350 towards costs associated with providing the mortgage to the homeowner.
When the WhiteHorses reapproached ECHO for assistance, they qualified for the ECHO HOPE program and a $5,000 HELP grant, one of the first HELP grants awarded by ECHO and Four Corners Community Bank.
"This was one of our first HELP grants to facilitate, and it was very exciting that the WhiteHorses were the recipients," said Leslie Schnell, compliance officer at Four Corners Community Bank. "This family does so much for our community, and they deserve every bit of help we can provide. By owning their own home, they are able to provide stability for their family and especially for their foster children. We are so happy that the HELP program has been such a great fit for ECHO's needs."
Rosalyn Fry, housing director at ECHO, explained that ECHO processes its homebuyer mortgages through a USDA 502 direct loan. Therefore, Four Corners Community Bank does not receive additional business by facilitating the FHLB Dallas HELP grants.
"Four Corners Community Bank is a tremendous partner for us," said Ms. Fry. "We are very fortunate for this partnership. Four Corners Community Bank is solely doing this to help our community, and it has already been a great success."
Once qualified for the HELP grant, the WhiteHorses immediately enrolled in the required first-time homebuyer education course, which is offered free by ECHO. During the course, they learned about the Individual Development Account (IDA), another program that had recently been implemented by ECHO. The WhiteHorses were also eligible for the IDA program and completed an additional 20 hours of required financial literacy education.
"The WhiteHorse family is a true success story for ECHO HOPE," said Ms. Fry. "We were fortunate to pull together so many resources to help this family."
In addition to the HELP grant and the IDA, ECHO was able to qualify the WhiteHorses for an $8,000 subsidy from the HELPING HAND Program through the New Mexico Mortgage Finance Authority. With assistance from all three funding sources, the WhiteHorses were able to build a 5 bedroom, 2 bathroom house in Aztec, New Mexico, with $18,000 in equity. The WhiteHorse family moved into their new home before the holidays in December 2009.
"The pride they felt was apparent on their faces," said Ms. Fry. "The experience of owning their own home was overwhelming to Penny, who cries tears of happiness every time we talk. This family is now building assets and participating in all the advantages of homeownership."
ECHO is hosting an open house on Wednesday, June 16, in the Pioneer Heights subdivision at 3372 J. F. Scott Street in Aztec. The event will take place from 5:00 p.m. to 7:00 p.m. It is a statewide event that will showcase ECHO HOPE's program in San Juan County and highlight the recent first-time homebuyers assisted by ECHO. Terry Brunner, state director for USDA New Mexico, will speak about the importance of ECHO and the rural development program. A hard hat tour of the homes will follow after Mr. Brunner's presentation.
For more information regarding the ECHO open house, please contact Rosalyn Fry, Ryan Downey or Herman Sedano at 505-325-7466.
For more information about FHLB Dallas and its programs, contact the Corporate Communications Department at 214.441.8445.
About ECHO
The Economic Council Helping Others Inc. (ECHO) was established in 1967 in Farmington, New Mexico, as a 501(c)-3 nonprofit that administers numerous programs throughout the northern half of New Mexico. Its services include a variety of food programs ranging from USDA Commodity Food Programs to individual emergency food assistance, an emergency financial assistance program, a full-service pre-school, and the ECHO HOPE (Home Ownership Problems Eliminated) housing program, which is the only affordable housing program available in San Juan County to assist qualified recipients for low-interest USDA mortgages. ECHO also offers free first-time homebuyer and financial literacy classes and assists with setting up Individual Development Accounts (IDAs) for qualified recipients. For more information about ECHO and its programs, please contact Rosalyn Fry, Ryan Downey or Herman Sedano at 505-325-7466 or visit echoinc.org.
About the Federal Home Loan Bank of Dallas
The Federal Home Loan Bank of Dallas (FHLB Dallas) is one of 12 district banks in the FHLBank System created by Congress in 1932. FHLB Dallas, with total assets of $58.7 billion as of March 31, 2010, is a member-owned cooperative that supports housing and community development by providing competitively priced loans and other credit products to more than 900 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico and Texas. For more information, visit the FHLB Dallas web site at fhlb.com.
The Federal Home Loan Bank of Dallas logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=3013