Being a homebuyer is a daunting experience. For most people, a home is the most important purchase they’ll ever make.

This was the case for Jennifer, a single mom of a high school and college student. About three years ago, Jennifer sought to purchase a home. Now that she is on the verge of ownership, Jennifer feels that financial literacy courses through Great Lakes Community Action Partnership’s Financial Opportunity Center (FOC) program have helped prepare her for achieving that goal. While Jennifer had previously owned a home, this was the first time that Jennifer would be seeking homeownership on her own.

“I’ve always done my bills and had money in the bank,” Jennifer said. “I’ve always been good at keeping a budget, but I never had someone watching over me or helping me stay accountable.”

Working with FOC Coach Devin Black, Jennifer found the support she needed to prepare for the homebuying process and stay accountable. While the FOC is available to anyone who wants to develop financial literacy skills, the program is especially helpful for first-time homebuyers, Devin said.

"Many prospective homebuyers look at the high cost of their rent and think that owning their own home would be cheaper, but there are a lot of added costs and responsibilities that must be considered," he said.

Devin said his role is to help potential homebuyers understand the added costs involved in owning a home, such as property tax, utilities, maintenance, and other expenses for homeowners, as well as up-front expenses such as closing costs and downpayments. Additionally, Devin helps first-time homeowners by:

• Explaining different loan types — USDA, VA, FHA, and conventional mortgages.
• Educating on what is covered through homeowner’s insurance.
• Encouraging clients to research different lending institutions from local credit unions to national banks to find a good fit.
• Emphasizing the importance of home inspections.

Whatever questions a person may have about homeownership, the FOC can help that person develop a plan that is unique to that individual’s needs. 

“Some financial literacy trainings can be generalized,” Devin said. “At FOC we can take an individualized approach and look at each person’s debt to income ratio, look over his or her budget, and assess the money that person has available for housing.”

Jennifer said the program has been very accommodating in meeting her needs, which has been helpful as she works as a substitute teacher/staff member at both Toledo and Northwood Public Schools.

“It’s very convenient to be able to meet, whether it’s in-person or over the phone,” she said. “It’s very flexible for whatever your situation is.”
“Devin has been helpful for teaching about things that pop up that first-time homebuyers don’t know,” she added. “He was able to help you plan for those kinds of things.”

Devin credits Jennifer’s efforts as being a large part of her success in FOC.

“She’s a great example of the whole idea that you get out what you put in. She is a great example of how far you can get with discipline and consistency,” Devin said. “She’s built up savings and paid down debts. It shows the power of buy-in to the program to achieve your goals.”

More information about GLCAP’s Financial Opportunity Center is available at www.glcap.org/foc or by calling 1-800-775-9767.