Homeownership
Access Fund
The median income for White households, $77,843 in 2019, isnearly double the median income of Black households ($41,570)
and Native American households ($40,051).
Source: Federal Reserve Bank of Minneapolis, 2021

76% of white Minnesotans are homeowners compared to 49%
Indigenous Minnesotans and a mere 26% for Black Minnesotans.
Source: Minnesota Housing, 2021

In Minnesota, the median net worth of White households is$211,000, compared to the median net worth of $0 for Blackhouseholds.

The NEED
Minnesota has one of the highest overall homeownershiprates in the country. Yet, the racial and ethnic
homeownership gap is the fourth-worst in the nation.
Black homeownership rates were higher in the 1950s
than they are today, while white homeownership rates
have remained stable. The racial homeownership gap has
a direct impact on Black and Indigenous wealth and longterm economic and social opportunities. Additionally,
because many Black and Indigenous households are
first-time and first-generation homebuyers, they often
do not have the advice, support, or financial safety netthat many white homebuyers have.

Source: Federal Reserve Bank of Minneapolis, 2021

In the Twin Cities, Black homeownership rates have declinedby 31% since the year 2000, despite the number of Blackhouseholds growing by 30,000.
Source: Urban Institute, 2021

whiteBlack

Indig.

Mortgage denials by race: white Minnesotans 6%, Black
Minnesotans 13.4%, and Indigenous Minnesotans 24.8%.
Source: Federal Reserve Bank of Minneapolis, 2021

The Homeownership Access Fund is fully fundedby private donations and grants. In 2023, Urban
Homeworks will give five $20,000 loans to firsttime homebuyers. Through private investment,
our goal is to grow the fund to 20 loans of $20,000
by 2026. Contributing to this fund is a powerful
way to invest in repairing centuries of racial
discrimination with direct benefit to communities
who have been left out of homeownership for far
too long.
Support the Homeownership Access Fund atwww.urbanhomeworks.org/donate.

Our Solution
To help repair egregious disparities, Urban Homeworks is piloting
a new program called the Homeownership Access Fund thatwill serve first-time, Black or Indigenous homebuyers in North
Minneapolis by providing pre-purchase homebuying education,$20,000 in forgivable down payment assistance, and postpurchase support to ensure long-term success and stability.
In 2023, The Homeownership Access Fund (HAF) began accepting
applications from first-time homebuyers who live in or have been
displaced from specific neighborhoods in North Minneapolis andwho plan to buy a home in these neighborhoods. Priority is given
to UHW rental residents, while also marketed through Northside
Achievement Zone and other local partners.
Funded through private donations and implemented in partnershipwith U.S. Bank West Broadway, the HAF program will reduce
systemic barriers at every step of the homebuying process, frompre-purchase coaching to direct financial assistance to postpurchase support. UHW’s down payment assistance is flexible
with few restrictions. Funds may be used for down payments or
closing costs, any type of home (single-family, townhome, coop, etc.), any mortgage lender, conventional or FHA loans, andin combination with other forms of financial or down payment
assistance.
Funds will be forgiven after the homebuyer lives in their new
residence for five years. To ensure this long-term success,
UHW intends to create programming to provide support for
new homeowners around budgeting, home maintenance, andproviding community connections.

Designed withCommunity in Mind
Eight years ago, Angela and her kids left
a precarious living situation and moved
into an Urban Homeworks rental homewith determination to create stability for
their family.
“When I came to Urban Homeworks,
I was in a real tough spot in my life.
I had just kicked the habit. I moved
from a house that was infested withbedbugs…I moved with one bag ofclothing for my kids and me, and thatwas it,” Angela remembers.
There were still challenges after finding
stability through Urban Homeworks,
but having a supportive network ofresources and a responsive landlord
had a significant impact. Urban
Homeworks partnered with Angela
in her journey while she maintained
stability through Covid-19 sickness, jobloss, the uprisings, and more.
Through all of it, Angela’s determination
endured. Her drive led her to a position
as a Family Achievement Coach forNorthside Achievement Zone. Now she isactively pursuing her goal of becoming
a homeowner. In the past year, Angela
completed homeownership readinesscourses through UHW’s partnershipwith Build Wealth, her dream ofhomeownership nearly realized.
The Homeownership Access Fund was
specifically designed with people like
Angela in mind. We are determined to
repair decades of disparities by helping
by helping neighbors like her purchasetheir first home.