This story was reported and written by WHRO media partner Williamsburg Watch.
C&F Mortgage pitched Williamsburg City Council Monday on a joint partnership with the city, William & Mary and the Community Foundation to provide $2.7 million in grants to support the city’s affordable housing efforts.
The city set aside $900,000 several years ago to support an affordable housing program, which could be used for the proposal, City Manager Andrew O. Trivette said. Council members expressed support for the idea at their work session Monday, but did not commit.
The proposal is still in its early stages. C&F Chief Business Development & Information Officer Natalie Zvanya told council that the mortgage group had not approached either the university or the foundation to discuss the idea.
The mortgage lender is proposing a multi-layer approach that includes educating potential homeowners, helping them obtain federal and local grants, and guiding them through the home-buying process.
Zvanya said that even if new buyers can find a house they can afford to buy, they are often deterred by high interest rates and the initial down payment.
Potential homeowners also need to be educated on the process, which is part of the program C&F is proposing.
“People don’t even know where to start,” she said.
C&F proposed the city use its $900,000 in funding to provide $5,000 to $10,000 grants to first-time buyers. That money would be disbursed as a note with a deed of trust and repayment requirements, she said.
C&F would provide a half-percentage-point credit toward closing costs, up to $5,000 per loan.
The lender is proposing William & Mary’s grant be offered solely to staff and faculty.
But Zvanya told Mayor Douglas G. Pons that if the university and foundation choose not to participate, the city could work with C&F using only its grant money.
C&F developed a marketing campaign dubbed “The Williamsburg Way Home” that would be featured on a website linked to the city and the university’s websites. The campaign would be pushed on social media and direct mail, Zvanya said.
The program would make experts available to walk new buyers through every step of the home-buying process, free educational resources and public educational events, she said.
