ATLANTA (AP) — Walking through the frame of his soon-to-be new home on a recent morning, an excited Ozzy Herrera could envision the future. A brown leather sofa to match the floors. Terra-cotta-colored walls. A bar cart near the kitchen.
Herrera, who works two jobs at Atlanta’s airport, never imagined he would own a home at the age of 27.
“It’s special. It’s magical,” he said.
In May, nearly 1,000 volunteers with Habitat for Humanity will complete Herrera’s new home and 23 other affordable housing units in Atlanta’s Sylvan Hills neighborhood for the 40th Carter Work Project.
The intensive, weeklong building sessions named after former President Jimmy Carter and his late wife Rosalynn have constructed roughly 5,000 homes in 14 countries since 1984. The project is returning to Atlanta for the first time since 1988, when the Carters helped construct 21 homes in another neighborhood.
Habitat is not just a homebuilder anymore
The Sylvan Hills construction also reflects a new shift into real estate development for Habitat for Humanity, which is celebrating its 50th anniversary this year amid a growing crisis in affordable housing and a broadening political battle over affordability more generally.
“The gap between what a family can afford and what it costs to create that unit of housing is the widest it has been in modern history,” said Jonathan Reckford, CEO of the international organization.
The nonprofit plans to serve as a developer on more of its projects because many smaller developers still haven’t recovered from the losses caused by the COVID-19 pandemic or have gone out of business altogether.
The Sylvan Hills project includes another first for Habitat
In Sylvan Hills, Habitat for Humanity is building on 8 acres (3 hectares) of land that it purchased in 2015. It also worked to get the site, which used to house a saw-blade manufacturer, rezoned for residential use. The 24 housing units will be a mix of single-family homes and townhomes, forming a new community called Langston Park. It’s the first time Atlanta Habitat for Humanity will build multifamily townhomes.
“We do believe it’s important to get the best use out of every precious piece of land that we’re able to acquire and come by so that we can serve more families,” said Atlanta Habitat for Humanity President and CEO Rosalyn Merrick.
The homes in Langston Park will cost about $200,000 each to build. The new homeowners will pay a monthly mortgage based on their income, but Habitat does not charge them interest. The goal is to eventually build 40 more homes on the site.
Phileena Daniel, 27, also qualified to buy one of the homes. She and her 7-year-old son have struggled with housing over the past two years, including living in a unit infested with rats and roaches. She’s grateful for the stability a permanent home in Langston Park will bring.
“You know, sometimes we don’t see ourselves going far in life as young Black women in this society,” she said. “This is giving us an opportunity to expand.”
Habitat’s shift earns praise
Habitat for Humanity’s move into community development is “a classic example of a nonprofit organization really trying to be responsive to community needs,” said Vincent Reina, urban economics and planning professor at the University of Pennsylvania.
“They can still be true to their core mission, which is advancing homeownership opportunities, but they are also acknowledging that we need a diverse set of housing solutions to really meet the needs of individuals,” said Reina, who is also founder and faculty director of the Housing Initiative at Penn.
High home prices and 30-year mortgage interest rates over 7% have made it impossible for even moderate-income households to afford a home in all but a handful of the 98 most expensive metro areas in the country, according to research published last year by Reina and Benjamin J. Keys, a Wharton real estate and finance professor.
That shift has made affordable housing a major issue around the country.
Congress steps in
In Congress, both the House and the Senate have passed different affordable housing bills. Lawmakers are working to reconcile differences to send a final bill to President Donald Trump for approval.
Trump has signed executive orders to reduce housing regulatory burdens and help smaller banks provide mortgages. His proposed 2027 budget, however, seeks cuts to the Department of Housing and Urban Development and the elimination of numerous community development programs that currently help cities build affordable housing.
Herrera is hopeful
Back in Atlanta, Herrera couldn’t stop thinking about all the possibilities homeownership could unlock. His mother had breast cancer, and she and his father could come live with him if the need arose. A low, stable monthly payment for housing would also help him pursue his goal of owning a coffee shop. Herrera said rising rents in the Atlanta area had forced him to move previously, taking time and money away from that project.
“Now, I can finally take some risks,” he said.
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Gamboa reported from Cleveland. Associated Press coverage of philanthropy and nonprofits receives support through the AP’s collaboration with The Conversation US, with funding from Lilly Endowment Inc. The AP is solely responsible for this content. For all of AP’s philanthropy coverage, visit https://apnews.com/hub/philanthropy.
Emilie Megnien And Glenn Gamboa, The Associated Press
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