CFFC helping low income families into home ownership


 

Chantel Matthews and Rick Perawiti with sons Carter (left) and Zion. Taking a Sorted course was key to them becoming the first in their family to own a home.

CFFC is playing a key role in helping low-income families attain home ownership through shared equity schemes with organisations such as the Housing Foundation. 

As part of preparing to apply for a mortgage, families undertake one of the Sorted financial capability courses run by CFFC. The courses help people rethink their treatment of money and prompt behaviour change that helps them pay off debt, save a deposit and get into a position where they can service a mortgage.

They are then ready to enter a shared-ownership model where, for example, they buy a house built by the Housing Foundation, and the Foundation retains a 30%-40% stake. The family will gradually pay back the Foundation, which uses the money to build more houses for other families who might have thought home-ownership was out of reach. 

In April the first four families moved into shared-equity homes in Tāmaki through a scheme run jointly by the Tāmaki Regeneration Company, the Foundation and CFFC. One of the couples, Andrew and Julie Tasipale (left), say doing the Sorted course was critical in changing their thinking around money so they could get into a position to become the first in their family to become homeowners. 

"The Sorted course re-educated us, and changed our whole thinking," says Andrew. "There are a lot of families like ours who don't believe they can own their own place. But if you're paying market rent like we were then you can afford your own home. The Sorted course will show you how."

Another couple, Chantel Matthews and Riccardo (Rick) Perawiti credit the Sorted course they completed with helping them break the cycle of raising children in a low income environment.

"The course we did, Sorted ‘Ākara Mamao (Cook Island Māori for ‘See the Future’), was a turning point in the fortunes of our family," says Chantel. "I’m the first in my family to own my own home, and our kids will grow up seeing that as the norm. They will pass our teaching about money onto their children, so we’ve not only changed our lives, but the path of future generations.”

CFFC's General Manger of Community Programmes, Peter Cordtz, says the courses are run in partnership with organisations already working in their respective communities so they are culturally appropriate and organised in a way that suits that community's needs. 

"Māori and Pasifika families have the lowest rates of home ownership, but as we've seen in the shared equity solution, there are a variety of pathways to reach that goal. CFFC hopes to scale up our programmes to help more families in the future."