In the Spotlight Greater Kansas City LISC and the Family Conservancy have teamed up to help low-income families save for first-time homeownership or minor home repairs. A $50,000 grant from LISC enables the Family Conservancy to offer the Family Asset Building (FAB) program to the NeighborhoodsNOW communities of Blue Hills, Ivanhoe and Scarritt Renaissance.
The FAB program helps families build wealth through Individual Development Accounts (IDAs). The accounts offer a match savings incentive that helps families save more effectively. Each dollar deposited into an IDA is matched by the FAB program with two dollars, tripling the savings amount. The residents participating in the program are estimated to save a cumulative total of $63,000. Since its creation in 1997, the FAB program has helped over 800 individuals and families, including Deborah Dawkins, who offered her story as an example of the benefits of the program. In 2005, Dawkins enrolled in FAB to help her save money to buy her first home. Living as a tenant was a gamble and Dawkins was looking for the stability a home of her own would provide. "You never know if landlords are going to raise the rent," said Dawkins. “You might even get kicked out if they can’t take care of the rental property or if they don’t make their [mortgage] payments.”
“I probably would never have become a homeowner if it hadn’t been for the Family Asset Building program,” Deborah Dawkins, 2005 FAB participant.
Through the FBA program, Dawkins developed healthy saving habits. She made monthly deposits into her IDA, received required one-on-one financial counseling and attended several general financial education courses. The courses are based on the FDIC Money Smart curriculum and taught by unpaid volunteer staff and community leaders with expertise in homeownership, home repair and money management. “My instructors were very knowledgeable," said Dawkins. “Because I had never owned a home before, a lot of the stuff they were teaching was new to me.” After a year in the FAB program, Dawkins was ready to make her dream a reality. With her match savings incentive and solid financial knowledge under her belt, Dawkins was able to move into her very first home. "[FAB] helped me a lot," said Dawkins. "I probably would never have become a homeowner if it hadn’t been for the program."
Dawkins’ story is a prime example of how residents in the three NeighborhoodsNOW target areas can benefit from FAB, and she offered encouragement to others looking for financial assistance to reach their goals. “It’s a lot of hard work, but there are many advantages to the program,” said Dawkins. “If you stick with it, you too can achieve your dream.”
LISC, the Family Conservancy and neighborhood associations are marketing FAB to the target neighborhoods and look forward to helping more low-income families increase their wealth and enhance their quality of life. NeighborhoodsNOW - Increasing Family Income and Wealth
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