Rooted
Beyond the mortgage: Offer comprehensive support for first-time homebuyers
Actionable insights from our interview with Housing Resources, Inc.
Trena Bond, executive director of Housing Resources, Inc. (HRI), discusses the challenges first-time homebuyers face and how HRI supports them through comprehensive education, credit counseling and down payment assistance.
She highlights the critical role that nonprofit partnerships play in preparing mortgage ready borrowers, increasing homeownership retention through post-purchase support, and building long-term community stability.
For mortgage lenders, Trena’s story emphasizes opportunities to expand access to sustainable homeownership by collaborating with mission-driven organizations and investing in borrower education to build borrower confidence.
“I love seeing people learn how to purchase homes and then seeing those success stories of people actually getting in the homes. That's the part I love the most because there's nothing like seeing someone get their keys and knowing it's endless possibilities for them.”
6 key takeaways from the interview for community lenders
1. Empower first-time homebuyers through education & counseling
HRI offers comprehensive educational workshops and one-on-one counseling to guide first-time and low-to-moderate-income (LMI) buyers through credit challenges to homeownership.
Actionable insights:
- Partner with nonprofit counseling agencies with structured education and accountability plans (like HRI) to create a pipeline of credit-ready borrowers
- Refer applicants who are not yet mortgage ready to trusted counseling partners instead of declining outright, increasing your chances of earning their business in the future
2. Strengthen home retention with post-purchase support
HRI provides homeowner maintenance education, tool-lending libraries and foreclosure prevention counseling to ensure sustainable homeownership beyond closing.
Actionable insights:
- Develop or co-fund post-purchase education programs with nonprofits to support long-term borrower stability
- Partner with housing nonprofits or servicers to offer post-purchase resources and touchpoints to help borrowers navigate early homeownership challenges and avoid default risks
3. Address credit and financial literacy gaps early
Many HRI clients face poor or nonexistent credit and lack awareness of what’s needed to qualify for a mortgage, often believing homeownership is out of reach.
Actionable insights:
- Offer co-branded credit education workshops with housing nonprofits to demystify mortgage readiness
- Deliver soft declines to borrowers not yet ready with personalized “return to readiness” plans and nonprofit referrals
4. Build confidence alongside capital
A core barrier to homeownership is mindset – many prospective buyers don’t believe they can qualify or sustain ownership.
Actionable insights:
- Invest in storytelling campaigns that feature successful buyers from programs like HRI to inspire and inform hesitant applicants
- Train staff to recognize and support both emotional and financial readiness, reinforcing that ownership is attainable with assistance
5. Expand access with down payment assistance (DPA) and trusted partner networks
HRI connects buyers to DPA programs and to vetted local real estate, lending and inspection professionals to ensure a supported buying experience.
Actionable insights:
- Collaborate with nonprofits to streamline access to DPA programs and integrate them into pre-approval processes
- Create a referral network with mission-aligned professionals (agents, inspectors, etc.) who can understand and support first-time and low-income buyers
6. Support capacity-building in housing nonprofits
HRI is continually adjusting its breadth of outreach to better serve communities, highlighting the need for more resources and infrastructure.
Actionable insights:
- Provide financial support or volunteer expertise to help scale local nonprofits that serve your lending markets
- Engage in strategic planning efforts with housing counselors to align capacity-building with lending pipeline growth
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