Assets for Independence Question of the Week

Question: Many of my participants are saving to buy a first home. What happens if they cannot locate an affordable home in our three-county service area or can get more for their money in another county? Do participants have to purchase a home in the same area from which we enroll?

Answer: AFI does not require that the asset purchase, in this case a home, take place within the same geographic boundaries as the grantee’s service area described in the project proposal. It may be, however, that a nonfederal funder would have such a limitation. For example, if a city or county jurisdiction is putting up some or all of the nonfederal cash contribution, then it might require that any home purchased with matching funds is within the city or county boundaries. It is good practice to clarify such issues with funders or other key partners as you design your AFI project so that you can clearly communicate any such restrictions to potential savers.

This article originally ran in the IDAresources.org Update Newsletter on 02/11/10 and is available for archival purposes.
For updated information on asset building and the AFI program, please see www.IDAresources.org.