Associated Bank recently purchased $1.08 million in residential mortgage loans from Greater Green Bay Habitat for Humanity as announced at a news conference on May 16, 2014. This is the largest, one time sale of mortgages in Habitat’s history and the funds will pay for 10 new Habitat homes.
This is the second time Associated Bank has partnered with Habitat for Humanity to purchase the interest free Habitat mortgages. In 2005, Associated acquired $400,000 in mortgages.
“We are proud to partner with Habitat for Humanity,” said Scott Fecteau, Associated Bank residential lending director. “Associated Bank has created a longstanding relationship with Habitat for Humanity and we are happy that the funds will be put to great use helping others in the community.”
“We are grateful to Associated Bank for this historic opportunity,” said Jeff Johnson, Greater Green Bay Habitat for Humanity executive director. “This is the largest grouping of mortgages we’ve ever sold and the money will help us continue our mission of building quality, affordable homes for deserving families.”
In addition to the mortgage purchase, Associated Bank’s employees in Wisconsin volunteered 215 hours to Habitat.
“We have a strong commitment to the communities we serve,” said Tammy Stadler, Associated Bank Corporate Controller and local Habitat for Humanity board member. “Both through financial support and volunteering, the team members at Associated Bank help make our communities a better place to live and work. Associated colleagues will be thrilled to volunteer at the actual houses we are sponsoring. In volunteering with the Habitat board for the past three years, it has been a privilege to contribute my time and talent to assist in the organization’s success.”
Habitat for Humanity relies on several funding sources including charitable donations from businesses, foundations and community members, profits from the ReStore and mortgage payments from the partner family homeowners. “A common misconception is that we give homes to families,” Johnson said. “That’s not the case. We provide an affordable, interest free loan and the payments we receive from those loans help fund new builds.”
When the opportunity arises, Habitat will sell some of the mortgages and use the funds to continue its mission. “This mortgage sale expands our capacity to serve more families but we continue to need support from the community to help more people achieve the dream of home ownership,” Johnson said. “We’ll also need more volunteers to participate in the builds to reach our future goals and help more families achieve the dream of home ownership.”
To become a Habitat homeowner, partner families must go through an extensive screening process and are required to spend 300-500 hours working on their home during the build process. The family also attends educational sessions to learn more about managing finances and home maintenance.
Since its inception in 1987, The Greater Green Bay Habitat for Humanity has built 70 homes in the community and plans to serve 10 families in 2014.
News coverage from the news conference can be found here:
Press Gazette, WFRV (CBS), WGBA (NBC), WFRV CH 5, WLUK (FOX), WBAY (ABC)
Tammy Stadler and Scott Fecteau of Associated Bank present a check for $1.08 million in residential mortgage loans to Habitat’s Vern Peterson, board president and Jeff Johnson, executive director.