Independence Day: Is the American Dream of homeownership still alive?

For many, the 4th of July is about independence, freedom and self-reliance, and little embodies those values better than homeownership. It is the American Dream – buy your own home and raise a family in it. But that dream is falling out of reach for many average Central Floridians because of the mounting housing crisis in the region.

“People are moving down here, paying for homes with cash and taking inventory off the market,” said Penny Seater, CEO of Habitat for Humanity Seminole-Apopka. “You really see it in first-time entry-level inventory homes. That inventory almost doesn't exist in new construction now.”

What will that mean to potential homebuyers during the upcoming busy summer buying season?

Inventory and cost are a perfect storm of disruptive forces this summer. The median sales price of a home in Orlando was $385,135 in May, up almost $20,000 from a year ago.

And although the number of new listings in Metro Orlando in April spiked from 4,230 to 4,521, there is only 3.4 months worth of inventory -- well below the six-month supply that is recommended for a balanced market. So, homebuyers should expect competition, especially if they are entering the market for the first time.

Rental properties offer little relief. The National Low Income Housing Coalition reports that the 19 percent cost-of-rent increase in Orlando in the past year was the highest in the nation. In Central Florida, rent on a three-bedroom apartment (the size many growing, young families need) is now more than $2,000 a month. In many areas, individuals are paying almost $400 more monthly than they were 12 months ago for the same apartment.

All of this adds up to a sobering perspective: Fewer and fewer people do not get to achieve that American Dream of home ownership.

Habitat for Humanity is a solution for some families.

“Our mission at Habitat for Humanity Seminole-Apopka is more important than ever,” said Seater. “The market has challenged us, yes. It is more difficult and expensive to get the supplies and labor we need, and we have had to adjust. But we won’t compromise our mission or the people we serve. People like Calesha Flores.”

Flores works in internet tech support, but she struggled with homelessness for a time. She was living at the Orlando Rescue Mission when she found out about the Habitat for Humanity homeownership program.

“All we did was paint a picture for Calesha,” said Seater. “She followed the numbers. It wasn't easy but we showed her a path. Some people assume that Habitat homes are free. That is not the case. Our homebuyers have to qualify, take mandatory financial-preparedness classes, put in sweat equity hours building their homes, and they take on mortgages at a reduced rate.

Flores said, "It's not a gift. It's an opportunity to survive within your income. When you go through homelessness and not just homelessness but homelessness with children, you can lose hope watching weeks turn into months and months turn into a year. But with a little help from Habitat for Humanity, I have achieved my American Dream, and my family will spend our 4^th of July in the first home we have ever owned. We no longer have to search for places to lay our beds at night, places that were sometimes not safe for me and my girls."

Calesha and her daughters will celebrate the July 4th holiday like most Americans, with hot dogs, fireworks and a barbeque. What will be different is a new sense of the liberating freedom that comes with owning that plot of dirt underneath your feet.

Those interested in a Habitat home can find out how to qualify and apply at: https://www.habitatseminoleapopka.org/apply

About Habitat for Humanity Seminole-Apopka

Envisioning a world where everyone has a decent place to live, we offer people earning low to moderate incomes a homebuying program with affordable mortgage solutions. Our approach is to partner with businesses, the faith community, local organizations, and our future homebuyers to build and sell affordable new homes to individuals and families who are otherwise unable to attain the American dream. In addition to homes, we build communities and hope as well as the strength, stability, and self-reliance that come with buying a decent home for one’s family and future. We are proud to be the “Hometown Habitat” in Central Florida for the citizens of Seminole County and Greater Apopka in Orange County.