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October 20, 2009

East New York's Nehemiah Housing Proving Resilient

nehemiah_201009.jpgWhen the Nehemiah project launched in the 1980s, it sold houses to residents of East New York for as little as $39,000. The church-run program would buy abandoned, city-owned properties and erect inexpensive homes for residents that met the program's strict financial credibility checks. Nowadays, Nehemiah (named after the post-exile Biblical character who rebuilt Jerusalem) homes sell for as much as $120,000, but this is still well below market rates for similar properties. NPR profiled the organization this week, pointing out that the project has stringent financial checks to ensure that applicants are not involved in any criminal activity and to ensure that they will not default on their mortgages (applicants can spend no more than 20 percent of their income on the mortgage; no more than ten out of over 4,000 homes have been foreclosed in the program's entire history). Zandra Brockman, an applicant to the program, said the application process was worth the result: "Where else could we live at the prices we had?" she told NPR. "It was truly a blessing for us." The article adds that applicants who are rejected often organize their finances and re-apply later successfully. Sarah Plowden, who works for Nehemiah and also owns a home through the program, said: "We more than just bought homes. We bought into one another as a people."
Low-Cost Brooklyn Housing Sees Few Foreclosures [NPR]
Affordable Houses Infused With Color [NY Times]
Low-Income? You’re Kidding! [NY Magazine]




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Comments

the fact that the development is named after some ridiculous biblical character is sketchy as hell.

*rob*

Posted by: Butterfly at October 20, 2009 10:10 AM

quote:
applicants can spend no more than 20 percent of their income on the mortgage;

that figure is RIDICULOUS. i cant think of a single person not living on a giant trust fund who spends less than 20 percent of their income on their mortgage or rent.


*rob*

Posted by: Butterfly at October 20, 2009 10:13 AM


"stringent financial checks to ensure that applicants are not involved in any criminal activity and to ensure that they will not default on their mortgages"

Had banks and mortgage providers been similarly circumspect with regards to all buyers, we wouldn't be in the mess we're in now.

This program has been very successful. The areas in which these homes now stands were weed-filled vacant lots. Overall, the wide majority of these homeowners have kept their places in very well, and many have improved the properties beyond their original condition. As an ENY native, this has easily been one of the best things to happen in the neighborhood in my lifetime.

Posted by: East New York at October 20, 2009 10:16 AM

that's good to hear ENY.

*rob*

Posted by: Butterfly at October 20, 2009 10:19 AM

Great program! Wish there were more like it.

Posted by: bxgrl at October 20, 2009 10:22 AM

Rob, when you have no idea of what you are talking about, please don't speak.

This is a very successful program, as the jscheff, and accompanying articles say. It emerged at a time when the city had totally forgotten about East New York, and poor people in general. Yes, it was set up by a church, and is named for a biblical figure - so what? The fact is that the lots upon which the houses are built were a wasteland. This well run program gave people hope, and more importantly real housing. Whenever I drive over there, I see well kept blocks of suburban type houses, hardly a ghetto. I think that other programs, especially the city, would do well to emulate their model, especially in terms of guidelines for financing and eligibility.

Personally, one of the best parts of this project is that they did it themselves. A church, clergymen and community, minority run and peopled, got it together and helped solve their own problems. Yes, they got help from the city and other sources, of course, but it is not a HUD program or a city handout. The Nehemiah project is the people doing it and running it, VERY SUCCESSFULLY, themselves, in their community. It's been lauded since the beginning and should be a model for low income solutions all over the country. The single family house may not be the best solution for everywhere, including other parts of the city, but the administration and the planning behind the houses is sound and well done, indeed.

Posted by: Montrose Morris at October 20, 2009 10:25 AM

Rob,
lots of us old people spend less....either cause got mortgage long time ago or in RS apt and didn't move.

Posted by: Petebklyn at October 20, 2009 10:32 AM

oddly enough, there are MANY programs like this, seriously. the problem is that they are often absurd in nature when it comes to the financials and restrictions. plus a lot of people claim that most people who get deals in these programs "know" people, so a lot of fraud goes on. im not saying this program in particular, but in even in the NYCHA there is TONS AND TONS of fraud.

*rob*

Posted by: Butterfly at October 20, 2009 10:33 AM

and the 20% means gross income not 20% of takehome

Posted by: Petebklyn at October 20, 2009 10:34 AM

quote:
Rob, when you have no idea of what you are talking about, please don't speak.

dont tell me not to speak, i dont EVER say that to you. and yes i KNOW about tons of fraud in these kinds of programs. look it up. granted of COURSE it does help people and does some good, but turning a blind eye and telling people to shut up is wrong.


*rob*

Posted by: Butterfly at October 20, 2009 10:36 AM

quote:
and the 20% means gross income not 20% of takehome


that's still an absurd figure tho. oh wait, i forgot clearly it caters to people who think human beings belong in pairs to combine income or something. :-/

okay im out of this thread, my blood pressure is going thru the roof.

*rob*

Posted by: Butterfly at October 20, 2009 10:38 AM

These are crappy ass katrina-style modular housing units. The $120K price tag is appropriate.

These units will be lucky to outlive their mortgages.

Posted by: Colonel Steve Austin at October 20, 2009 10:42 AM

Rob, when you have no idea of what you are talking about, please don't speak.

I'm waiting for the day when you have accomplish something than taking pot shots at people who have their own homes, even when the spend only 20% of the their gross income on housing.

Besides, speaking when you have no idea have gotten you to exactly where you are today.

Posted by: BrooklynIsHome at October 20, 2009 10:44 AM

Rob, when I look at an article and the first comment I see is you saying something so unenlightened and uniformed as "the fact that the development is named after some ridiculous biblical character is sketchy as hell", I'm going to say so. You know NOTHING about the project, other than the paragraph written above, and instead of finding out more, you, who can't manage to google the location of a restaurant, are going to pass judgement on the project based solely on your long standing resentment of housing lotteries and low income housing in general. Every time there is a piece on some kind of housing lottery, or program that gets people into housing, you have issues with it, and always insinuate that they are fixed or their is fraud. There has never been any accusations of that here, only kudos for an ambitious and successful project.

You will note, that I said "please don't speak", I could have said much worse. If you are entitled to your knee jerk reactionary comments to everything, and you are, then I am entitled to call it uniformed and ignorant. You are capable of great insight sometimes, I wish you would just think of the possibility that there are things out there that you don't know the facts of, and perhaps it's better to either find out, or not say anything.

Posted by: Montrose Morris at October 20, 2009 10:56 AM

Well, I am a former member of St. Paul Community Baptist -- the East New York church that was the engine behind the Nehemiah project. As such, and unlike Rob, I know from where I speak on this subject and I do not hesitate to commend the pastor and the people who brought the vision of the Nehemiah project from dreams to reality. Indeed, I personally know each of the homeowners who are quoted in this article as well as their back story. They are hardworking, honest, working class people of faith who, having bought into the American dream of homeownership, actually managed to purchase a little piece of the pie. Be assured that they did so, not by fraud as one totally pathetic character with a keyboard suggests, but rather by applying their hope and faith, activism and perserverance, and some economic discipline.

The Nehemiah Houses represent truly affordable housing in an area that was transformed from a urban wasteland into a healthy and vibrant neighborhood in East New York. The houses are small and of simple construction, attractive and well kept. The surrounding streets of the area are clean, quiet and safe.

I must say, in the midst of all the grim news about the economy and the real estate market, it was a real pleasure to click on Brownstoner today and to see a thread like this. Thanks!

Posted by: Brooklynista at October 20, 2009 11:02 AM

It' a shame that successful projects like this don't get more play. they're inspiring and show people there really is a way to accomplish great goals.

rob- you really need to read up on stuff. Instead of always starting out with a negative, find out first.

Posted by: bxgrl at October 20, 2009 11:20 AM

quote:
not by fraud as one totally pathetic character with a keyboard suggests

perhaps it would be nice to keep personal insults out of a discussion? people are allowed to have their opinions on things like this, and those two examples are NOT the norm no matter how much you pretend it to be.

and a 120,000 house in ENY is NOT affordable no matter how much you think it is.


*rob*

Posted by: Butterfly at October 20, 2009 11:22 AM

Rob,

With a $96k mortage, the monthly payment is only $585, which means the person would only have to make $32k a year.

Actually, why am i wasting time reponding to your post? Oh well, back to work.

Posted by: Brokedeveloper at October 20, 2009 11:23 AM

and also specifically targeting "people of faith" should be totally illegal.

*rob*

Posted by: Butterfly at October 20, 2009 11:25 AM


"the fact that the development is named after some ridiculous biblical character is sketchy as hell."

"perhaps it would be nice to keep personal insults out of a discussion?"

Predictable.

Posted by: East New York at October 20, 2009 11:26 AM

"applicants can spend no more than 20 percent of their income on the mortgage;

that figure is RIDICULOUS"

No it aint. 47 grand a year for a 122 grand house and you're there. It's called affordability. That's why the program is resilient. That's why the market at large is falling in half.

***Bill Thompson for Mayor***

Posted by: Brownstones Half Off at October 20, 2009 11:29 AM


"and a 120,000 house in ENY is NOT affordable no matter how much you think it is."

It's not affordable to broke-ass underachievers who spend their spare time drinking 40s and bean-bagging. I think that's why you're confused about this.

Posted by: East New York at October 20, 2009 11:38 AM

again with the personal insults. classy as ever ENY! i could probably qualify for a program like this except that programs like this are anti single people who don't believe in families. everything in nyc these days grossly caters to family life. ugh!


*rob*

Posted by: Butterfly at October 20, 2009 11:47 AM


You started it, Rob. I tried to resist, but eventually I had to respond in kind. You're right, my response was less than classy. But, considering who I'm dealing with, it was probably appropriate.

Posted by: East New York at October 20, 2009 11:55 AM

Houses look very pretty in the photos too.

Posted by: mopar at October 20, 2009 12:03 PM

mopar- please check your email. I sent you some pictures.

Posted by: bxgrl at October 20, 2009 12:11 PM

Nothing substantive to add to this, but just wanted to say well done on a really awesome program.

Posted by: etson at October 20, 2009 12:40 PM

Nothing substantive to add to this, but just wanted to say well done on a really awesome program.

Posted by: etson at October 20, 2009 12:40 PM

I have a question for rob. A a long-time reader here I have often seen you state that things are not "affordable". I am just curious as to what your standards of affordability are. What is an affordable monthly expense for studios, one-bedrooms, two-bedrooms, etc.?

Posted by: king of the burg at October 20, 2009 12:49 PM

"stringent financial checks to ensure that applicants are not involved in any criminal activity"
That's a nice way of saying they discriminate against convicted felons who are trying to turn their life around.
The projects do the same thing and last time I checked the PJ's were none too nice...

Posted by: Joe from Brooklyn at October 20, 2009 2:47 PM

I have a question for rob. A a long-time reader here I have often seen you state that things are not "affordable". I am just curious as to what your standards of affordability are. What is an affordable monthly expense for studios, one-bedrooms, two-bedrooms, etc.?
We'll use 30% as the % of income that should be spent on rent/mortage:
The median household income in Brooklyn is 41K. So 30% of that is 12,300. So an "affordable" rent mortgage would be around $1,000 a month.

Posted by: Joe from Brooklyn at October 20, 2009 2:54 PM

"That's a nice way of saying they discriminate against convicted felons who are trying to turn their life around."- I think jumping to conclusions...I would think they are checking for verifiable current sources of income...W2's , tax returns. Seems to me not wanting someone who is making some quick $$$ dealing drugs and wants to put the money somewhere.

Posted by: Petebklyn at October 20, 2009 3:04 PM

actually joe, I am specifically curious about what rob thinks is affordable. I have noticed that he claims nearly everything in NYC to be too expensive for anyone who is a single (i.e. not a family). Although your analysis is completely reasonable.

Posted by: king of the burg at October 20, 2009 3:08 PM

Duly noted king.
Pete, I'm pretty sure the gov't would disqualify them for most housing grants if they were to permit convicted felons. You'd be surprised how many weird laws have popped up in the last 15 years of rabid "tough on crime" legislation. Do know it's illegal to work for a charity if you're a convicted felon?

Posted by: Joe from Brooklyn at October 20, 2009 3:53 PM


"Do know it's illegal to work for a charity if you're a convicted felon?"

So what? Why should convicted felons be allowed to work for charities? I mean, I don't personally care one way or the other, but it's not like this is one of the nation's most pressing problems. "Convicted felons who are trying to turn their lives around" will just have to look somewhere else for housing. Tough sh!t.

Posted by: East New York at October 20, 2009 4:41 PM

"Rob, when you have no idea of what you are talking about, please don't speak."

MM, then we'd never hear from him again? You want that?

Posted by: denton at October 20, 2009 5:40 PM

Nehemiah is a real beacon. This is how affordable housing should be done. Everybody deserves to have access to good housing. The education this program offers makes sure the folks who get to buy these homes can continue to hold them for many years. Meanwhile, they become anchor residents in a revitalized neighborhood. It's a win-win.

Posted by: grand army at October 20, 2009 6:45 PM

gee, ENY, I think the point is what is point of punishment and rehab if gonna be forever banished and can never make a living for oneself. Always wear the scarlet 'F' ...
How is someone going to contribute to community or support a family ....Aren't some of these measures a sure way to have the person create more crime if not given chance to lead a real life?

Posted by: Petebklyn at October 20, 2009 9:33 PM

While searching for a route to the Indies, or maybe it was that mall on the Belt, I stumbled onto these houses over a year ago (most seemed ready for occupancy but still empty). It was like stepping out of the Tardis and into Dwell magazine; I'm a hater of modern architecture, but they were uncanny in their freshness and novelty, toylike and sort of hip-suburban. Very...architectural. I'd like to see what they're like now with folks moved in; I'm sure the "Twilight Zone" feeling of the deserted streets, pristine sod squares and unused postboxes has warmed up to feel more like a real community.

Posted by: Brenda from Flatbush at October 21, 2009 12:26 AM

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