Mission: to increase the supply of permanently affordable housing while developing and supporting homebuyers through innovative programs and partnerships.
Newtown Community Development Corporation (Newtown) is a Tempe-based 501 (c)(3) nonprofit organization. Newtown was first incorporated in 1994 as Northwest Tempe Neighborhoods CDC Inc. by community members to address concerns about housing, access to basic goods and services, neighborhood preservation, sustainable development and diversity.
Newtown has grown significantly since it first began serving residents in northwest Tempe. From one paid employee in 2000 to nine employees in 2011. In 2001, Newtown worked with the City of Tempe, Tempe Community Council and others in the community to create the CLT of Tempe; the first successful Community Land Trust (CLT) in Arizona. In 2004 the CLT of Tempe merged into Newtown. It was then that Newtown’s name was changed from Northwest Tempe Neighborhoods CDC Inc. to Newtown Community Development Corporation. Newtown also established itself as a Community Housing Development Organization (CHDO) at that time: one-third of its board members are either low-income, live in a low income census tract or represent a low-income group.
In 2008 Newtown became a HUD-Approved Housing Counseling Agency and now provides Housing Counseling services to participants throughout the Phoenix metro area. Homebuyer workshops are provided in Chandler, Glendale, Scottsdale and Tempe. Counseling services are provided in both English and Spanish. Also in 2008, the Board of Directors decided to strategically expand Newtown’s CLT program to surrounding communities. There are now over 80 CLT homes in Chandler, Glendale, Scottsdale and Tempe.
Community Land Trust
Newtown’s Community Land Trust (CLT) program provides access to homeownership for homebuyers who are otherwise priced out of the housing market. CLT homes are sold for a price well below the prevailing market. CLT homes provide greater security than renting. CLT owners benefit from stable monthly payments, security from eviction, and have an opportunity to build equity through homeowner-ship. The CLT also protects the community’s investment in affordable housing. Newtown provides on-going support to CLT owners to help ensure their success as homeowners. Newtown has not had any CLT homes go to foreclosure.
Homebuyer Education and Homeownership Counseling
Newtown is a HUD-approved housing counseling agency. Certified counselors help home buyers throughout the purchase process. The counselors help resolve credit issues, find sources of down payment assistance, and help participants get the loans they deserve with good rates and terms.
Down Payment Assistance – Individual Development Accounts (IDAs)
Along with education and counseling, first time homebuyers may be eligible to receive matching funds for money they save toward the purchase of a home (3:1 match, up to $15,000). Since 2001 Newtown has provided over $3.8 million in matching funds to help 270 first time homebuyers purchase a home (9/30/2012).
In response to the high number of foreclosures in Arizona, Newtown started providing Foreclosure Prevention Counseling. Specially trained counselors can help homeowners who are behind on their mortgage payments or who are facing impending foreclosure. The counselors can help establish financial priorities, help understand available options, and help negotiate a work-out plan with lenders. In addition, the counselors have experience working with the Making Home Affordable (MHA) and Save Our Home AZ programs.
Other Community Involvement
Newtown provides credit counseling and homebuyer assistance in collaboration with a number of other community groups and organizations; such as the Tempe Financial Stability Initiative (FSI), the Family Self Sufficiency Alliance, Arizona Saves and Save the Family.
Financial Capacity. Newtown has had an annual audit completed since 1994. For the fiscal year ending June 30, 2012, a Single Audit was completed. No deficiencies in internal controls or instances of noncompliance or other matters that are required to be reported under Government Auditing Standards were identified.