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L CICD <br /> COMMUNITY INVESTMENT <br /> CORP3ORATfON Oz L`CA'UR <br /> Proposal to City of Decatur from CICD Related to Homebuyer <br /> Counseling and Education <br /> Executive Summary <br /> Community Investment Corporation of Decatur(CICD)seeks$433,520 over three years to increase its capacity to take on a <br /> management role of the City of Decatur's Homebuyer Ecosystem and produce mortgage-eligible buyers for the City's <br /> acquisition/rehab/resale strategy. CICD has provided housing counseling services to residents of Decatur and Macon County <br /> since 1999 through its Welcome Home Program. While CICD has the expertise to prepare households to become <br /> homebuyers,the additional responsibilities associated with management of the Ecosystem and the demand that will be <br /> generated by Decatur's partnership with the Central Illinois Land Bank Authority(CILBA)to rehabilitate existing homes to <br /> sell to low-and moderate-income(LMI)homebuyers will exceed the capacity of CICD's current staff.CICD has developed a <br /> plan and timeline to add additional staff members and expand its partnerships which will allow CICD to take on an <br /> expanded role in the Homebuyer Ecosystem and ramp up its homebuyer education and counseling as Decatur expands its <br /> Acquisition,Rehab,Resell program. <br /> Over the next three years,CICD will hire a Homebuyer Ecosystem coordinator and an intake specialist, and contract with <br /> eHome America to provide virtual homebuyer education. CICD's plan provides realistic,tangible goals for meeting the <br /> needs of the residents of Decatur. CICD's participation in the Homebuyer Ecosystem will help increase homeownership in <br /> the city among LMI households,but for that to happen CICD needs the resources to increase its capacity. <br /> Community Need <br /> As discussed in Decatur's 5-Year Consolidated Plan,the city faces a decreasing and aging housing stock,as well as a need <br /> for increased counseling services. In response,Decatur has partnered with the CILBA to rehabilitate existing housing to sell <br /> to LMI homebuyers. Based on information provided to CICD, Decatur and CILBA are nearing completion of their first <br /> home rehab and will increase the production rate as the program continues. <br /> To sell these homes once they have been rehabbed,Decatur needs a supply of mortgageable LMI households.CICD is well <br /> positioned within the community to fill the role of preparing and guiding LMI potential homebuyers through the Homebuyer <br /> Ecosystem that Decatur is establishing. CICD can provide homebuyer education and counseling,financial literacy <br /> counseling to assist households with credit building, and conduct the marketing and outreach necessary to inform <br /> community members about homeownership opportunities.The increased housing opportunities will provide a path for <br /> Decatur's residents to meet their housing goals,build equity,and increase the tax base. <br /> To ensure that enough households are prepared to purchase the rehabbed homes,CICD will need to expand its housing <br /> counseling program.According to NeighborWorks America, eight(8)households must complete pre-purchase education for <br /> every completed home sale. CICD will need to increase its capacity to provide education and counseling to the number of <br /> households needed to supply homebuyers for the Homebuyer Ecosystem. With the following proposed staff changes and <br /> new relationships,CICD can provide pre-purchase counseling to 20 households in 2023 and 128 households in 2024, <br /> ensuring there are enough LMI households in Decatur who have received their Home Buyer Education certificate. <br /> 1 <br />