ST. PAUL – The St. Paul Affordable Community Housing Society continues its efforts to provide affordable housing for families in St. Paul.
On April 10, the society held its annual general meeting, which involved discussing its financial position, including how much money still needs to be raised to achieve its goal of constructing a total of two single family homes, and two duplexes in the community.
Overall, the society plans to help provide six units for six families.
The retail price for the two houses is approximately $284,000 each, and $540,000 each for the two duplexes. That’s not including the price of the lots, the GST, and other overhead costs. If including the lot, one house is approximated to cost about $340,000.
Of the overall costs, each recipient family is expected to cover about $200,000 on the mortgage, while the society will cover the rest of the amount. Recipients are also responsible for property taxes, utilities, and maintenance.
Louise Severin, president of the society, said the society is estimating to cover about $918,000 for the overall projects, including overhead costs.
So far, the society budgeted $371,000 for in-kind donations, which includes the $175,000 worth of lots contributed by the Town of St. Paul, leaving about $547,000 total needing to be raised.
Guy Laberge, a signing officer of the society, said through fundraising efforts, the society has raised $113,000, which was enough to proceed with the construction of the first house. Donations include $24,000 from fundraising events, $25,000 from grant from the Alberta Real Estate Foundation, $14,500 corporate donations, $5,000 club donations, and $30,000 personal donations.
Severin thanked everyone who donated and helped with the society’s cause.
“The cost of the building, the landscaping, and everything else is pretty much pro bono,” she said. “It’s a very giving community.”
There is still about $433,000 needing to be raised for the remaining five units.
To boost fundraising efforts, Severin said the society plans to apply for a license with the Alberta Gaming, Liquor and Cannabis (AGLC). This requires at least 15 board members, and the society is looking for two more volunteers to fill the position.
Accepting applicants
After announcing the family that will receive the first house in January, the society is now accepting applicants for the second house.
Applicants must be currently living in the St. Paul region, and they must be able to provide a $1,250 monthly mortgage payment for the house, said Severin, along with providing references and financial assessments.
The applicants’ annual income can be around $60,000. It could be a single income family, or the total annual income of a family. “If you have kids, it might need to be $65,000 or $70,000,” said Severin. “It depends on the size of the family.”
The idea is that the target recipients, according to Severin, are families struggling to get a mortgage or the down payment to own their first home. “We’re trying to reach families that are out there working nine to five but are unable to have enough money saved for a down payment,” she explained.
Severin said the society’s vision is to provide a “hand up, and not a hand-out.”
“It’s almost impossible today for a family to save the money they need to put down a down payment,” with many families just earning enough money to survive, she said.
As an example, Severin said that back in 2003, when the society was created by Dick Wirges, it cost $100,000 to build a house for a recipient, including the price of the lot. The recipient paid a mortgage of $70,000.
Now, a modest 1,020 square feet bi-level costs $355,000, including land, which is almost triple the amount from two decades ago. Meanwhile, “wages haven’t kept up,” said Severin.
