Tracey Hopkins was tired of plain white walls and paying someone else’s mortgage. She had always dreamed of becoming a homeowner, but when her sister, who had been living with her, passed away in 2023, she decided it was finally time to take action.
“I came home from her funeral, and there was a note on my door saying that my rent was going up, and every year it just kept getting higher and higher,” Hopkins remembered. “I said, well, I’m making somebody else rich here.”
That was the beginning of her homeownership journey.
Hopkins, who runs a home health care agency, was born and raised in Highland Park and had been living in East Liberty for many years already. She knew she wanted to stay in the neighborhood, and through her research, got connected to Joe Tomaceski, community lending manager at First Commonwealth Bank. That led Hopkins to ELDI’s affordable homeownership specialist and founder of LifeVenture Real Estate Solutions, Mary Hester.
“I was a little scared at first about what was going to happen and how much it was going to cost, but Mary walked me through the whole process,” Hopkins explained. “She also got me in touch with different programs that I had no idea even existed.”
On just the second home visit, she struck gold.
“Mary suggested this house on Rural Street, and we went to see it. It was still in the process of being redone, but I told her, ‘This is it. We don’t even have to look for another one.’”
Increasing affordable and minority homeownership through New Markets Tax Credits
The Rural Street home was an ELDI-owned two-bedroom, one-bath townhouse with a beautiful kitchen and large backyard.
The home was a part of our New Markets Tax Credit (NMTC) affordable homeownership project, which saw the renovation or construction of 26 homes throughout the East End. To date, 24 of the homes have been sold—half to minority buyers—in line with our mission to increase minority homeownership in the area. Additionally, 10 of the homes sold were affordable to those earning 80% of the Area Median Income (AMI) while six were sold as middle-income housing (up to 120% AMI).
For Hopkins’ Rural Street home, it cost us $260,000 to acquire and renovate the property, and we agreed to sell it for $180,000, meaning our NMTC deal structure provided Hopkins with $80,0000 in subsidy. Mary and Joe then set out to find additional financing for Hopkins to make the home even more affordable.
Acquiring the funds to make homeownership achievable
The results were impressive. Not only did Hopkins get a beautifully rehabbed home with a monthly mortgage $100 cheaper than her rent, but she also received $127,500 in grant funds—the most we’ve ever seen in a single transaction.
“Everybody was on the same team, and they were helping me qualify for things I didn’t even know I qualified for, which was amazing. I couldn’t believe it. What happened in these last couple of months is a true blessing,” Hopkins said.
$90,000 in grant funds came from the Urban Redevelopment Authority of Pittsburgh’s Housing Opportunity Fund and OwnPGH to lower Tracey’s first mortgage loan amount and minimize her out-of-pocket expenses. The City of Bridges Community Land Trust also contributed over $31,500 in down payment and closing costs assistance.
“Tracey is the perfect example of the evident desire families have to pursue homeownership—and affordability is a priority to get them to the finish line,” said Hester. “The roles these organizations play provides the opportunity for Black wealth building through homeownership.”
Hopkins moved into her new home at the end of February and has been making it her own ever since, including painting her walls whatever color she likes.
Her advice for others considering homeownership?
“Take a chance on and invest in yourself,” she said. “When I walk through the front door and turn the key, I’m like, ‘I know I own this. It’s mine.’”
