For small builders in the mountain counties of North Central West Virginia, the hardest part of putting up a modestly priced house often isn't the lumber or the labor. It's finding construction money that makes sense at that price point.
The HomeOwnership Center is trying to help with that. The nonprofit, known as HOC, has introduced a new construction loan product meant to support smaller developers building moderately priced workforce housing in its region. The details were laid out in an Oct. 15 post from Fahe, the Appalachian housing network that supplied the money behind it.
Executive Director Kate Somers announced the loan product during HOC's Aug. 26 rededication ribbon-cutting, which also celebrated the organization's refreshed name and identity. According to Fahe, the loan is made possible through a flexible MAC grant from Fahe, which in turn was supported by a philanthropic award from Yield Giving.
Builders already at the table
The program isn't just an idea on paper. Fahe reported that HOC is already talking with three builders interested in the program. HOC hopes to see new homes developed within a year, according to the post.
The post didn't list loan sizes, interest rates, terms or the names of the three builders. Contractors who want those details will need to contact HOC directly.
HOC's territory covers Randolph, Barbour, Tucker, Upshur, Lewis, Pendleton, Pocahontas and Webster counties. Much of that area is rural. Small builders working there often put up a handful of homes at a time rather than whole subdivisions. A lender that understands that scale can make the difference between a project penciling out and staying on the drawing board.
Fahe framed the loan as an example of what flexible grant money can do once it's placed with a local group. "The funding does not stop at an award announcement," the post said. "It becomes a financing tool for local builders and creates the potential for more homes in communities that need them."
A long track record
HOC is not new to this. It has served families in North Central West Virginia since 1998. Over that time, according to Fahe, it has helped more than 1,300 people become homeowners and served more than 5,100 customers through counseling and education.
That history matters to builders. Homes are only worth building if there are qualified buyers to purchase them, and HOC already runs homebuyer counseling and education. An organization that both finances small builders and prepares buyers could, in theory, help connect new homes with the people ready to buy them.
Somers said the organization's core mission hasn't shifted with the new look. "What's new at The HomeOwnership Center is our name, our look, and how we're growing, but who we show up for hasn't changed one bit," she said. "Those are the people who have kept us coming to work every day since 1998, and they always will."
The rededication drew HOC staff, board members, community partners, local leaders and representatives from the offices of U.S. Sen. Jim Justice and U.S. Rep. Riley Moore. Recent HOC homebuyer Ruth Bullwinkle shared her own path to owning a home.
Somers also announced plans for a financial wellness workshop series that employers can bring into the workplace. She highlighted HOC's continued flood-recovery work through its Affordable Fix Loan, a reminder that repairs and rebuilding remain a big part of the housing picture in a region where several of HOC's counties, including Upshur, Lewis, Randolph and Barbour, were part of federal disaster declarations after July's storms and flooding.
Why it matters for Contractors
Construction financing is a quiet bottleneck for small builders. Banks often prefer larger, lower-risk projects, and a builder doing one to three moderately priced houses can struggle to get a loan on terms that leave any margin. A local, mission-driven lender with a loan built for workforce housing gives those builders another place to knock.
For contractors in HOC's eight counties, the next step is simple: call HOC and learn the terms, the underwriting requirements and the price points the loan is designed for. With three builders already in talks, the early slots may go to firms that move first. For trade contractors who don't build on spec, every new house that comes out of this program still needs foundations, framing, roofing, plumbing, electrical and HVAC. That makes it a lead worth tracking.