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Only six people applied for an affordable home in Maine's most expensive city

When Kennebunkport Heritage Housing Trust launched a lottery for a home costing a fraction of its market value, they expected a flood of applications. Instead, they received only six. KHHT provides affordable housing for working families and seniors. When one of their buyers decided to move out, they saw it as a good opportunity to try out a lottery system. They offered a three-bedroom duplex at 1 Briggs Way for $326,000. “We know there was interest,” said Larissa Crockett, KHHT's executive director. “We know a lot of people wanted to learn more. What we don't understand is why fewer people applied than we actually expected.” There are strict eligibility requirements, and only half of the applicants qualified. The lottery winner was randomly selected from those three. “When I spoke to one of the applicants' mortgage brokers, she talked about how grateful she was to finally have an applicant she could agree to,” Crockett said. “She was so relieved to finally have a home that cost enough for the average household to afford.” Crockett had expected 20 to 80 applicants. The application page has been viewed more than 3,000 times. “People who are hesitant to build workforce housing in their community might be tempted to use this as an example and say, 'Oh, people don't want those homes,'” Crockett said. “We know that's not true. We know we need to work harder to make sure we reach the applicant pool we're trying to reach through this process, and we know the need is there.” According to recent data, Maine needs 84,300 new homes by 2030 to meet demand. When homes become available, they are often unaffordable. In Kennebunkport, the average home is valued at $1.12 million. Maine's Total Coverage spoke with another KHHT homeowner who lives directly behind the available unit. She was surprised that only six people applied, but suspects that $326,000 probably still feels out of reach for many. The income limit for a four-person household was capped at $117,450. Crockett says the price is affordable for anyone making at least $88,000 a year. The median household income in Maine is $63,200, but Crockett notes that the eligibility range is wide enough to still cover many families in the area. As KHHT works to create additional housing, Crockett plans to work with her team to figure out why more people didn't apply. In the meantime, she believes some people may have felt unprepared or unable to apply and wants to make sure they are aware of all the government programs that help first-time buyers put up a down payment. She recommends that all prospective homebuyers start with an educational course.

When the Kennebunkport Heritage Housing Trust launched a lottery for a home priced a fraction of market value, they expected a flood of applications—but only six were received.

KHHT provides affordable housing for working families and seniors. When one of their buyers decided to move out, they saw it as a good opportunity to try out a lottery system. They offered a three-bedroom duplex at 1 Briggs Way for $326,000.

“We know there was interest,” said Larissa Crockett, executive director of KHHT. “We know a lot of people wanted to learn more. What we don't understand is why fewer people applied than we actually expected.”

There are strict entry requirements and only half of the applicants qualified. The lottery winner was randomly selected from these three.

“When I spoke with a mortgage broker for one of the applicants, she told me how grateful she was to finally have a candidate she could agree with,” Crockett said. “She was so relieved to finally have a home priced high enough for the average household to afford to buy.”

Crockett expected 20 to 80 applicants. The application page was viewed over 3,000 times.

“People who are particularly opposed to workforce housing in their community might be tempted to use this as an example and say, 'Oh, people don't want that housing,'” Crockett said. “We know that's not true. We know we need to work harder to make sure we're reaching the pool of applicants we're trying to reach with this process, and we know the need is there.”

According to current data, Maine needs 84,300 new homes by 2030 to meet demand. When homes become available, they are often unaffordable. In Kennebunkport, the average home is valued at $1.12 million.

Maine's Total Coverage spoke with another KHHT homeowner who lives directly behind the available unit. She was surprised that only six people applied, but speculates that $326,000 probably still seems out of reach for many.

The income limit for a four-person household was capped at $117,450. Crockett says that price is considered affordable for anyone earning at least $88,000 a year. The median household income in Maine is $63,200, but Crockett notes that the range of eligibility is wide enough to still cover many families in the area.

As KHHT works to create additional housing, Crockett and her team want to find out why not as many people have applied.

In the meantime, she believes some people have felt unprepared or unable to apply and wants to make sure they are aware of all the government programs that help first-time buyers with the down payment. She recommends that all prospective homebuyers start with an educational course.

Anna Harden

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