The Newrez Military Family Advisory Council identifies barriers preventing Military and Veterans from achieving homeownership.
The purpose of the Newrez Military Family Advisory Council is twofold: first, to comprehensively understand the unique obstacles faced by Military, Veterans, and their families on their journey to homeownership; and second, to devise strategic, informed recommendations that foster positive change in the mortgage and housing landscape.
Each council member is a subject matter expert that brings a wealth of knowledge and experience to the company, contributing to the development of targeted initiatives that create a supportive environment for Military and Veteran families seeking prosperity through homeownership. In 2024, the council will focus on employment, family readiness, financial readiness, housing and relocation, and mental health as barriers to achieving homeownership.
Employment
The unemployment of Military spouses and Veterans presents a significant barrier to achieving homeownership. With a spouse frequently moving due to military assignments, consistent employment becomes elusive with an Active-Duty spouse frequently moving, hindering their ability to save for a down payment or establish credit. For Veterans, transitioning to civilian life often involves challenges in translating military skills to the civilian job market, leading to unemployment or underemployment. This financial instability undermines their ability to qualify for mortgages or sustain homeownership, perpetuating a cycle of rental dependency. Addressing unemployment through tailored job training programs and supportive policies is essential to empower Military families to achieve the stability of homeownership.
Family Readiness
The absence of family readiness can impede Military or Veteran families from attaining home- ownership. Deployments and frequent relocations strain family cohesion, disrupting financial planning and stability. Without adequate support networks, spouses may struggle to manage household affairs, exacerbating financial stress and impeding savings for down payments. Additionally, the emotional toll of separations and uncertain futures can divert attention from long-term housing goals. Investing in family support programs, counseling, and community resources is vital to enhance readiness, fortify family bonds, and facilitate the path to homeownership for Military and Veteran families.
Financial Readiness
The absence of financial readiness can hinder military or Veteran families from attaining home- ownership. Military life's unpredictable nature, including frequent relocations and deployments, poses challenges to stable employment and financial planning. Without sufficient savings for down payments or emergency funds, families may struggle to qualify for mortgages or cope with unexpected expenses. Transitioning Veterans may face difficulties in translating Military skills to civilian employment, leading to unemployment or underemployment. Enhancing financial literacy, providing access to affordable housing options, and offering tailored financial assistance programs are essential to empower Military and Veteran families to overcome financial barriers and realize their homeownership aspirations.
Housing & Relocation
Frequent relocations, low inventory, and escalating home prices pose formidable obstacles to Military or Veteran families seeking homeownership. Transient Military lifestyles disrupt stability, making it challenging to establish roots or qualify for mortgages. Low housing inventory in desirable locations further limits options, forcing families to settle for less suitable properties or endure longer commutes. Moreover, rising home costs outpace income growth, straining affordability, and thwarting savings efforts. These cumulative factors create a daunting barrier to achieving the dream of homeownership for Military and Veteran families, highlighting the critical need for tailored financial assistance programs and supportive housing policies.
Mental Health
Mental health issues can profoundly affect Military or Veteran families' pursuit of homeownership. Mental Health issues can impair decision-making, strain relationships, and hinder employment stability, leading to financial instability. Coping with trauma may divert focus from long-term planning and savings goals. Moreover, stigma surrounding mental health may deter individuals from seeking assistance, exacerbating challenges. Addressing mental health through accessible counseling, support networks, and destigmatization efforts is crucial to bolster resilience, enhance financial management, and empower Military and Veteran families to attain the stability of homeownership.
This is not a commitment to lend. All loan programs and availability of cash proceeds are subject to credit, underwriting, and property approval. Programs, rates, terms and conditions are subject to change without notice. Other restrictions apply.
