FAV is a program in which low-income families needing housing, typically from one neighborhood or "colonia", form a neighborhood organization and participate actively in the process of creating solutions to their problems and promotes mutual aid in the construction process. This program incorporates the empowerment of women, the family, and the community, each of whom have the need and desire to obtain decent housing and improve their own quality of life. 

Each FAV is accompanied by accountability and transparency. Families entering the program accept a commitment to work in cooperation with the rest of the community to obtain affordable housing for all members of the FAV.

The participating families within each community organize their committees to manage their savings and thus finance their own homes. All participants then attend various workshops and trainings as part of the community development program.

Initially, families attend educational meetings held by Esperanza staff in order to understand the terms of participation. There are many families that have the idea that this is a charitable (give-away) program. These educational talks help clarify the self-help aspects of this program (this is not a charitable give-away) in order to avert misunderstandings once the family has joined.

At the meetings the following points are emphasized:

• The families must participate in the solutions to their own problems
• They must provide their own labor to make the construction materials (blocks)
• They must provide their part of the labor to construct the house
• They must make weekly payments to the fund to pay back their loan

The selection of families to participate in the program follows a natural course. If people realize they cannot or will not accept one or more of the above conditions, they will withdraw before signing a commitment. The families that stay in the program understand the requirements and are ready to begin to fulfill them.

Prior to construction, families meet weekly and each one contributes about 10% of their income to a common fund. Then, one of Esperanza’s community development social workers does a socioeconomic study to make sure that the home loan is never too great a burden on a family. Families must have acquired ownership of the land where they live before building can take place.

View more about the costs of Esperanza homes HERE in our FAQ. 

Esperanza's social workers offer a series of weekly talks and educational activities that help the communities and especially the women who attend them better understand the conditions necessary to work effectively together in the communities.

Discussions shed light on social conditions that are generating problems at the border and specifically the problems of housing, as well as include constant training on self-esteem, communication, and how to reach agreements.

From the volunteer group program fees and other income sources, Esperanza provides seed capital to the neighborhood FAV committees. In turn, the FAV member applies for a loan to purchase the materials that will go in the construction of the house: cement, sand, gravel, doors, rebar, etc. The family will then repay this loan to the neighborhood committee (not to Esperanza).

In this way, the FAV is renewed and can continue to provide loans as new members join.

After saving 10% of the total cost of their future home, usually a 1-2 year period of saving, a family can petition their savings group to build their house. The savings group approves their petition, but if there is insufficient money in the fund for them to cover the cost of materials, then the Fund for Housing group petitions Esperanza. They use some of the funds from group fees to help cover the difference.

Additionally, Esperanza is able to facilitate the use of subsidies from the Mexican government to reduce the cost of the home for some members in the community groups.

Homes that are subsidized by the Mexican government are typically paid off in 4-5 years while those that are not subsidized are paid off in 10-12 years.

These loans bear no interest, so the funds are not self-sustaining and need to be capitalized. Esperanza purchases and maintains the construction equipment and employs the construction staff and the community development social workers. Esperanza is always in search of grants and other funds to support their work.

When the home is finished, the family continues their payments on the cost of materials, thereby capitalizing and replenishing the fund seeded by Esperanza with the help of the volunteer groups. Families, or a representative of, are required to participate in the building of other community member’s homes and attend weekly FAV meetings until their own home has been paid off. Participation of volunteer groups makes the cost of the homes more affordable, and fosters our mission of mutual trust between binational communities.