Part 3: Habitat Durham’s New Strategy – Faith, Grit, and Innovation in a Changing Housing Landscape

October 31, 2025

By Nimasheena Burns

When I became President and CEO of Habitat for Humanity of Durham earlier this year, I stepped into an organization with a proud 40-year legacy – but also into a housing landscape transformed by economic forces we’ve never seen before. The traditional Habitat model, the one many of us grew up admiring – volunteers raising walls on a single-family home, built on donated land, sold at cost to a deserving family with a zero-interest mortgage – no longer works as it once did. That model was born in an era when land in Durham was cheap, construction costs were modest, and the gap between a working-class family’s income and the price of a home was manageable. Today, every one of those variables has shifted. Land prices in Durham have skyrocketed; the cost of building materials is volatile and generally high; and even our modest Habitat homes appraise for far more than our families can afford without deep subsidy.

Confronting this new reality, Habitat Durham has had to pivot – fast and smart. This doesn’t mean abandoning our mission or our values. It means rethinking our approaches so we can continue to fulfill that mission in a tougher environment. Allow me to share a few of the strategic shifts we’re making:

1. Building differently, building more. For decades, Habitat Durham primarily built standalone houses – the classic 3-bedroom, 1.5-bath house with a yard. We will always cherish that iconic home, but going forward we’re diversifying our construction models. This includes exploring townhome developments and duplex projects, which can achieve greater density and lower per-unit costs. If we can put 4 or 6 families on a piece of land that used to hold one, that’s a win – provided we maintain quality and long-term affordability. We’re also investing in new construction methods: seeking partnerships for investments, for infrastructure and maybe even for factory-built modular components, for example, that can reduce build time and cost. That doesn’t mean we will be replacing our volunteers with contractors, we are just going to have to do like many of our sister affiliates and mix them in. Habitat houses will always involve volunteer labor – that’s part of our DNA – but we’re augmenting it with professional crews where specialized skills are needed not only to speed up production but to support future capacity needs. It’s a volume game now; to move the needle on Durham’s housing shortage, Habitat as well as the overall all Triangle region simply must build more homes per year. Last fiscal year, our affiliate built just 12 homes for the fiscal year. This year, 8 to 10. While each of those 12 represents a life-changing accomplishment for the families involved, the scale of need in Durham (thousands of units) means we have to aim higher. By pivoting to multi-unit projects and creative construction techniques, we’re planning to double or triple our annual home production in the coming years. Ambitious? Yes. But our community deserves no less.

2. Strengthening homeowner preparation and support. Buying a home is a complex, often intimidating process – and staying successfully in that home long-term is yet another challenge, especially in a climate of rising taxes and maintenance costs. Habitat has always required “sweat equity” and homeowner education from our partner families, but in this new era we have doubled down on that commitment. We now require at least 15 hours of in-person financial literacy and homeownership training for every Habitat buyer (on top of the hours they spend helping build homes). We’ve updated our curriculum to cover not just budgeting and credit, but also practical skills like basic home maintenance, navigating insurance, and how to appeal a property tax assessment if it jumps. Additionally, we’ve instituted one-on-one financial coaching for our homeowners during the first year of ownership. The goal is to ensure our families not only get the keys, but thrive as homeowners. The foreclosure crisis taught us the hard way that placing someone in a home without adequate support is a setup for failure. Habitat’s default rates have historically been low, but we are not complacent – especially as economic volatility puts pressure on even the best-prepared households. By investing more in education upfront, we are effectively “weather-proofing” our homeowners against future storms. As one Habitat staffer likes to say, “we don’t just build homes, we build successful homeowners.”

To afford a 2BR at Durham’s FMR (~$1,872/mo), a household needs ~$74,880/yr—well above typical local salaries. This gap underpins Habitat Durham’s requirement of 15 hours of in-person financial literacy and our push for employer/philanthropic DPA partnerships.

3. Deepening partnerships – we can’t do this alone. Perhaps the biggest shift in our strategy is an embrace of collective action. Habitat’s ethos has always been about partnership (our motto is “bringing people together to build homes, communities and hope”). But in practice, affiliates sometimes operated somewhat independently, building our dozen or two houses a year while others tackled rentals or shelters. The scale of today’s crisis has erased any illusions of lone-wolf solutions. We are actively forming new public-private partnerships to amplify impact. A great example is our collaboration with the Durham Housing Authority, which we completed in recent years: together we built 37 new affordable homes on land that was once a distressed public housing site. DHA prepared and subdivided the land (using federal funds), and Habitat Durham built the homes and prepared the families with counseling and affordable mortgages. The result was win-win – formerly vacant or blighted land became a thriving new neighborhood of first-time homeowners, including some who came directly out of public housing. More than 150 Durham residents now have an affordable home because of this partnership. In the coming months we will be doing it again. We are currently assessing the conveyance of 5 to 10 lots from the city before the year’s end. In the coming week’s we will be reviewing the feasibility studies and opening our own requests for proposals(RFPs). We look forward to collaborating with socially responsible private developers to work with us on our current developments. In a year or so we would be will to work with socially responsible private developers who are willing to dedicate a portion of their subdivisions for Habitat homes (with Habitat acting as builder or subsidy provider) – an inclusionary approach we achieve through goodwill since we can’t mandate it by law. We’re also working closely with sister nonprofits: organizations that do housing repairs, financial counseling, or operate below-market rentals. By coordinating our services, we create an ecosystem of housing support. For instance, a family might start in an affordable rental from Durham Housing Authority or CASA (another local nonprofit), then go through Habitat’s homebuyer program, and later if they need to expand or move, and we are not a fit perhaps we share information on other organizations and show them how to take advantage of a Durham’s Community Land Trust model to access an affordable home. Each organization’s approach is distinct, but we’re all rowing in the same direction.

I want to stress that Habitat’s approach remains unique even as we adapt. We are still one of the few entities focusing on affordable homeownership for low-income families (50-80% AMI typically). We still rely on community volunteers and donors to keep costs down, and we still believe in the “sweat equity” model – because it works. Our homeowners often say the pride of having helped build their own home is indescribable. That will never change. What’s changing is the scale and the context. We need more partners at the table to bring resources – whether it’s a corporation donating funds or materials, a church sponsoring a Habitat house, or the City expediting permits and fee rebates for nonprofit builders. The encouraging news is that I see more willingness than ever to form these alliances. We seek corporate donors in Durham to increase their commitments, understanding that housing underpins workforce stability. Our local government is actively seeking solutions – just recently, the County allocated funds for a pilot down payment assistance program (a policy idea near and dear to my heart, as you saw in Part 1).

Perception vs reality: 39% of renters think >20% down is required; only 23% know about low-down-payment programs; the typical down is ~5% (median LTV ≈95%). This is why cash at closing, not credit, is the real barrier—and why a DPA pilot is the right next step.

Those partnerships also include our donors. After a few quieter years, we’re reaching out with humility and renewed purpose. So much has changed—in the market, in our organization, and in the lives of the families we serve—and we want you to hear it directly from us. Your past support built real homes and real stability; it also set an expectation that we would steward those investments with transparency and results. We’re recommitting to that covenant. We’ve strengthened our governance, sharpened our construction strategy to build smarter and faster, and expanded homeowner education so families can thrive long after closing. Most importantly, we’re aligning every dollar with measurable impact—more homes completed, more critical repairs delivered, and more families on the path to generational wealth.

We know reengagement is earned, not assumed. Over the next few weeks, we’d love to reconnect—whether by phone, a brief site visit to see current builds, or a small-group conversation with our team and board. We want to build roadmap with you for the next 12 months, the specific funding gaps where your partnership can move the needle, and new ways to give—sponsorships, in-kind expertise, volunteer crews, and multi-year commitments that accelerate our pipeline. If our mission once resonated with you, we believe you’ll see a stronger, more focused Habitat today—grounded in accountability, open about lessons learned, and ready to deliver outsized impact with your partnership. I am new so I want to, personally Thank you for considering a fresh start with us.

4. Navigating the housing market’s “new normal.” A subtle but important shift we discuss internally is how to deal with the supply-demand mismatch that even our successful Habitat families face. In the past, when a Habitat homeowner’s income grew or their family size changed, they might sell their Habitat home (with Habitat’s help and often with a sizable equity gain) and step into the traditional market to buy a market-rate home. But now, the gap between what a Habitat home sells for and what a next-step home costs has widened dramatically. We’ve had instances where a family sold their Habitat house – only to find they could not afford to buy anything else in Durham, and even renting was a challenge. In other words, even “trading up” is broken for low-income families; the ladder’s rungs are just too far apart. We’re studying options to address this: one approach is shared equity models (like a Habitat homeowner selling their home back to a land trust or Habitat at an affordable price, so we can then resell it to another low-income family, while the original seller keeps some equity to improve their situation). Another approach is advocating for and helping our families tap into programs like the new and varying down payment assistance programs when they transition to the market. The key is, we have to acknowledge that affordable housing isn’t a one-time need – it’s a continuum. Keeping a family in stable, affordable housing over decades may involve multiple interventions at different points. Habitat is positioning itself to be a lifelong housing partner to our families, not just the builder of their first home.

Ultimately, all these strategic moves boil down to one philosophy: adapt and collaborate, or fail the community. Failure, when the need is so great, is not an option. I often reflect on a sobering statistic: If the City of Durham or Durham County handed its entire annual budget to Habitat, we still couldn’t build enough houses to eliminate the affordable housing deficit (we’d make a heck of a dent, but thousands would still be left unhoused). The scale of the challenge requires every tool and every ally. That means Habitat must innovate and lead, but also humble itself to work hand-in-hand with others who share our vision of a Durham where everyone can afford to live with dignity.

People have asked why we are calling this year our Stabilization Springboard year. It’s because we want to make sure we go another 40 or 80 years. We are restructuring how we do things. Durham Habitat received an unmodified (clean) audit opinion for FY2024. The organization finished the year stronger financially, increasing total net assets to $19.88M, with $6.02M in liquid financial assets available for operations, no draws on its $1.5M line of credit, and $5.61M in diversified investments (with a board-designated reserve of $2.51M). Program services accounted for ~79% of expenses, reflecting our priority on building and preserving affordable homes. A subsequent December 2024 transaction tied to our NMTC structure eliminated a major note, further fortifying our balance sheet. Full audited financials are posted online.

Some have asked about selling homes on the traditional market. While it was a decision made before my arrival, it’s important to note that according to those closest to Habitat for Humanity of Durham, it is not the first time (at the time of this writing, we are still researching just how many times this has happened.) That said, it is actively taking place with affiliates across the state. The easy answer for those curious. Is this against the policy? No—it’s not against our mission when done selectively and transparently. In high-cost markets, affiliates sometimes use mixed-income or selective market-rate sales to cross-subsidize far more affordable homes and critical repairs for low-income families. This is a widely recognized financing tool in affordable housing: income from a limited number of market-rate homes helps close gaps on below-market homes without reducing the number of families served. Currently, Charlotte has a link dedicated to this very endeavor.

As far as developing neighborhoods, all of our neighbors are developing mixed used neighborhoods. I know that Durham can do this as well. Right next door, Orange County is developing Weavers Grove. This is a mixed-income community: 102 Habitat homes for eligible local families alongside market-rate homes by private builders. The market-rate component is explicit and helps the affordable homes pencil out at scale. A bit further down, I-85, the Charlotte Region has a capital campaign and a mixed-income pipeline. Habitat Charlotte Region has advanced mixed-income projects (e.g., townhomes at Carya Pond and the Meadows at Plato Price neighborhood), showing how affiliates can partner with cities and private funders to deliver both market-rate and below-market homes in one plan.

This is about maintaining long-term viability. With costs up nationally, diversified revenue (including occasional market-rate sales) keeps affiliates building through cycles rather than pausing production. Across the country, many Habitat affiliates—including Charlotte and Orange County—have used selective market-rate sales to sustain their mission and fund more affordable homes. The cost of construction has nearly doubled in five years—even with 70% volunteer labor. Selling select properties allows us to reinvest those proceeds directly into new affordable housing projects and critical repairs for low-income homeowners.

4. Building Our Talent Pipeline: The loss of seven AmeriCorps members at Habitat for Humanity of Durham is not an isolated setback; it reflects a broader trend across affiliates statewide and nationally. In Charlotte, for example, AmeriCorps funding at risk would have supported 22 service members—capacity the organization depends on to sustain production and cultivate a skilled talent pipeline. As Habitat Charlotte President & CEO Laura Belcher observed, “Not having that resource means we must find alternatives—more volunteers, more hires—which directly constrains output and affects the pipeline of future employees.” The implications are stark. With construction costs having effectively doubled in recent years, removing a reliable, semi-skilled service corps increases per-unit costs, lengthens build timelines, and reduces annual housing delivery—much like regulatory changes that shift tasks to certified contractors only. In short, the AmeriCorps retrenchment functions as a hidden tax on affordability: fewer hands on site, higher costs per home, and fewer families served at the very moment demand is surging.

In response, Habitat for Humanity of Durham is working actively with Durham Technical Community College to develop a local apprenticeship pipeline to fill the gap. This spring, we aim to bring on at least two apprentices who will not only learn construction skills but also embody the patience and purpose that Habitat’s model demands. It takes a certain kind of builder to thrive on a Habitat site—someone who understands that while a nail gun is faster, a hammer is safer; someone who can teach while they build, knowing that every wall raised is also a lesson in craftsmanship and community. Through this partnership, we hope to cultivate the next generation of skilled, mission-driven builders who can carry forward both the technical precision and human touch that make affordable housing possible.

As we conclude this op-ed series, I want to leave you with a message of hope and resolve. Yes, the housing situation in Triangle and Durham is dire. From barriers to homeownership to skyrocketing rents to zoning fights, and a current economic climate that tests all of us, it can feel insurmountable. But I have witnessed miracles large and small in this work. I’ve seen a community rally to build a home in a matter of weeks. I’ve seen families increase their credit scores by 100 points after months of counseling and hard work. I’ve seen elected officials from different ideologies find common ground on investing in housing. Every day, I’m inspired by the grit of our Habitat homeowners, the generosity of our donors, the passion of housing advocates, and the sheer determination of this community to not let Durham become a place only the wealthy can live.

To our local policymakers: we need you to continue stepping up with funding, land, and smart policies. The recent housing bond, revolving housing trust fund and the use of ARPA funds for housing are terrific starts – keep going, keep going, keep going. Review and cut if necessary the red tape for affordable housing projects, and push for state-level changes that will empower us further. To our donors and business community: your support is more critical than ever. If you’ve built a successful company here, consider that your employees, customers, and neighbors all suffer when housing is out of reach. Investing in Habitat and similar organizations isn’t charity – it’s an investment in Durham’s long-term prosperity. And to my fellow community members and housing champions: let’s not be divided by false choices. We need both new development and protections for the vulnerable, both market solutions and public subsidy. It’s not one approach or the other; it’s all of the above.

Despite all the challenges – and yes, despite the naysayers who claim the problem is too big or too far gone – I remain optimistic. I know we can do this. I’ve seen the strength and heart of the people of Durham. This is a community that doesn’t quit. So let’s prove the doubters wrong. It’s like I shared at our recent Foundation Society Reception:

I believe Durham can be the place that proves down-payment assistance at scale works—because capital, not creditworthiness, is the barrier for so many working families.
I believe we can be a “best-kept secret” no more—by telling our story with candor, data, and the faces of families we know.
I believe in apprenticeships and youth pipelines—because we must rebuild the trades if we want to rebuild affordability.
I believe in coalitions—with our city and county, with schools and universities, with builders and bankers—because land is the one thing God isn’t making more of, and we must deploy the land we have wisely.
I believe our local elected officials will help if we go together—as a unified community with a clear plan, shared risk, and transparent milestones.
I believe our best days are ahead, not behind.
I believe in this staff—their skill, integrity, and grit. I remind them daily: We are not here to prove the world wrong; we are here to prove ourselves right.
I believe Habitat Durham can help solve the “missing middle”—the homes between subsidized and market-rate that almost no one wants to build—if we pair smart design, modern financing, and public-private partnership.
I believe you believe that, too—or you wouldn’t have read this far. 🙂

Let’s seize this Affordable Housing Month as a turning point, where we commit to bold action and enduring partnerships. Despite all the naysayers, I know we can do it – with Faith, Grit, and hard work – and most importantly, with our donors and partners. Together, we will build a Durham that is not just thriving, but truly inclusive – a Durham where the doors of opportunity are open, and the welcome mat is out for all.