Hartford Team Provides Hands-On Financial Education to Help Residents Achieve Homeownership

 

City of Hartford Treasurer Carmen Sierra and her team discuss the 2023 Bank Fair, scheduled to take place in the City Hall Atrium on November 20, 2023. Photo, Boceto Media

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Hartford, CT.- Financial literacy is essential for major decisions like buying a home, yet many in low- and moderate-income communities lack the necessary resources. The 2024 financial literacy index shows U.S. financial literacy has remained around 50 percent for the past eight years, with a 2 percent decline in the past two years. Americans are most knowledgeable about borrowing, saving, and spending but struggle with understanding financial risk. 

The 2024 Bank Fair will be held Wednesday, Nov. 20, from 9 a.m. to 4 p.m. in the Hartford City Hall Atrium. Spanish-language resources will be available to better serve the city's diverse population, as the need for financial education continues to grow. The event offers a unique opportunity for participants to engage in smaller, more interactive groups. Unlike the previous symposium, which featured structured, classroom-style presentations, this event will focus on hands-on learning, allowing attendees to ask questions and compare available resources.

Rashia Schand, an affordable loan officer at Liberty Bank, is using her personal journey to help others achieve homeownership and financial stability. Raised in Hartford, Schand faced significant challenges, including losing her home after her grandmother’s death. At 21, with support from the City of Hartford’s homebuyer program, she purchased her first home. Schand’s decision set her on a path to success, leading to a career in finance, including work at Travelers Insurance and volunteering with financial education nonprofits. 

Rashia Schand and Carmen Sierra. Photo, Hartford City Treasurer's office

 “After having four kids, I wasn’t sure what I wanted to do next, but I continued my work in financial literacy. I ended up writing a book and connected with Liberty Bank through Carmen (Sierra), who introduced me to the first financial literacy program they held in Hartford,” Schand said. “I did a workshop with them, and through that connection, I met the team at Liberty Bank. I learned more about the role, applied, and now I’m one of the affordable loan officers on the team.” 

Hartford City Treasurer Carmen Sierra collaborates with local financial institutions, including Liberty Bank, where Schand works, along with Webster Bank, Bank of America, The Hartford Credit Union, Voya, and SinCap, to ensure residents receive the support they need. Many of these institutions offer bilingual services to help non-English speakers navigate financial resources. 

Hartford City Treasurer, Carmen Sierra. Photo, Boceto Media

“My office has collaborated on numerous projects, helping first-time homebuyers navigate the process,” Sierra said. “They’ve also been involved in projects in Hartford, particularly in the North End.” 

The table provides data on the percentage change in home prices from 2019 to 2024 for several metro areas in Connecticut. 

Here's the breakdown: These figures show the changes in home prices year over year and highlight that from 2020 to 2024, all these Connecticut metro areas are projected to see substantial increases, with New Haven-Milford expected to see the highest rise at 30.5 percent.

Bridgeport-Stamford-Norwalk, CT

Home price changes from 2019 to 2024:

• 2019: 0.2%
• 2020: 0.6%
• 2021: 15.1%
• 2022: 2.3%
• 2023: 1.0%
• 2024 (projected): 8.3%

Total change (2020-2024): 28.7% increase.

Hartford-East Hartford-Middletown, CT

Home price changes from 2019 to 2024:

• 2019: 0.3%
• 2020: 2.0%
• 2021: 12.2%
• 2022: 2.3%
• 2023: 3.5%
• 2024 (projected): 8.8%

Total change (2020-2024): 29.2% increase.

New Haven-Milford, CT

Home price changes from 2019 to 2024:

• 2019: 1.4%
• 2020: 2.2%
• 2021: 14.8%
• 2022: 3.4%
• 2023: 4.4%
• 2024 (projected): 5.3%

Total change (2020-2024): 30.5% increase.

“One of the biggest concerns is that people want to learn how to improve their credit,” Sierra said. “This isn’t just a problem for minorities; it’s a problem everywhere. Improving your credit is important because it opens up opportunities for you and your family.” 

According to Nasdaq, the average credit score in Connecticut as of March 2024 is 726, with Millennials and Gen Z nearing an average score of 700. 

“Financial literacy is not just an issue for minorities, it’s a global issue,” Sierra says. “Once people understand the process, they can take small, manageable steps toward improving their financial standing.” 

Through events like the "Bank Fair" and the newly launched bilingual Financial Symposium, Sierra says her office provides opportunities for residents to meet with financial professionals, learn about homebuyer programs, and access tools for building financial stability. 

Liberty Bank, one of the partners in the program, reported its total loan production activity in Hartford. 

The information reveals both promising and challenging trends. On the positive side, 56 loans were successfully closed, totaling more than $15 million, with programs such as Good Neighbor, Hartford Plus Fixed, and Home Equity Line of Credit leading the way. An additional 157 loans were prequalified, indicating strong demand. 

Data provided by the Hartford Treasurer's office

 However, the high drop-off rate remains a concern, as only 35 percent of prequalified loans moved forward to closure. Meanwhile, 35 applications, totaling over $6 million, were either denied or withdrawn. Several factors may be contributing to the issue, including affordability and buyer hesitation. Inflation has driven up the cost of living in Connecticut, making it harder for low-income families to afford housing. Additionally, buyers are showing more hesitation to purchase homes amid rising inflation. 

“Many people in our community don’t realize they can start saving and investing at any age. It’s about financial education,” Sierra said. You’d be surprised at how much you can save and how much wealth you can build over time.” 

2023 Bilingual financial literacy symposium by the City of Hartford's Treasurer office.

“When I bought my home, I was able to get the CHFA down payment assistance. I didn’t have thousands of dollars saved up; I was just out of college. But a lot of people think they need a 10% or 20% down payment to buy a home. They don’t realize that there are down payment assistance programs out there. They also think they need a high credit score to qualify, but that’s not always the case. Schand said. “So when we teach these workshops and people start to have these "aha moments," it’s so rewarding. Even if they don’t buy a house tomorrow, at least they’re now educated and understand that it’s possible.” 

Sierra says these programs are also available to non-Hartford residents, as the banks assist anyone interested in financial education. However, as City Treasurer, Sierra’s primary focus is on the Hartford community, especially employees who wish to live and purchase property within the city.

For those still on the fence about attending tomorrow’s event or considering homeownership, Sierra encourages them to take action, “If you’re paying over $1,000 a month in rent, it’s time to think about buying a home. With the right resources and guidance, homeownership could be more attainable than you think,” she says. “And we’re here to help you every step of the way.”

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