Cristal Otero for District 3

Promoting Livability and Resilience

Investing in practical approaches to increase housing stock, protect against displacement, and support those experiencing homelessness.

Experienced Leadership for the 21 Neighborhoods of District 3

Expanding Affordable Home Ownership Opportunities for Portland

Access to home ownership is one of the most important steps toward financial stability and community-building. However, for many Portlanders—especially those on fixed incomes—the path to home ownership can seem out of reach. To address this, I propose looking at successful programs across the country, as well as local initiatives, that have empowered low-income and fixed-income residents to become homeowners, ensuring affordability and stability in the long term. Here’s my vision for how Portland can move forward:

1. Housing Choice Voucher (HCV) Home Ownership Program

Model Overview: The HCV program, administered by the U.S. Department of Housing and Urban Development (HUD), enables eligible low-income individuals to use vouchers toward purchasing a home, providing ongoing assistance with home ownership expenses. Application to Portland: Expanding the HCV Home Ownership Program can empower more residents on fixed incomes to transition from renting to owning, offering long-term housing stability.

2. Shared Equity Home Ownership (Inspired by Vermont’s Model)

Model Overview: Vermont’s Shared Equity Home Ownership program helps first-time home buyers purchase homes at below-market rates. In return, homeowners agree to share the appreciation in value when they sell, ensuring the home remains affordable for future buyers. Application to Portland: A shared equity program in Portland would create affordable home ownership options while ensuring homes remain accessible for future generations, building wealth and stability for families.

3. Proud Ground (Community Land Trust Model)

Model Overview: Proud Ground, a Portland-based nonprofit, makes home ownership affordable for first-time buyers by retaining ownership of the land, while the homeowner builds equity in the home. Proud Ground primarily serves BIPOC communities. Application to Portland: Supporting organizations like Proud Ground ensures that individuals on fixed incomes can access sustainable home ownership opportunities, and housing remains permanently affordable.

4. Permanently Affordable Homes (Modeled on Boulder, Colorado’s Approach)

Model Overview: Boulder’s Permanently Affordable Homes Program allows residents to purchase homes at reduced prices, but with a resale cap to maintain affordability for future buyers. Application to Portland: A similar program would provide lasting affordable housing solutions while giving residents on fixed incomes the opportunity to buy a home and keep homes affordable across generations.

5. Habitat for Humanity

Model Overview: Habitat for Humanity partners with individuals and families to build or rehabilitate homes, offering affordable home ownership opportunities through sweat equity and favorable mortgage terms. Application to Portland: Expanding support for Habitat’s initiatives in Portland provides additional pathways to home ownership for residents on fixed incomes, leveraging community involvement.

6. Home Purchase Assistance Program (Inspired by Washington D.C.)

Model Overview: Washington D.C.’s HPAP provides interest-free loans and closing cost assistance to low- and moderate-income home buyers, reducing the upfront barriers to home ownership. Application to Portland: A similar program would help residents on fixed incomes cover down payments and closing costs, making home ownership more attainable.

7. Deferred Payment Loans (Modeled on California’s CalHFA Program)

Model Overview: California’s CalHFA offers deferred-payment loans to low-income home buyers, which only need to be repaid when the home is sold or the mortgage is paid off. Application to Portland: Implementing a deferred-payment loan program would make it easier for residents on fixed incomes to purchase homes without immediate financial strain.

8. Individual Development Accounts (IDAs)

Model Overview: IDAs are matched savings accounts that help low-income individuals save for specific goals, such as purchasing a home. Participants receive matching funds to boost their savings. Application to Portland: Promoting IDAs can assist individuals on fixed incomes in accumulating the necessary savings for a down payment, enhancing their home ownership prospects.

9. Down Payment Assistance Programs

Model Overview: Organizations like the African American Alliance of Home Ownership (AAAH) provide down payment assistance to first-time home buyers, making home ownership more accessible. Application to Portland: Expanding and supporting down payment assistance programs can help alleviate a major barrier to home ownership for individuals on fixed incomes.

10. Cooperative Housing Models

Model Overview: Cooperative housing involves collective ownership and management of housing units, offering an alternative to traditional home ownership that can be more affordable and community-oriented. Application to Portland: Supporting cooperative housing initiatives can provide additional affordable housing options, fostering community engagement and shared responsibility among residents.

A Vision for an Inclusive Home Ownership Future

By integrating and supporting these diverse models and programs, Portland can enhance pathways to home ownership for individuals on fixed incomes. We can collaborate with local nonprofits, leverage federal programs, and promote innovative housing solutions like shared equity, cooperative housing, and down payment assistance. Through creative, inclusive policies, we can make home ownership a reality for all Portlanders, ensuring stability, affordability, and equity in our city’s housing market.

Collaborative Approach

I believe in the power of partnerships. By working closely with community organizations, regional leaders, and local government, I will ensure that District 3’s needs are prioritized and addressed effectively.

Tiered Business Tax Structure
I propose repealing the city’s 2019 business tax increase and replacing it with a tiered tax structure. Businesses with revenues below $500,000 would pay a reduced 2% rate, while those above $2 million maintain the 2.6% rate. This ensures small businesses aren’t overburdened while still contributing fairly. Additionally, I would create a unified online portal for city and county tax submissions, streamlining the process and reducing complexity for businesses.

Increase Investment in Urban Cooling
To combat the urban heat island effect, I propose increasing investment in tree planting, cool pavements, and solar canopies. Expanding tree coverage and installing cool pavements will lower surface temperatures, improve air quality, and reduce heat-related health risks, while solar canopies can generate renewable energy. These changes will advance Portland’s climate goals, benefiting businesses and communities alike.

Commitment to Racial Equity

My work has always been grounded in equity and inclusion. I am dedicated to engaging with all community members, ensuring that every voice is heard and respected.

Portland Must Act to Address Housing Shortfall

While the city has rightly focused on affordable housing, we need to balance that with a unique strategy for multifamily homes, which often attract national corporations. We should prioritize local and regional developers.

The city is already working on pre-approved building plans for multifamily housing, and the first step should be to accelerate this effort and release the plans within the next six months. I propose creating a dedicated division within the Bureau of Development Services (BDS) focused on multifamily projects for two years. This division would work with pre-approved third-party review firms to speed approvals, create a predictable timeline, and adjust staffing to meet demand.

Shortening approval times is key because material costs fluctuate, and delays can make projects financially unviable.

Proven Track Record

With a background in social work and over a decade of experience in social services, and five years of experience in city and county government, I have successfully managed housing and homelessness initiatives that serve our most vulnerable populations.

I am deeply committed to community engagement and racial equity, ensuring my work is inclusive and transformative for marginalized populations. My leadership has been recognized through awards like the Hallie Ford Merit Scholarship, Laurels Graduate Scholarship, and the Hatfield Fellowship.

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