Fed Communities

Contract for deed (CFD) homeownership agreements can appeal to lower-priced homebuyers who believe they are unable to qualify for or secure a mortgage. But CFDs often lack consumer protections and can cost unsuspecting buyers their home and their investment in it. In a CFD—also called a land contract or agreement for deed, among other names—a buyer agrees to certain terms and a payment schedule to pay a seller over time for a home. Once the buyer completes all payments, the seller conveys the home’s deed to the buyer. CFD sellers range from investment companies with large portfolios of CFD-financed homes to individuals with just a few local properties. Contract for deeds can be risky arrangements that too often leave buyers worse off than they were when they signed the contracts. The attorneys and researchers interviewed for this article said they could see few scenarios in which typical CFDs might help buyers enter stable homeownership. Read on to learn more about the risk associated with these agreements, and find out how an Ohio homeowner found himself facing eviction for a home he's spent years paying on. https://lnkd.in/dBHdw6QB #Housing #AffordableHousing #ContractForDeed

Research that engages communities as equal partners can yield unique, authentic insights. Community-engaged research practitioners connect with communities as partners to build trust, remove bias, and empower participants to share their lived experiences. For example, learning about the first-hand experiences of everyday workers and jobseekers through the Worker Voices project helped add depth and breadth to the Federal Reserve’s understanding of economic conditions. Insights from that project also helped inform the Fed’s dual mandate of price stability and maximum employment. Designed with researchers, policymakers, employers, and workforce organizations interested in engaging directly with the populations they serve in mind, check out Using Qualitative Research to Understand the Economy: A Toolkit. This toolkit, written by Ashley Putnam and Sarah Miller, shows how the Fed used qualitative research to inform the Worker Voices Project, and offers insights others can use to employ community-engaged qualitative research practices in their own community impact assessments and research. Utilizing these approaches and insights may help elevate those populations’ perspectives in policy, programming, and practice. https://bit.ly/4eJ5vxc

Whether filling out a digital job application, performing online banking, or completing remote coursework, having internet access is crucial to fully participate in the modern economy. However, many communities—particularly those that are rural or low-income—face significant financial and technical hurdles to getting connected. To combat this, grassroots organizations, state and federal offices, and Federal Reserve Banks have all joined the fight to close the digital divide to support a more inclusive economy. In early 2024, the American Enterprise Institute ranked ConnectLA as the nation’s top performing broadband office in its annual evaluation of state broadband programs. ConnectLA’s secret to its success—community engagement. Check out this blog by Federal Reserve Bank of Dallas colleagues to learn more about how ConnectLA is engaging and helping their community. https://lnkd.in/eYGhKCP2

Each quarter, Fed Communities will retrospectively share new community development-related research, analyses, and articles from all 12 Federal Reserve Banks and the Board of Governors in one convenient place. Discover how education and workforce development sectors are crucial in preparing individuals for fulfilling careers. Stay informed about the nation’s economic health through the monthly jobs reports. Explore the latest articles and research on workforce development from Fed experts. https://bit.ly/4gKbuDv

Know any small business leaders or owners? Tell them about this: All 12 Federal Reserve Banks are collecting responses to this year’s Small Business Credit Survey (SBCS) as part of our role in supporting a healthy economy. Every year, the Fed conducts this nationwide survey to gather insights on business and credit conditions. The findings from the SBCS are used by policymakers and service providers as they make decisions about policies and programs that affect small businesses. The annual 12-minute survey is open to for-profit businesses currently in operation, those recently closed, and those about to launch. By taking the survey, business leaders and owners contribute to data that directly inform the Fed, federal government agencies, service providers, policymakers, and others—a public good ultimately benefiting their businesses and others like theirs. The survey closes November 1, 2024. Don’t delay! https://bit.ly/4dMgGVm #SmallBiz #SmallBusinessCreditSurvey

Research that engages communities as equal partners can yield unique, authentic insights. Community-engaged research practitioners connect with communities as partners to build trust, remove bias, and empower participants to share their lived experiences. For example, learning about the first-hand experiences of everyday workers and jobseekers through the Worker Voices project helped add depth and breadth to the Federal Reserve’s understanding of economic conditions. Insights from that project also helped inform the Fed’s dual mandate of price stability and maximum employment. Designed with researchers, policymakers, employers, and workforce organizations interested in engaging directly with the populations they serve in mind, check out Using Qualitative Research to Understand the Economy: A Toolkit. This toolkit shows how the Fed used qualitative research to inform the Worker Voices Project, and offers insights others can use to employ community-engaged qualitative research practices in their own community impact assessments and research. Utilizing these approaches and insights may help elevate those populations’ perspectives in policy, programming, and practice. https://bit.ly/4eJ5vxc

The State Small Business Credit Initiative, or SSBCI, is a 10-year, nearly $10 billion program administered by the US Treasury that provides recipient jurisdictions with funding for two things: credit and investment programs for existing small businesses and start-ups (Capital Program); and technical assistance to small businesses applying for SSBCI funding and other government small business programs (Technical Assistance Grant Program). The SSBCI program was first used to help small businesses recover from the Great Recession as part of the Small Business Jobs Act of 2010. A decade later, SSBCI (“SSBCI 2.0”) was reauthorized and amended by Congress as part of the American Rescue Plan of 2021 and was scaled to meet even greater demand, especially among small businesses that are underserved. In August, jurisdictions throughout the Midwest and tribal governments convened with Treasury staff, bankers, and community development lenders in Kansas City to discuss ways to ensure funding from the SSBCI reaches small businesses and entrepreneurs, particularly those in underserved communities. Find out more in this blog post written by colleagues from the Federal Reserve Bank of Cleveland and Federal Reserve Bank of Chicago. https://lnkd.in/exVS8PNv

Any small business owner knows that in order to grow your business, you need capital. Yet data on the nation’s 33 million small businesses—particularly data on small businesses’ access to credit—are limited. The Fed’s annual Small Business Credit Survey (SBCS) helps bridge that gap. In this survey, you will share whether and how you use debt, what financial conditions you face, and more. Your anonymous responses to these questions contribute to data that directly inform the Fed, federal government agencies, service providers, policymakers, and others—a public good ultimately benefiting your business and others like yours. If you are a small business owner with less than 500 employees (or know someone who is), we invite you to share your experiences with credit access this past year. The survey is open now through November 1. https://bit.ly/4dMgGVm

Whether filling out a digital job application, performing online banking, or completing remote coursework, having internet access is crucial to fully participate in the modern economy. However, many communities—particularly those that are rural or low-income—face significant financial and technical hurdles to getting connected. To combat this, grassroots organizations, state and federal offices, and Federal Reserve Banks have all joined the fight to close the digital divide to support a more inclusive economy. In early 2024, the American Enterprise Institute ranked ConnectLA as the nation’s top performing broadband office in its annual evaluation of state broadband programs. ConnectLA’s secret to its success—community engagement. Check out this blog by Federal Reserve Bank of Dallas colleagues to learn more about how ConnectLA is engaging and helping their community. https://lnkd.in/eYGhKCP2 #DigitalDivide #DigitalInclusion

There is a well-known relationship between the amount of education a person has and their eventual earnings. Generally, the more you learn, the more you earn. For this reason, higher education has often been seen as a road to economic security and intergenerational mobility—the pathway to doing better financially compared to your parents. However, recent trends in higher education are challenging this notion. Rising tuition, cost of attendance, and increasing student debt have contributed to a slight decline in enrollment rates. These trends are a cause of for some researchers and policymakers. They fear young people may face poorer economic outcomes in the future due to missed educational opportunities today. Peruse this blog post, written by colleagues from the Federal Reserve Bank of Dallas, to learn more about how short-term credentials like a forklift driving certification, a teacher’s license, and a business analytics badge are gaining popularity. #ShortTermCredentials #EvolvingWorkforce https://lnkd.in/ef2aKT9C