Last updated December 12, 2012

Partner Description:

Habitat para la Humanidad Mexico (HPHM), also known as Habitat for Humanity Mexico, is a non-profit organization that provides low-income families living in overcrowded or inadequate housing with the financial support and technical assistance needed to construct safe and affordable homes.

Approximately 2 million families across Mexico currently live in substandard housing. Registered in 1990, HPHM -- a subsidiary of the Christian U.S.-based non-profit Habitat for Humanity -- aims to provide underserved families with decent homes to live in. To date, the organization has funded over 41,000 construction loans, serving communities in 18 states across the country.

HPHM loans typically range from $475 to $2,200 USD, and can be used for new housing construction or home improvements, both major and minor (e.g. bathroom, heating or electric installation).Before their loan approval, borrowers must complete a savings program to raise 5% of the loan amount. Where possible, the Mexican government also applies subsidies to these loans.

HPHM aims to promote community development and education through the construction process with a three-stage structure:

(1) Before their credit approval, potential borrowers and their families are encouraged to join construction groups to learn technical construction skills and gain the financial literacy necessary to take out a loan.

(2) Once families have been approved, the construction groups begin to build each borrower’s home, working together to ensure that each house is safe and adequate.

(3) Families begin to repay their loans upon completion of their new home.

In addition to providing financial services, HPHM supports the communities it serves by offering financial education courses, community health improvement initiatives, and reconstruction support following natural disasters.

A unique lending approach:

In 2012 alone, Habitat for Humanity Mexico impacted more than 20,000 lives through the construction of 4,000 homes. Together, Kiva and HPHM will provide families that are currently living in substandard housing with the financial support and technical assistance necessary to build safe and affordable homes. In particular, Kiva lenders’ funds help HPHM to grow the size of its housing loans, enabling it to expand its reach and approve families that it might otherwise have to decline. By incorporating Kiva’s non-donation based funding model, HPHM also aims to achieve higher self-sufficiency and sustainability.

Habitat for Humanity Mexico joined Kiva through our Experimental Partnership Program, and has therefore received a lighter level of due diligence. Accordingly, loans associated with this partner carry a higher level of risk than typical Kiva loans.
 

Repayment Performance on Kiva

    This Field Partner All Kiva Partners
  Start Date On Kiva Dec 16, 2013 Oct 12, 2005
Total Loans $46,400 $606,062,375
Amount of raised Inactive loans $0 $550,525
Number of raised Inactive loans 0 446
Amount of Paying Back Loans $46,400 $120,732,000
Number of Paying Back Loans 21 130,204
Amount of Ended Loans $0 $484,779,850
Number of Ended Loans 0 612,886
Delinquency Rate 0.00% 4.03%
Amount in Arrears $0 $3,183,786
Outstanding Portfolio $43,611 $78,958,718
Number of loanDelinquent 0 13,773
Default Rate 0.00% 1.11%
Amount of Ended Loans Defaulted $0 $5,357,098
Amount of Ended Loans $0 $484,779,850
Number of Ended Loans Defaulted 0 16,819
Currency Exchange Loss Rate 0.00% 0.09%
Amount of Currency Exchange Loss $0 $572,888
Refund Rate 0.00% 0.75%
Amount of Refunded Loans $0 $4,553,925
Number of Refunded Loans 0 5,085

Loan Characteristics On Kiva

    This Field Partner All Kiva Partners
  Loans to Women Borrowers 54.55% 74.22%
Average Loan Size $2,210 $419
Average Individual Loan Size $2,210 $656
Average Group Loan Size $0 $1,831
Average number of borrowers per group 0 8
Average GDP per capita (PPP) in local country $11,249 $3,423
Average Loan Size / GDP per capita (PPP) 19.64% 12.23%
Average Time to Fund a Loan 5.08 days 5.71 days
Average Dollars Raised Per Day Per Loan $435.12 $73.40
  Average Loan Term 56 months 10.41 months

Journaling Performance on Kiva

    This Field Partner All Kiva Partners
  Total Journals 5 302,284
  Journaling Rate 0.00% 42.37%
  Average Number of Comments Per Journal 0.00 0.08
  Average Number of Recommendations Per Journal 0.00 1.83

Borrowing Cost Comparison (based on 2009 data)

    This Field Partner Median for MFI's in Country All Kiva Partners
  Average Cost to Borrower 6% APR 74.00% PY 33.29% PY
  Profitability (return on assets) N/A 1% -1.37%
  Average Loan Size (% of per capita income) N/A 4.00% 38.28%

Country Fast Facts

Field Partner Staff

Andrea Gutiérrez de Velasco
José Armando Márquez Cardona
Fernando Gabriel Mendoza Nevares
Ruth Palma Volantin