Homeownership is a cornerstone of economic mobility in the United States, yet it remains out of reach for many, particularly those from marginalized communities. Home affordability is at the lowest point in 40 years as borrowing costs have surged in recent years. According to the National Association of Home Builders (NAHB), about 103.5 million households in the United States cannot afford a median-priced new home in 2024, highlighting the magnitude of this issue. Racial and gender wealth gaps remain prevalent in the U.S., and in many instances, these disparities have only widened over the past few years. White families possessed six times the average wealth of Black and Hispanic families, underscoring the persistent racial economic divide. The gender wealth gap is equally stark, with single women owning a mere 32 cents of wealth for every dollar owned by single men, further illustrating the economic challenges faced by women in building long-term financial security.
Foyer is committed to transforming the landscape of homeownership by providing a comprehensive, user-friendly platform that guides aspiring homeowners through every step of the purchasing process. The company’s flagship product is a qualified First Home Savings Account (FHSA), designed to operate as a high-yield savings account, offering a competitive 3.8% APY and a 2% contribution match from Foyer, which can be applied to down payments or closing costs. Foyer also helps aspiring homeowners navigate the complexities of various state-specific incentive programs, including tax-deductible contributions to qualified FHSAs in 11 states, ensuring they maximize their benefits. Additionally, Foyer connects customers with pre-negotiated discounts from high-quality service providers, further maximizing savings throughout the home-buying process.
By leveraging innovative technology and financial products, offering personalized recommendations, and providing educational nurturing, Foyer aims to make the dream of homeownership a reality for individuals who have historically been excluded from this crucial wealth-building opportunity. Recognizing that homeownership is a key driver of economic mobility and wealth accumulation, Foyer seeks to empower families with the tools and resources necessary to improve their financial circumstances, enabling them to build equity, access better educational opportunities, and ultimately break the cycle of poverty that often traps renters in low-income neighborhoods.
Michelle, Foyer member in New York, New York“For me, owning a home would mean I would provide my daughter with something that I did not have growing up. It would mean that I would be the first person in my family to buy a house.”
Accion Venture Lab is proud to invest in Foyer. With this funding, Foyer is set to accelerate its mission of increasing homeownership in the U.S., continuing to build innovative solutions that empower individuals on their journey to owning a home. Often referred to as the “401(k) for homeownership”, Foyer is uniquely positioned to address the challenges faced by aspiring homeowners by offering:
Personalized savings plans
Homeownership is a deeply personal and significant decision, making it essential to have individual needs uniquely met. A customized savings plan helps set realistic goals based on unique financial situations, ensuring people stay focused and motivated as they work toward their dream home. Foyer’s savings platform provides a competitive annual percentage yield (APY), potential tax savings, and a down payment match for new contributions – setting customers up for success as they save for down payments and closing costs for their future home.
Educational resources and content
Foyer is uniquely positioned to deeply understand the needs of its customers, allowing for the timely delivery of relevant content. By leveraging personalized data, Foyer tailors educational resources to align with individual financial situations and homeownership goals, such as financial literacy, credit improvement, and the home-buying process. This approach ensures that customers receive critical insights on enhancing their credit scores and navigating the home-buying journey exactly when they need them. Ultimately, Foyer empowers individuals to make informed decisions, enhancing their confidence as they pursue their journey to homeownership.
Trusted network of partners
Today, almost 90 percent of homebuyers use a real estate agent. Despite real estate agents’ important role in the home buying process, especially for first-time buyers, many choose to work with the first one they meet. Foyer aims to partner with real estate professionals who truly understand their customers’ needs and can guide them effectively through the home-buying process. By connecting first-time buyers with trusted experts in their local markets, Foyer helps save time and energy while ensuring access to valuable resources like down payment assistance programs.
Tools for tracking progress with engaging features
Foyer provides personalized tracking tools that allow users to monitor their savings progress toward homeownership goals. The platform celebrates key milestones, such as reaching savings targets or completing homebuyer education courses, to keep users motivated. Visual progress indicators help individuals see how far they’ve come, while automated updates ensure ongoing engagement. By integrating these features with educational resources, Foyer makes the journey to homeownership both tangible and rewarding and celebrates milestones along the path to homeownership.
Foyer’s innovative approach to tackling the homeownership gap aligns perfectly with our mission to improve the lives of underserved people by building innovative and responsible financial solutions. By providing both the tools and the knowledge needed to navigate the home-buying process, Foyer is opening doors to economic stability for countless individuals and families.
