$50K ‘Lift Up’ grants unlock homeownership for underserved buyers

"Greylock has changed our lives."

The borrower dropped the phone, sobbing, after she learned a $50,000 Lift Up Homeownership grant had helped to turn her rental into her very first home. Greylock Federal Credit Union Senior Underwriter Catherine Squires still hears the moment in her head.

"It never gets old telling people they've qualified," she said.

What Lift Up Homeownership delivers

Funded by FHLBank Boston, Lift Up Homeownership offers up to $50,000 in forgivable downpayment and closing cost assistance to people of color—and now first-generation buyers—earning up to 120% of the area median income. The aid is booked as a silent second mortgage and disappears after five years of owner occupancy.

"For some borrowers, this is the only avenue that can get them into a house and give them stability," said Kaci Nowicki, assistant vice president of residential lending at Greylock, located in Pittsfield, Mass.

Anyone who self-identifies as one or more of the following racial or ethnic groups is eligible:

  • Black / African American
  • American Indian or Alaska Native
  • Hispanic / Latino
  • Asian
  • Native Hawaiian or Other Pacific Islander

Greylock's reason to pounce

At $1.6 billion in assets and 100,000-plus members, Greylock views Lift Up as a mission made tangible. Squires calculates that the full $50,000 grant shaves roughly $300 a month from a borrower's payment—a gamechanger in Berkshire County's tight housing market.

"Grant rollout season is a big deal," Nowicki added. "It turns a 'no' into a 'yes' when prices and PMI make homeownership feel out of reach."

Inside the portal sprint

Eighty-nine percent of members say their credit union has improved their financial well-being, and this program represents the true partnership credit unions have with their members.

Twice a month, FHLBank opens its funding window. Greylock prepares weeks ahead:

  • Pipeline scrub: Underwriters flag members who meet income limits or lack conventional credit.
  • Training on tap: FHLBank's webinars walk staff through enrollment, application, and funding. "It's not as scary as it seems," Nowicki says. "Their support is super-responsive."
  • Seconds count: Underwriters log in the moment funds drop. Greylock's goal this year is to capture its 10 household, $500,000 cap before the pool is drained.

Numbers that tell the story

Credit unions believe in supporting their members and their communities by creating products and services designed to suit member needs, including the underserved. Credit unions have long had a history of rent-to-own programs, first-time homeowner programs, and financial literacy and wealth-building programs to assist millions of Americans on their path to financial well-being.

Since 2023, more than 10 families have accessed $600,000 in grants, and those figures translate into real equity.

"A $50k boost lowers the principal, wipes out PMI, and lets members keep their savings for repairs or emergencies," Squires explained.

Lives changed, wealth built

Beyond spreadsheets are stories of keys finally turning in locks. The tearful caller wasn't alone. One couple purchased the very home they'd rented for years. Another first-generation buyer told Nowicki the grant "moved my family from a cycle of renting to a legacy of ownership." Each success tightens the racial wealth gap that the program was designed to address.

Lift Up lets credit unions convert mission into balance sheet reality: affordable, low-risk first mortgages that build member loyalty and community wealth.

"That's (up to) 10 households—and (up to) 10 generational wealth stories," Nowicki says. "If your credit union can process a mortgage, it can run Lift Up."

Takeaways for peer credit unions

These steps can help credit unions position themselves as the best financial partner for more than 140 million members nationwide.

  1. Act early, act fast. Prequalify borrowers well before grant season; funds are first come, first served.
  2. Leverage the training. FHLBank's templated process keeps compliance headaches small.
  3. Tell the stories. Member testimonials turn a niche program into a brand-wide rallying point.
  4. Measure the impact. Savings, equity growth, and community-level wealth metrics provide data for boards and regulators alike.