Why We Partner With Builders — And What It Means for Housing Supply

The supply side of California's housing crisis is just as important as the demand side. Even if we help every eligible buyer close a purchase, there need to be homes available to buy.

FirstKey Foundation addresses this directly through our builder partnership program. We provide land acquisition and construction loans to small and medium-sized builders who are committed to producing homes within reach of middle-class buyers. In exchange, participating builders receive favorable financing and access to our buyer pipeline.

Small builders are the most responsive segment of the housing market. They can move faster than institutional developers, work in smaller infill sites that large builders ignore, and produce the 2–4 bedroom homes that families actually need.

Our builder loans recycle the same way PALs do. Capital returns when the project sells, funds the next builder, funds more homes. The model compounds over time.