HOUSING WATCH : Home Run

Acquiring a home is no easy task for first-time buyers, especially for those searching for houses in low- and middle-income neighborhoods in Los Angeles. However, the hurdle is almost insurmountable for those who faithfully pay their rent and other bills but do not have the kind of conventional credit that lenders prefer.

Because of this longstanding obstacle, homeownership has eluded many who have kept their finances in good order. This is an economic disparity that is morally wrong.

That could change under a new program called Home Works!, Los Angeles’ first major city program aimed at first-time home buyers.

The city Housing Department and the Federal Home Loan Mortgage Corp., known as Freddie Mac, have teamed to help as many as 700 families qualify for loans to purchase and renovate homes in designated Los Angeles neighborhoods.

The partnership means that the city Housing Department will be able to leverage $7 million in federal funds from the U.S. Department of Housing and Urban Development into $100 million in home loans from private lenders.

The program has two commendable goals: to stabilize and revive parts of the city through an infusion of new home owners and to help first-time buyers qualify for loans and develop rehabilitation plans if their newly bought homes need repairs.

Los Angeles is the test city in this special effort. The best compliment for the program would be for other cities to copy it. Let’s hope Home Works! works.