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http://www.houstonhabitat.org/
3750 North McCarty Street
Houston TX 77029
Mail donations to:
3750 North McCarty Street
Houston TX 77029
Houston TX | IRS ruling year: 1987 | EIN: 76-0207084
Organization Mission
Over 35 years, Houston Habitat for Humanity built more than 1,100 homes in 14 Houston neighborhoods, including the Fifth Ward, Northeast Houston, and Southeast Houst ... (More)
Over 35 years, Houston Habitat for Humanity built more than 1,100 homes in 14 Houston neighborhoods, including the Fifth Ward, Northeast Houston, and Southeast Houston. The organization has developed eleven new communities on raw tracts of land. All Houston Habitat homeowners have incomes at or below 80% of the Area Median Income (AMI) for the greater Houston area. For a family of four, this means earning a total of $70,000 or less annually. Many have young children and believe homeownership will help them secure brighter futures for their families. Some are seniors who never gave up on their lifelong dreams of homeownership. Nearly all are first-time homeowners.
Habitat Houston believes everyone deserves a decent and affordable place to live. Now more than ever, homeownership is out of reach for most low-income families due to systemic denial of access to affordable mortgages and a decreased supply of affordable homes. The resulting homeownership gap is most significant for Black and Hispanic families and is recognized as the primary source of wealth disparity between White and families of color in the United States. More than 90% of Houston Habitat homeowners are Black or Hispanic and reflect the composition of neighborhoods we work to revitalize. By increasing homeownership in these groups, Houston Habitat is working to close the wealth gap for people of color.
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Great
This charity's score is 100%, earning it a Four-Star rating. If this organization aligns with your passions and values, you can give with confidence.
This overall score is calculated from multiple beacon scores, weighted as follows: 80% Accountability & Finance, 10% Leadership & Adaptability, 10% Culture & Community. Learn more about our criteria and methodology.
We recognize that not all metrics and beacons equally predict a charity’s success. The percentage each beacon contributes to the organization’s overall rating depends on the number of beacons an organization has earned.
Use the tool below to select different beacons to see how the weighting shifts when only one, two, or three beacons are earned.
Charity Navigator's ratings previously did not consider Leadership & Adaptability, Culture & Community, or Impact & Results. The historic rating mainly reflects a version of today’s Accountability and Finance score. More information on our previous rating methodologies can be found on our rating methodology page.
| Date Published | Overall Rating | ||
| 9/1/2021 | | ||
| 5/1/2020 | | ||
| 6/1/2019 | | ||
| 7/1/2018 | | ||
| 5/1/2017 | | ||
| 6/1/2016 | | ||
| 7/1/2015 | | ||
| 4/1/2014 | | ||
| 4/1/2013 | | ||
| 2/1/2012 |  | ||
| 9/20/2011 |  | ||
| 12/1/2010 | | ||
This organization received multiple star ratings within this fiscal year, due to an update to its Accountability and Transparency data and/or the receipt of an amended Form 990. | |||
| 4/1/2010 | | ||
| 11/1/2008 | | ||
| 11/1/2007 | | ||
| 7/1/2006 |  | ||
| 8/1/2005 | | ||
Score
Most Recent Fiscal Year:
FY 2021
This beacon provides an assessment of a charity's financial health (financial efficiency, sustainability, and trustworthiness) and its commitment to governance practices and policies.
Learn more
Full Credit
Partial Credit
No CreditMajority Independent Board Members - 100% independent members10 out of 10 points Majority Independent Board Members - 100% independent members10 out of 10 points
Industry professionals strongly recommend an independent governing body to allow for full deliberation and diversity of thinking on governance and other organizational matters. We check to see that a majority of board members are identified as independent on their tax form.
Source: IRS Form 990
Independent Board Size - 21 independent members10 out of 10 points Independent Board Size - 21 independent members10 out of 10 points
Industry professionals strongly recommend an independent governing body to allow for full deliberation and diversity of thinking on governance and other organizational matters. For most organizations, we check to see if the organization has at least three independent board members. For large, donor-funded organizations, we check to see if the organization has at least five independent board members
Source: IRS Form 990
Financial Statements - Audit and Oversight Committee20 out of 20 points Financial Statements - Audit and Oversight Committee20 out of 20 points
An Audit, Review, or Compilation provides important information about financial accountability and accuracy. Organizations are scored based on their Total Revenue Amount:
| Total Revenue Amount | Expectation to Receive Credit |
| $2 million or higher and 40% or higher donor support | Expected to complete an audit and have an audit oversight committee |
| $1 million or higher | Expected to complete an audit |
| $500,000 - $1 million | Expected to complete an audit, review, or compilation |
| Less than $500,000 | No expectation (removed from scoring methodology) |
Source: IRS Form 990
Material Diversion of Assets - None20 out of 20 points Material Diversion of Assets - None20 out of 20 points
A diversion of assets — any unauthorized conversion or use of the organization's assets other than for the organization's authorized purposes, including but not limited to embezzlement or theft — also can seriously call into question a charity's financial integrity. We review the charity's most recent IRS Form 990 to see if the charity has reported any diversion of assets.
Source: IRS Form 990
Full CreditPartial CreditNo CreditWebsite Listed on Tax Form - Listed5 out of 5 points Website Listed on Tax Form - Listed5 out of 5 points
Charity Navigator looks for a website on the IRS Form 990 as an accountability and transparency metric.
Nonprofits act in the public trust and reporting publicly on activities is an important component.
Source: IRS Form 990
Conflict of Interest Policy - Listed5 out of 5 points Conflict of Interest Policy - Listed5 out of 5 points
Charity Navigator looks for the existence of a conflict of interest policy on the IRS Form 990 as an accountability and transparency measure.
This policy protects the organization and by extension those it serves, when it is considering entering into a transaction that may benefit the private interest of an officer, director and/or key employee of the organization.
Source: IRS Form 990
Whistleblower Policy - Listed5 out of 5 points Whistleblower Policy - Listed5 out of 5 points
Charity Navigator looks for the existence of a whistleblower policy per the IRS Form 990 as an accountability and transparency measure.
This policy outlines procedures for handling employee complaints, as well as a confidential way for employees to report financial or other types of mismanagement.
Source: IRS Form 990
Document Retention and Destruction - Listed5 out of 5 points Document Retention and Destruction - Listed5 out of 5 points
Charity Navigator looks for the existence of a document retention and destruction policy per the IRS Form 990 as an accountability and transparency measure.
This policy establishes guidelines for the handling, backing up, archiving and destruction of documents. These guidelines foster good record keeping procedures that promote data integrity.
Source: IRS Form 990
Documents Board Meeting Minutes - Yes5 out of 5 points Documents Board Meeting Minutes - Yes5 out of 5 points
Charity Navigator looks to confirm on the IRS Form 990 that the organization has this process in place as an accountability and transparency measure.
An official record of the events that take place during a board meeting ensures that a contemporaneous document exists for future reference.
Source: IRS Form 990
Tax Form Distributed to Board Before Filing - Listed5 out of 5 points Tax Form Distributed to Board Before Filing - Listed5 out of 5 points
Providing copies of the IRS Form 990 to the governing body prior to filing is considered a best practice, as it allows for thorough review by the individuals charged with overseeing the organization. The Form 990 asks the charity to disclose whether or not it has followed this best practice.
Loans to/from Officers - Missing5 out of 5 points Loans to/from Officers - Missing5 out of 5 points
Making loans to related parties, such as key officers, staff, or Board members, is not standard practice in the sector as it diverts the charity's funds away from its charitable mission and can lead to real and perceived conflict-of-interest problems.
The IRS requires charities to disclose on their Form 990 any loans to or from current and former officers, directors, trustees, key employees, and other "disqualified persons." Some state laws go so far as to prohibit loans to board members and officers.
Although employees and trustees are permitted to make loans to charities, this practice can also result in real and/or perceived conflict of interest problems for the charity. Furthermore, it is problematic because it indicates that the organization is not financially secure. Our analysts check to see if any loans have been made.
Full CreditPartial CreditNo CreditTax Form Posted on Nonprofit's Website - Listed5 out of 5 points Tax Form Posted on Nonprofit's Website - Listed5 out of 5 points
For almost all charities, we check the charity's IRS Form 990 to see if it discloses that the Form 990 is available on the charity's website. As with the audited financial statement, donors need easy access to this financial report to help determine if the organization is managing its financial resources well.
Source: IRS Form 990
Full CreditPartial CreditNo CreditLiabilities to Assets: Ratio - 4.83%25 out of 25 points Liabilities to Assets: Ratio - 4.83%25 out of 25 points
The Liabilities to Assets Ratio is determined by Total Liabilities divided by Total Assets (most recent IRS Form 990). This ratio is an indicator of an organization's solvency and/or long-term sustainability.
Source: IRS Form 990
Program Expense: Ratio - 86.56%25 out of 25 points Program Expense: Ratio - 86.56%25 out of 25 points
The Program Expense Ratio is determined by Program Expenses divided by Total Expense (average of most recent three IRS Forms 990). This measure reflects the percent of its total expenses a charity spends on the programs and services it exists to deliver.
Source: IRS Form 990
Fundraising Efficiency: Ratio - $0.0925 out of 25 points Fundraising Efficiency: Ratio - $0.0925 out of 25 points
The amount spent to raise $1 in charitable contributions. To calculate a charity's fundraising efficiency, we divide its average fundraising expenses by the average total contributions it receives. We calculate the charity's average expenses and average contributions over its three most recent fiscal years.
Source: IRS Form 990
Working Capital: Ratio - 2.87 years25 out of 25 points Working Capital: Ratio - 2.87 years25 out of 25 points
Determines how long a charity could sustain its level of spending using its net available assets, or working capital, as reported on its most recently filed IRS Form 990. Dividing these net available assets in the most recent year by a charity's average total expenses, yields the working capital ratio. We calculate the charity's average total expenses over its three most recent fiscal years.
Source: IRS Form 990
This chart displays the trend of revenue and expenses over the past several years for this organization, as reported on their IRS Form 990.
Presented here are up to five of this organization's highest compensated employees. This compensation data includes salary, cash bonuses, and expense accounts and is displayed exactly how it is reported to the IRS. The amounts do not include nontaxable benefits, deferred compensation, or other amounts not reported on Form W-2. In some cases, these amounts may include compensation from related organizations. Read the IRS policies for compensation reporting
Allison Hay, Executive Dir.
$180,533
Myra Hoskin Mallet, Cfo
$156,736
Patricia Sanders, Controller
$123,860
Leslie Cobb-hector, Chair
Compensation not entered
Lee Herman, Vice Chair
Compensation not entered
Source: IRS Form 990 (page 7), filing year 2021
Below are some key data points from the Exempt Organization IRS Business Master File (BMF) for this organization. Learn more about the BMF on the IRS website
Foundation Status:
Organization which receives a substantial part of its support from a governmental unit or the general public 170(b)(1)(A)(vi) (BMF foundation code: 15)
Affiliation:
Independent - the organization is an independent organization or an independent auxiliary (i.e., not affiliated with a National, Regional, or Geographic grouping of organizations). (BMF affiliation code: 3)
The Form 990 is a document that nonprofit organizations file with the IRS annually. We leverage finance and accountability data from it to form Encompass ratings. Click here to search for this organization's Forms 990 on the IRS website (if any are available). Simply enter the organization's name (Houston Habitat for Humanity) or EIN (760207084) in the 'Search Term' field.
Not Currently Scored
Houston Habitat for Humanity cannot currently be evaluated by our Impact & Results methodology because either (A) it is eligible, but we have not yet received data; (B) we have not yet developed an algorithm to estimate its programmatic impact; (C) its programs are not direct services; or (D) it is not heavily reliant on contributions from individual donors.
Note: The absence of a score does not indicate a positive or negative assessment, it only indicates that we have not yet evaluated the organization.
Score
This beacon provides an assessment of the organization's culture and connectedness to the community it serves.
Learn more
Full CreditPartial CreditNo CreditConstituent Feedback - Data Available100/100 points Constituent Feedback - Data Available100/100 points
30% of beacon score
This organization reported that it is collecting feedback from the constituents and/or communities it serves. The methodology leveraged for Constituent Feedback is based on The Core Principles of Constituent Feedback, which describes listening and responding well to feedback. Charity Navigator participates in a consortium with other feedback experts and leading nonprofit infrastructure platforms to drive Constituent Feedback's advancement, promotion, and data collection.
How is your organization using feedback from the people you serve?
To identify and remedy poor client service experiences, To identify bright spots and enhance positive service experiences, To make fundamental changes to our programs and/or operations, To inform the development of new programs/projects, To identify where we are less inclusive or equitable across demographic groups, To strengthen relationships with the people we serve
What challenges does your organization face in collecting feedback from the people you serve?
It is difficult to get the people we serve to respond to requests for feedback, We don't have the right technology to collect and aggregate feedback efficiently, It is difficult to find the ongoing funding to support feedback collection, Staff find it hard to prioritize feedback collection and review due to lack of time
Equity Practices - Data Available93/100 points Equity Practices - Data Available93/100 points
70% of beacon score
This organization's score of 93 is a passing score. The organization reported that it is implementing 11 Equity Practices.
This assessment demonstrates the importance of implementing practices that contribute positively to an organization's overall culture, both internally and with respect to community engagement. Furthermore, equity centered frameworks and similar approaches have drawn much attention from donors, experts, and sector leaders who underscore its value to the nonprofit's overall health and capacity for mission success. Currently, the Equity Strategies Checklist assessment consists of practices and policies that promote racial equity in their operations and programs (per the Equity Strategies checklist administered by Candid). As we refine our DEI assessment, Charity Navigator partners with DEI consultants and field experts to broaden and deepen this work.
| Equity Practices (5/7) | |
We review compensation data across the organization (and by staff levels) to identify disparities by race. | |
We ask team members to identify racial disparities in their programs and/or portfolios. | |
We analyze disaggregated data and root causes of race disparities that impact the organization/'s programs, portfolios, and the populations served. | |
We disaggregate data to adjust programming goals to keep pace with changing needs of the communities we support. | |
We employ non-traditional ways of gathering feedback on programs and trainings, which may include interviews, roundtables, and external reviews with/by community stakeholders. | |
We disaggregate data by demographics, including race, in every policy and program measured | |
We have long-term strategic plans and measurable goals for creating a culture such that one’s race identity has no influence on how they fare within the organization. | |
| Equity Policies and Procedures (6/7) | |
We use a vetting process to identify vendors and partners that share our commitment to race equity. | |
We have a promotion process that anticipates and mitigates implicit and explicit biases about people of color serving in leadership positions. | |
We seek individuals from various race backgrounds for board and executive director/CEO positions within our organization. | |
We have community representation at the board level, either on the board itself or through a community advisory board. | |
We help senior leadership understand how to be inclusive leaders with learning approaches that emphasize reflection, iteration, and adaptability. | |
We measure and then disaggregate job satisfaction and retention data by race, function, level, and/or team. | |
We engage everyone, from the board to staff levels of the organization, in race equity work and ensure that individuals understand their roles in creating culture such that one’s race identity has no influence on how they fare within the organization. | |
Score
This beacon provides an assessment of the organization's leadership capacity, strategic thinking and planning, and ability to innovate or respond to changes in constituent demand/need or other relevant social and economic conditions to achieve the organization's mission.
Learn more
Full CreditPartial CreditNo CreditMission 10/10 points Mission 10/10 points
The nonprofit organization presents evidence of strategic thinking through articulating the organization's mission
Over 35 years, Houston Habitat for Humanity built more than 1,100 homes in 14 Houston neighborhoods, including the Fifth Ward, Northeast Houston, and Southeast Houston. The organization has developed eleven new communities on raw tracts of land. All Houston Habitat homeowners have incomes at or below 80% of the Area Median Income (AMI) for the greater Houston area. For a family of four, this means earning a total of $70,000 or less annually. Many have young children and believe homeownership will help them secure brighter futures for their families. Some are seniors who never gave up on their lifelong dreams of homeownership. Nearly all are first-time homeowners. Habitat Houston believes everyone deserves a decent and affordable place to live. Now more than ever, homeownership is out of reach for most low-income families due to systemic denial of access to affordable mortgages and a decreased supply of affordable homes. The resulting homeownership gap is most significant for Black and Hispanic families and is recognized as the primary source of wealth disparity between White and families of color in the United States. More than 90% of Houston Habitat homeowners are Black or Hispanic and reflect the composition of neighborhoods we work to revitalize. By increasing homeownership in these groups, Houston Habitat is working to close the wealth gap for people of color.
Vision 10/10 points Vision 10/10 points
The nonprofit organization presents evidence of strategic thinking through articulating the organization’s vision.
A world where everyone has a decent place to live.
Source: Nonprofit submitted responses
Goals 20/20 points Goals 20/20 points
The nonprofit organization presents evidence of strategic thinking and goal setting through sharing their most important strategic goals.
Goal One: Build Organizational Capability
Goal Type: Grow, expand, scale or increase access to the existing programs and services.
Goal Two: Double the annual number of new Houston Habitat homeowners
Goal Type: Focus on core programs to achieve mission and scale back on programs not seen as core.
Goal Three: Improve Systems and Processes
Goal Type: Invest in the capacity of our organization (financial, management, technical, etc.).
Leadership Development 15/15 points Leadership Development 15/15 points
The nonprofit provides evidence of investment in leadership development
Describe an investment in leadership
Our leadership team holds a retreat each year to develop annual strategic goals. Leaders budget for staff development education and are encouraged to give staff opportunities to lead. Every other year our organization travels to a national Habitat conference where staff can interact with their peers in other markets and learn best practices. We also make certain staff access industry societies to gain insight into current trends, network and participate in training opportunities.
Mobilizing for Mission 15/15 points Mobilizing for Mission 15/15 points
The nonprofit provides evidence of leadership through focusing externally and mobilizing resources for the mission.
This organization mobilizes for mission in the following ways:
Strategic Partnerships
Networks of Collective Impact Efforts
Thought Leadership
Raising Awareness
Community Building
Policy Advocacy
What are this organization’s external mobilizaton efforts?
Houston Habitat partners with other nonprofit organizations to address disaster repair and recovery, educate our homebuyers on financial literacy, and increase homeownership for people of color. Houston Habitat participates in state and federal Habitat for Humanity advocacy programs where we have the opportunity to speak directly to elected officials about affordable housing in our city. Houston Habitat offers monthly homeownership information sessions in English and Spanish and offers two virtual homeownership fairs annually to inform the public about the benefits of owning a home. Executive Director, Allison Hay, presents at national and local events to discuss affordable housing and how we work to solve the crisis in Houston. Houston Habitat has a very active social media presence where we not only highlight our volunteers and donors but also inform the public about the benefits of homeownership, disaster preparedness, home maintenance, and financial tips.
Adaptability Story 30/30 points Adaptability Story 30/30 points
The nonprofit has an opportunity to tell the story of how the organization adapted to tremendous external changes in the last year.
Like many nonprofits, we were concerned about the global pandemic financially devastating our business but also deeply worried for the health of our Habitat family – staff, homeowners, board members, and friends. Houston Habitat’s experience with natural disasters gave us the strength to make the best of two challenging years. We are a team of doers that quickly looked for ways to continue our work and meet people where they were, at home. And home came to mean something very different in 2020. Home was everything, your office, school, and place of worship. How could we continue to build, repair, keep our ReStores open and work with potential new homeowners? Pivoting became a buzzword, and Houston Habitat pivoted to working with new safety measures, masks, and technology to move our work forward. Online meetings, celebrations, information sessions, fundraising events, and home tours populated our calendars. The tragic murder of George Floyd sparked an uprising for racial justice, and Houston Habitat jumped into challenging conversations about diversity, equity, and inclusion. I am proud that our team embraced learning about systemic racism, implicit bias, and the role that discriminatory housing has played in creating racial inequity. As the supply chain was damaged, the cost to build homes increased, and the real estate boom meant higher prices for land and bigger appraisal values. The challenge remains how to keep homes affordable. We have been creative in sourcing new vendors, acquiring donated products, and buying in bulk to reduce costs. We have added more options to our portfolio to subsidize home purchases and identified new mortgage products to keep interest rates low or zero. The changes Houston Habitat made to accommodate remote work, and the focus on diversity and inclusion have permanently changed our office landscape and way of work. In the end, the past two years strengthened our resolve to build hope and create better futures for Houstonians.
Impact & Results
Accountability & Finance
Culture & Community
Leadership & Adaptability
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