Bank of America and the Neighborhood Assistance Corporation of America (NACA) have expanded their national affordable homeownership mortgage program for low-to-moderate income homebuyers.
The partnership aims to provide $15 billion in mortgages to low-to-moderate income (LMI) homebuyers through May 2027.
”The mortgages come with no down payment, no closing costs (paid for by Bank of America), at a below market fixed rate. This partnership has provided affordable homeownership for more than 9,100 households over the last two years and over 42,000 mortgages through the program since 1996,” said Bank of America in a statement.
“Expanding this relationship enables Bank of America to provide more mortgages to families at a time of substantial need and opportunity in America,” said Andrew Plepler, global head of Environment, Social, and Governance at Bank of America.
“We are focused on helping stabilize neighborhoods, maximize homeownership opportunities for working people and families, and build generational wealth through homeownership,” he added.
According to Bruce Marks, NACA Chief Executive Officer, “Bank of America has been NACA’s largest and most important partner in providing our Best in America Mortgage nationwide. All low- and moderate-income borrowers and others purchasing in a lower income area receive the same incredible terms, including no down payment, no closing costs and no mortgage insurance, at a below market fixed rate. This mortgage is transforming lives, with over 85% of the homeowners who use the program being people of color. This private sector partnership is the largest and most effective in the country, with one of the lowest foreclosure rates, and sets the national standard for affordable homeownership.”