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Once buyers have an idea of how much they will be able to save for a down payment, your mortgage specialist can help them review the many loan products that may meet their needs. In addition to conventional loans, many of your clients may qualify for Federal Housing Administration (FHA) loans,2 which typically require only a 3.5% down payment. Another option is the FHA 203(k) Renovation Loan,3 which combines in one loan the funds needed to both buy and renovate the property. It’s ideal for qualified buyers because it allows them to consider properties that may require repairs or updating.
This is just one of the ways Bank of America helps communities thrive by building relationships, sharing information and providing programs that educate consumers about homeownership. We are committed to helping you grow and enhance your business. We want to connect, share information, and make a meaningful impact in neighborhoods across the country.
Life’s better when we’re connected®
While first-time buyers have several options to consider on the path to homeownership, it’s more important than ever for you to ensure your clients understand the resources and tools that are available to help them navigate the mortgage process. This includes letting them know about informative websites such as bankofamerica.com/webinars. This site can help your clients increase their financial know-how through a series of free financial education webinars that are available 24/7. Webinar topics include preparing a budget, understanding and managing credit, helping to make buying a home more affordable, and more.
To learn more, visit bankofamerica.com/neighborhoodlending
1 Down payment and/or closing cost assistance programs may not be available in your area. Down payment and/or closing cost assistance amount may be due upon sale, refinance, transfer, or repayment of the loan, or if the senior mortgage is assumed during the term of the loan. Some programs require repayment with interest, and borrowers should become fully informed prior to closing. Not all applicants will qualify. Minimum credit scores may apply. Sales price restrictions and income requirements may apply. Homebuyer education may be required. Owner-occupied properties only. Maximum loan amounts may apply. 2 FHA mortgage insurance protects the lender if a borrower defaults on the FHA loan. Each FHA borrower pays a mortgage insurance premium. The premiums are collected and used by the FHA to reimburse the lender (not the borrower) should the borrower default and the lender must foreclose upon the loan/sustain a loss. This insurance enables a lender to provide loan options and benefits often not available through conventional financing. Minimum credit scores apply. Not all applicants will qualify. Maximum loan amount varies by county. 3 Available on a 30-year fixed-rate product only. $5,000 min. loan amount (does not apply to FHA Streamline 203(k)). The maximum loan-to-value for single family residences is 96.5% of (1) the sum of the purchase price and cost of improvements, or (2) the as-improved appraised value, whichever is less. FHA Up Front Mortgage Insurance Premium (UFMIP) and Monthly Insurance Premiums (MIP) apply. Ask for details. Note: UFMIP can be 100% financed into the mortgage or paid entirely in cash at closing. All renovation construction and/or additions financed with Section 203(k) mortgage proceeds must comply with HUD; ask for details. Where required, work must be performed by a licensed contractor. Timing of resale of property subject to restrictions. Renovation construction must begin within 30 days of closing and all work must be completed within 6 months of closing. Subject to satisfactory appraisal report(s). Not available for investment properties. Restrictions on secondary financing may apply. State restrictions may apply. Minimum credit scores apply. Not all applicants will qualify. FHA 203(k) refinances available on fixed-rate product only; qualified borrowers must be current holders of Bank of America Home Loans® mortgages. (Please note: Bank of America offers FHA refinance loans to existing Bank of America home loan customers only.) Credit and collateral are subject to approval. Terms and conditions apply. This is not a commitment to lend. Programs, rates, terms and conditions are subject to change without notice. Bank of America, N.A., Member FDIC. Equal Housing Lender. ©2014 Bank of America Corporation. ARQS3YJ7 07-2014 AD-07-14-0046