KeyBank launched its third Special Purpose Credit Program, KeyBank Neighbors First Credit. The program is designed to help homebuyers in underserved communities by providing credits up to $5,000 for closing costs and to prepay other expenses that come with purchasing a new home, including mortgage, flood and hazard insurance, escrow deposit, real estate taxes and per diem interest.
A KeyBank Fair Housing Month poll found that around a third of respondents (31 percent) said they did not seek out resources or information on homebuyer assistance programs. That could be because many homebuyers, especially those with lower incomes, are unaware of such available programs, tools, resources, and affordable offerings and how banks can assist with them.
“The Neighbors First Credit is the latest in a series of steps we are taking to help the communities, in which we live and work, thrive,” KeyBank Home Lending President Dale Baker said in a release. “At KeyBank helping all residents have equal access to homeownership is a priority. To do our part, KeyBank is reducing the barriers of homeownership through responsible lending products and services, educational support, and direct investment into the diverse communities we serve.”
To qualify for Neighbors First Credit, a homebuyer must finance the purchase of an owner-occupied home through a residential mortgage with KeyBank, and the home must be in an eligible community in the bank’s retail footprint and Florida. The program could reach more than 10.5 million people.
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