Ohio Bank Launches New Program To Help Low Income Homebuyers

A new program has just been launched by an Ohio bank, and it’s not just for Ohio first time home buyers. This program is exclusively for low-income homebuyers, whether they be first-timers or not.

The Columbus Dispatch reports:

Fifth Third Bank has launched a program to help boost home sales in depressed neighborhoods and among low-income buyers.

The bank unveiled its “Community Reinvestment Mortgage Special,” which pays some closing costs for low-income buyers and for any buyers in low-income neighborhoods.

Under the program, Fifth Third will pay processing, underwriting and application fees for qualifying buyers. Savings could range from $600 to $2,000, but most central Ohio borrowers will save $1,050, said Bob Brokaw, senior vice president for mortgage with Fifth Third in central Ohio.

“We’re trying to lend in the community we serve and we think this will help some people overcome barriers to buying,” Brokaw said.

Buyers can qualify for the help in two ways:

By purchasing a home in a low-income neighborhood. Buyers can learn if a home is in a low-income neighborhood by speaking with a Fifth Third lender or by entering an address into the map function of the Federal Financial Institutions Examination Council website, www.ffiec.gov.

By having a household income less than 50 percent of the area’s median income. In central Ohio, the median income is $71,000, so those earning less than $35,500 are eligible, assuming they otherwise qualify for a loan.

>> read the full article at dispatch.com

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