Possible Finance Option for new investors

[Brittany King]

Hello all,

  My name is Brittany and I am new to BP and real estate investing. I just wanted to share something that I thought could be of use to any newbies looking to finance a deal. This was copied from an email I received from Bank of America. I hope it helps someone. Have a great day!

Introducing the Affordable Loan Solution™ mortgage

Bank of America launched a new affordable loan option called Affordable Loan Solution mortgage,footnote1 created in partnership with Self-Help Ventures Fund and Freddie Mac, which was recently covered in a CNN Money article.

Your clients may be able to reduce the amount needed for their down payment with this fixed-rate loan that offers a competitive rate and a down payment as low as 3% to help make buying a home more affordable. This responsible product was designed with low- and moderate-income homebuyers in mind. Many of its features speak directly to first-time homebuyers' concerns about affordability and overcoming the down payment hurdle.

Some highlights of the Affordable Loan Solution mortgage:

Competitive rates with a down payment as low as 3% (applicants cannot own additional properties at time of closing)Homebuyer education may be required for first-time homebuyers through a HUD-approved counseling agency or Connect to Own®, Bank of America's nationwide network of counselorsfootnote1Mortgage insurance is not requiredMaximum income and loan limits apply (varies by location)Up to 97% loan-to-value/103% combined loan-to-value (CLTV > 95% requires secondary financing to be a Community Second Program)

Read more about the Affordable Loan Solution mortgage announcement.

Your clients may also qualify for down payment and cost savings programs that can be combined with a low-down-payment mortgage.

To search for programs that are available in your area, visit the Bank of America Down Payment Resource Center:footnote2

Search for down payment and cost savings programs they may qualify for that are offered by city, county and state agencies that can be used in combination with a low-down-payment mortgageReview a brief description of each program that comes up in their search, including a program number to reference when they meet with a Bank of Americamortgage specialist

To learn more, visitbankofamerica.com/neighborhoodlending today.

footnote1Available for fixed-rate purchase loans with terms of 25 or 30 years and on primary residences only. Certain property types are ineligible. Borrower(s) must not have an individual or joint ownership interest in any other residential property at time of closing. Maximum purchase loan-to-value is 97% and maximum combined purchase loan-to-value is 103%. For loan to-values > 95%, any secondary financing must be from an approved Community Second Program. Ask for details. Homebuyer education required prior to closing when all borrowers on the loan are first-time homebuyers. Restrictions apply regarding co-borrowers. Maximum income and loan limits apply.

footnote2Down 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.