Borrowers now receive additional support with lowered interest rates in the first years of homeownership, plus down payment assistance.
SOUTH JORDAN, Utah – December 05, 2023 – CBC Mortgage Agency (CBCMA), a Native American wholly owned and federally chartered housing finance agency, is introducing a buydown feature for its down payment assistance (DPA) program for FHA first mortgage financing. This new feature comes a few weeks after the company decreased the interest rate offered on its down payment assistance to minimize the impact of high first mortgage rates and high home prices on low-to-moderate borrowers.
The addition of the buydown feature – which is either a 2-1 buydown or a 1-0 buydown – lowers the interest in the first formidable years of homeownership, which may make a significant difference in helping borrowers purchase a home if they can make the payments once the interest rate increases.
“The addition of a 2-1 and a 1-0 buydown feature is CBC Mortgage Agency’s continued response to the ongoing effect of the higher interest rates,” said Cari Zwick, National Program Director. “We’ve had a lot of requests for a buydown feature, and we hope it provides some relief to buyers during the current state of the housing market”.
About CBC Mortgage Agency
Founded in 2013, CBC Mortgage Agency is a nationally chartered housing finance agency. As a leading source of down payment assistance, the company helps low-to-moderate income consumers, often in minority neighborhoods, achieve the dream of homeownership. CBC Mortgage Agency, recognized as one of the Top 25 Companies in Mortgage & Servicing by MReport, is a wholly owned subsidiary of Cedar Band Corp., a federally chartered tribal corporation founded by the Cedar Band of Paiute Indians. Visit chenoafund.org for more information.
CBC Mortgage Agency plays a crucial role in the housing market by establishing consistent guidelines that may be offered across the country (except NY), making it easier for lenders to implement across their lending platforms, which benefits the borrower in the long run. Down payment assistance is essential for many families, and CBC Mortgage Agency’s programs, including its forgivable down payment assistance program, offer an alternative to relying on gifts from relatives.
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