Down payment assistance needs to provide value for lenders, real estate agents, and homebuyers. Lenders need to be profitable, real estate agents need to combat home buying challenges, and homebuyers need an opportunity to build wealth. With CBC Mortgage Agency’s Chenoa Fund, each party can be satisfied and find the perfect opportunity to take advantage of a down payment assistance program… but how? In this article we will discuss how CBC Mortgage Agency’s down assistance payment program, Chenoa Fund, can help make an impact.
Helping lenders become profitable
We know that lenders have the challenge of offering rates that are competitive in a market that has a lot of competition. CBC Mortgage Agency’s Chenoa Fund allows lenders to offer fair rates that help borrowers move forward confidently with great loan options, while at the same time offering a generous SRP to lenders. This allows lenders to be competitive and profitable at the same time. Also, part of the added value Chenoa Fund offers is easy communication between our team and yours. Not only are we there before the closing, we also remain in touch and maintain communications that go beyond the closing date. This allows lenders to focus on more tasks that can enhance profitability.
Combating roadblocks with real estate agents
Chenoa Fund helps real estate agents provide much-needed flexibility to homebuyers with down payment struggles. This adds value to the real estate agent that can now alleviate the frustration that home buyers face when they believe that the only way to purchase a home is with an out-of-pocket 20% down payment. Chenoa Fund is also a great option for a real estate agent because CBC Mortgage Agency can provide compliant lenders that offer Chenoa Fund’s DPA Edge: Soft Second loan. This loan is forgiven if a borrower meets the homebuyer forgiveness conditions, which are determined by the down payment amount of 3.5% or 5%. With this option available, a real estate agent can now offer the homebuyer a very attractive down payment and closing cost relief option. Then the borrower can use that money in other areas, or keep their savings at a comfortable amount in case of emergencies and the challenges that just seem to happen after a home is purchased.
Giving homebuyers the right down payment assistance program and onboarding
Understanding down payment assistance can be very difficult for a first-time homebuyer. It’s important for lenders to have a variety of options that fit the borrowers’ lifestyle, as well as effective education to help prevent confusion. In addition, borrowers need to have options that meet their budget and mitigate risk. In steps Chenoa Fund, CBC Mortgage Agency’s down payment assistance program. All of our programs offer 3.5% for the second mortgage; in addition, The Rate Advantage and DPA Edge Soft Second programs also offer 5% down payment assistance, which allows a borrower to have greater financial flexibility. In addition, CBC Mortgage Agency already has established relationships with many lenders, which helps make using Chenoa Fund quick and easy with the right lender. This reduces the risk of closing delays that may cause a homebuyer to lose an opportunity and suffer heartbreak over a dream home.
CBC Mortgage Agency makes it easy for the homebuyer to prepare to be a responsible homeowner since we provide pre-purchase homebuyer education for borrowers within the FICO band of 620–639. Also, after the home closes, we offer counseling to borrowers up to 18 months after the closing. This way, when a homebuyer has a question it can easily be answered. We understand the need to provide encouragement and support to make the homebuyer’s journey successful. That’s why we focus on making it as painless and informative as possible.
We hope that you see how CBC Mortgage Agency makes down payment assistance a great experience for lenders, real estate agents, and homebuyers. We look forward to working with all three parties and making a team effort that allows everyone to have a positive experience. Visit chenoafund.org for more information about our programs that lend a hand to help you lend or buy a home.
CBC Mortgage Agency - NMLS 1186381
For licensing information, go to www.nmlsconsumeraccess.org.
Illinois Residential Mortgage License #MB.6761292. Illinois Department of Financial and Professional Regulation, Division of Banking, 100 West Randolph, 9th Floor, Chicago, IL 60601 - 1-888-473-4858
« 21-06-30 Announcement—June 30 2021 Program Guidelines Update