Bank of America’s new trial program designed to boost homeownership among first-time Black and Hispanic buyers offers mortgages that don’t require down payments, closing costs, mortgage insurance or a minimum credit score.
The bank announced the launch of its Community Affordable Loan Solution in a Tuesday press release, saying the program will be available in designated markets, such as Black and Hispanic neighborhoods in Charlotte, Dallas, Detroit, Los Angeles and Miami.
A bank spokesperson told NBC News that applicants don’t have to be Black or Hispanic to qualify for the program.
“Homeownership strengthens our communities and can help individuals and families to build wealth over time,” A.J. Barkley, head of neighborhood and community lending for Bank of America, said in the release. “Our Community Affordable Loan Solution will help make the dream of sustained homeownership attainable for more Black and Hispanic families, and it is part of our broader commitment to the communities that we serve.”
Eligibility is based on income and home location, according to the bank. But those interested in applying for the program need to complete a homebuyer certification course provided by select Bank of America and HUD-approved housing counseling partners before doing so.
According to data from the National Association of Realtors, the homeownership rate for White Americans (72%) is still significantly higher than those for Hispanic (51%) and Black Americans (43%).
• Matt Delaney can be reached at mdelaney@washingtontimes.com.
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