New mortgages just launched, especially for black borrowers. Here’s what we know.
nevertheless Lender Recent Reports Denial of mortgages to black applicants over white applicants is spreading like wildfire, but this is not a new phenomenon. red line It has been around for generations, but unfortunately its influence still reverberates in black homes today.
LEGACY Home Loans, the nation’s largest Black Led mortgage bank, is about to reverse its disastrous history.
and news releaseit was announced that they launched “”Special Purpose Credit Program(SPCP) For blacks who want to be homeowners.
Legacy Home Loans CEO and President Ben Slayton said in a news release:
Their goal is to close the 30% racial homeownership gap by piloting loan programs in six U.S. cities with a large black population (51%). They include Atlanta, Baltimore, Chicago, Detroit, Memphis and Philadelphia.
To qualify, renters must currently reside in the aforementioned cities and have a minimum credit score of 620, but there are no restrictions on where they can purchase their new home.
“There may be other companies offering similar SPCP loan programs, but please don’t.
The company says it has a loan program specifically for black borrowers that offers a 1% down payment, a free appraisal, a free home warranty program, and free pre-purchase home-buying counseling.
This program comes at a time when mortgage rates for new buyers are very high. Bankrate is the average 30 year mortgage interest rate It rose to 6.02% this week from 5.78% last week. This is the highest value in more than 10 years. This, combined with increasingly discriminatory practices against black borrowers, low rating Due to what appears to be a cultural bias and more loan application denials.
Legacy hopes their programs will combat harmful practices and strengthen the black economic ecosystem.
https://www.essence.com/news/money-career/legacy-home-loan-mortgage-black-borrowers-discrimination-redlining/ New mortgages just launched, especially for black borrowers. Here’s what we know.