Though most of the industry is getting pummeled by the tough market, Guild Mortgage is putting up a fight. The lender is upgrading its 3-2-1 Home Plus program, designed to provide first-time homebuyers with a low down payment option and flexibility to make the home their own.
Guild’s latest 3-2-1 Home Plus program allows customers to purchase a home with as little as 3% down. As part of the program, it provides a $2,000 Home Depot gift card plus additional assistance ranging from $1,000 to $2,500, based on Area Median income (AMI) and property type, which can be applied towards closing costs or increase the down payment.
The unique aspect to this low down payment program is that it can be funded by a gift, such as a wedding or graduation present. To qualify, borrowers must have a minimum credit score of 620. The program is available to first-time homebuyers in all 49 states where Guild operates and the District of Columbia. This program is applicable for the purchase of single-family residences, condos and manufactured homes.
“We are constantly looking for innovative ways to serve first-time homebuyers, especially with so many struggling to afford a down payment or find a home that suits their needs in today’s competitive housing market,” said Guild CEO, Mary Ann McGarry. “We introduced the original 3-2-1 Home program in 2018, helping thousands of first-time homebuyers. With our new 3-2-1 Home Plus program, the increased assistance means our clients receive up to $2,500 toward closing costs, helping them get into homes while preserving their cash resources.”
Guild Mortgage Executive Vice President of Capital Markets David Battany said the 3-2-1 Home Plus eases financing challenges for first-time buyers with low-to-moderate incomes, while providing flexibility to purchase a home they may not otherwise consider.
“In many cases, a first-time buyer might pass on a property that needs a few upgrades,” he said. “The Home Depot Gift Card provides a sense of security. The customer can purchase a home in an area they love and make those upgrades, whether it’s for new flooring, fresh coats of paint, or landscaping. They can also choose a new water heater, washer and dryer, energy efficient windows, design services or any other product or service offered by The Home Depot.”
