New American Funding, a Tustin, Calif.-based independent mortgage lender, on Monday announced a new program offering up to $8,000 in assistance to first-time home buyers.
Called the Pathway to Homeownership, the program offers the assistance to qualified borrowers in select areas, though the company did not specify which areas are eligible.
New American said the money is not a loan and does not need to be repaid, and can be used to help with a down payment, closing costs, or other upfront costs. The money also may be combined with other down payment assistance programs, it said.
"One of the pillars of our company is helping members of underserved communities become homeowners," said Patty Arvielo, co-founder and president of New American Funding and a first-generation Hispanic American.
"The Pathway to Homeownership initiative helps people from all walks of life who are otherwise qualified clear the initial hurdles that come with buying a house," Arvielo said. "We value our future, and with Pathway to Homeownership, we will be able to help more people than ever before buy a home."
According to the company’s website, the funding has no income limitations, and down payments as low as 3%. Borrowers must be first-time buyers and must have a minimum credit score of 620, and the home being purchased must be a 1-unit, single-family home.
New American Funding said the program is the latest initiative for the company that focuses on building sustainable homeownership and helping families create generational wealth.
That includes its Latino Focus initiative, which seeks to increase homeownership among the Hispanic community, and the New American Dream initiative, which does the same in the Black community. New American Funding exceeds the industry average in lending to both Hispanic and Black borrowers, the company said.
New American Funding is an independent mortgage lender with a servicing portfolio of over 243,700 loans for approximately $64.3 billion and more than 160 locations nationwide.
