BofA Offers No-Down/No-Closing Cost Loan
First-time Black or Hispanic homebuyers in select U.S. neighborhoods, including Miami, can qualify for a no-down payment, no closing-cost mortgage loan.
CHARLOTTE, N.C. – Bank of America (BofA) announced a new zero down payment, zero closing cost mortgage solution for first-time homebuyers in designated markets.
The announcement doesn’t list all neighborhoods but says it includes “certain Black/African American and/or Hispanic-Latino neighborhoods in Charlotte, Dallas, Detroit, Los Angeles and Miami.”
The Community Affordable Loan Solution is a Special Purpose Credit Program that uses credit guidelines beyond credit scores, such as one-time payments for things like rent, utility bills, phones and auto insurance payments. It requires no mortgage insurance or minimum credit score.
Individual eligibility is based on income and home location. Prospective buyers must complete a homebuyer certification course provided by select Bank of America and HUD-approved housing counseling partners prior to application.
Bank of America says the new program complements its existing $15 billion Community Homeownership Commitment to offer affordable mortgages, industry leading grants and educational opportunities.
According to the National Association of Realtors®, there is a nearly 30-percentage-point gap in homeownership between white and Black Americans; for Hispanic buyers, the gap is close to 20%.
“Homeownership strengthens our communities and can help individuals and families build wealth over time,” says AJ Barkley, head of neighborhood and community lending for Bank of America.
Bank of America resources for homebuyers
- First-Time Homebuyer Online Edu-Series, a five-part, easy-to-understand video roadmap for buying and financing a home, available in English and Spanish.
- BetterMoneyHabits.com free financial education content, including videos about managing finances and how to prepare for buying a new home.
- Bank of America Down Payment Center – site to help homebuyers find state and local down payment and closing cost assistance programs in their area. Bank of America says it participates in more than 1,300 state and local down payment and closing cost assistance programs.
- Bank of America Real Estate Center – site to help homebuyers find properties with flags to identify properties that may qualify for Bank of America grant programs and Community Affordable Loan Solution.
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