Are you thinking about buying a new home? Owning property can be a great way to invest in your future, giving you a sense of pride, security and accomplishment. After all, buying a home is considered an important part of the American Dream.
Unfortunately, the state of our post-pandemic economy is providing a sobering reality check. With today’s uncertain fiscal climate, combined with changing interest rates and low inventory in the local real estate market, many individuals and families are making the difficult decision to put homeownership on hold.
But a leading local lender wants to help change that.
In an effort to make homeownership more affordable in our community, BayCoast Mortgage, a top residential lender on the South Coast of Massachusetts and Rhode Island, is making a welcome move to help eligible borrowers pursue their goal of purchasing a home, with the return of its highly successful Down Payment Assistance (DPA) program. Let’s take a closer look at how the new DPA program works.*
BayCoast Mortgage, a wholly owned subsidiary of BayCoast Bank, is offering Down Payment Assistance to qualifying borrowers in Massachusetts and Rhode Island who are purchasing a home within BayCoast Bank’s Community Reinvestment Act (CRA) Assessment Area. A total of $500,000 has been earmarked for the DPA program, which launched on November 6, 2023. Program funds in the amount of $100,000 will be provided as grants. The remaining $400,000 will be accessible to eligible borrowers as an interest-free loan, with repayment starting in the sixth year. To qualify, borrowers must meet income and purchase limits. Applicants will be notified of eligibility and grant/loan amount at the time of mortgage approval. Any funds will be available to qualified buyers at the time of closing. The Down Payment Assistance Program will conclude once allocated funds are depleted.
“At BayCoast Mortgage, we recognize the financial challenges many first-time homebuyers face,” said Daniel J. Briand, President and CEO of BayCoast Mortgage. “Saving for a down payment on a home can take years. Our Down Payment Assistance Program is the key to opening more doors, especially for those at low-to-moderate income levels, who may have thought homeownership simply wasn’t possible.”
The return of BayCoast Mortgage’s Down Payment Assistance Program follows a highly successful round one, which debuted in August of 2022, ultimately helping more than three dozen first-time homebuyers in Massachusetts and Rhode Island purchase their dream homes. Round one was initiated in an effort to help meet the financial needs of the local community, ensuring that homeownership is within reach for more individuals and families in Southern New England.
The initial DPA program had impressive results.
A total of 42 borrowers – 21 in Massachusetts and 21 in Rhode Island – realized their goal of homeownership through the DPA program. Breaking down the statistics by county, the largest number of DPA grants went to eligible borrowers in Bristol County, Massachusetts, with 21, which included Fall River, New Bedford, Taunton, Fairhaven, Acushnet, Lakeville, and South Dartmouth.
Providence County was at the top of the list for Rhode Island, with 12 DPA grants being provided to qualified borrowers in Providence, North Providence, East Providence, Riverside, Tiverton, Newport, Cranston, Warwick, West Warwick, Cumberland, Pawtucket, Richmond, and South Kingstown
“The Down Payment Assistance Program offered by BayCoast Mortgage is lifechanging,” said Evelyn Ranone, First Vice President, CRA Officer for BayCoast Bank. “Buying your first home can be a very emotional experience. It is gratifying to know we are truly helping members of our community achieve the American Dream by making homeownership more affordable.”
To learn more information about how the program works and to see if you may qualify, we encourage you to contact BayCoast Mortgage today at 877-466-2678 and a Loan Officer will be happy to assist you.
*Tier I = Deferred. No monthly payments or interest accrual. Second mortgage to be forgiven after 5 years if the first mortgage loan is paid on time and property remains owner occupied. If sold within the 5 years, payback of funds is required on a pro rata basis of 20% for each year remaining of the 5 years. Tier II = Monthly payments are deferred for the first 5 years. Loan repayment commences at year 6, interest-free for the remaining 10 years. If home is sold within the first 5 years, the Second Mortgage will need to be paid off in its entirety. New Jersey—BayCoast Mortgage Company, LLC, 330 Swansea Mall Drive, Swansea, MA 02777, 877-466-2678, Licensed Mortgage Banker- NJ Banking and Insurance Department. New Hampshire—Licensed by the New Hampshire Banking Department #19631-MB. Rhode Island—Rhode Island Licensed Lender. Virginia—BayCoast Mortgage Company, LLC, NMLS #1082048 (http://www.nmlsconsumeraccess.org/). Exempt from licensing in MA, CT, PA, MD, NC, SC, and FL. All loans are subject to credit approval.
