Oregon Bankers Association Awarded $100,000 to Assist Low Income Families Purchase Homes
Salem, OR, January 27, 2008 --(PR.com)-- The Oregon Bankers Association (OBA) today announced that it has been awarded a $100,000 grant from the Oregon Housing and Community Services (OHCS) to fund the OBA’s Home Purchase Assistance Program (HPAP) during the 2008-2009 biennium.
This is the seventh biennial grant given to HPAP from the OHCS’s Home Ownership Assistance Program (HOAP) fund established by the Oregon State Legislature in 1995 to promote affordable homeownership opportunities. This grant to HPAP will serve 66 first-time homebuyers in Oregon earning less than 80% of the area median income.
Since 2000, more than 500 families have been helped through the support of HPAP. One hundred percent of these funds will be awarded to homebuyers to assist with down payment and closing costs. All costs associated with promoting and administering the program are absorbed by the OBA.
“Siuslaw Bank is pleased to be an active participant in HPAP and encourages other OBA member banks to participate in helping low-income families in Oregon fulfill their dreams of buying a house,” says Siuslaw Bank’s Fawnda Thompson, a lender that is actively involved in the program.
Originally established as a $2,000 grant by the OBA in 1996, HPAP now provides recipients with a 0% interest, $1,500 second-mortgage loan for down payment and/or closing costs, along with matching assistance from other qualified sources valued at a minimum of $500. Repayment is not required until the borrower sells, transfers, or refinances or in the event that he/she ceases to occupy the property. By changing the program to a 0% loan, homebuyers continue to receive the upfront funding they need to get into a home, yet funds are eventually recaptured and used to fund future affordable housing or first-time homebuyer programs.
Qualified recipients must access HPAP through one of the OBA’s member banks. Member banks currently active in the program include:
• Bank of the Cascades
• Citizens Bank
• Columbia River Bank
• HomeStreet Bank
• Siuslaw Bank
• U.S. Bank
• Umpqua Bank
• Wells Fargo
All OBA member banks are encouraged to participate in the program, which requires at least 50% of the funds be used for homes purchased outside the Portland metropolitan area. To be eligible for a HPAP loan, borrowers must:
• Be qualified as a first-time homebuyer
• Occupy the property they purchase as their principal residence
• Not have household income over 80% of the county area median income where they purchase their home (based on HUD data)
• Be able to qualify for a standard mortgage product
• Have no more than $5,000 in liquid assets after loan closing
• Successfully complete an approved homebuyers education course
Eligible properties include any new or existing single-family residence located in the State of Oregon, including site-built homes, condominiums, townhouses and manufactured homes. Properties must meet quality standards required to qualify for a mortgage loan.
Potential homebuyers interested in the program can contact a participating lender. Financial institutions interested in participating in the HPAP can visit www.oregonbankers.com or contact Andrea Gerhards of the OBA at (503) 581-3522.
About The Oregon Bankers Association
Established in 1905, the Oregon Bankers Association is Oregon's only full-service trade association representing state and national commercial banks, thrifts and savings banks chartered to do business in Oregon. More information is available at www.oregonbankers.com
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This is the seventh biennial grant given to HPAP from the OHCS’s Home Ownership Assistance Program (HOAP) fund established by the Oregon State Legislature in 1995 to promote affordable homeownership opportunities. This grant to HPAP will serve 66 first-time homebuyers in Oregon earning less than 80% of the area median income.
Since 2000, more than 500 families have been helped through the support of HPAP. One hundred percent of these funds will be awarded to homebuyers to assist with down payment and closing costs. All costs associated with promoting and administering the program are absorbed by the OBA.
“Siuslaw Bank is pleased to be an active participant in HPAP and encourages other OBA member banks to participate in helping low-income families in Oregon fulfill their dreams of buying a house,” says Siuslaw Bank’s Fawnda Thompson, a lender that is actively involved in the program.
Originally established as a $2,000 grant by the OBA in 1996, HPAP now provides recipients with a 0% interest, $1,500 second-mortgage loan for down payment and/or closing costs, along with matching assistance from other qualified sources valued at a minimum of $500. Repayment is not required until the borrower sells, transfers, or refinances or in the event that he/she ceases to occupy the property. By changing the program to a 0% loan, homebuyers continue to receive the upfront funding they need to get into a home, yet funds are eventually recaptured and used to fund future affordable housing or first-time homebuyer programs.
Qualified recipients must access HPAP through one of the OBA’s member banks. Member banks currently active in the program include:
• Bank of the Cascades
• Citizens Bank
• Columbia River Bank
• HomeStreet Bank
• Siuslaw Bank
• U.S. Bank
• Umpqua Bank
• Wells Fargo
All OBA member banks are encouraged to participate in the program, which requires at least 50% of the funds be used for homes purchased outside the Portland metropolitan area. To be eligible for a HPAP loan, borrowers must:
• Be qualified as a first-time homebuyer
• Occupy the property they purchase as their principal residence
• Not have household income over 80% of the county area median income where they purchase their home (based on HUD data)
• Be able to qualify for a standard mortgage product
• Have no more than $5,000 in liquid assets after loan closing
• Successfully complete an approved homebuyers education course
Eligible properties include any new or existing single-family residence located in the State of Oregon, including site-built homes, condominiums, townhouses and manufactured homes. Properties must meet quality standards required to qualify for a mortgage loan.
Potential homebuyers interested in the program can contact a participating lender. Financial institutions interested in participating in the HPAP can visit www.oregonbankers.com or contact Andrea Gerhards of the OBA at (503) 581-3522.
About The Oregon Bankers Association
Established in 1905, the Oregon Bankers Association is Oregon's only full-service trade association representing state and national commercial banks, thrifts and savings banks chartered to do business in Oregon. More information is available at www.oregonbankers.com
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Oregon Bankers Association
Casey Boggs
503-249-9363
Casey Boggs
503-249-9363
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