- New program to benefit eligible communities
- Applicants in the Phoenix area may be eligible for up to $24,500 to assist with down payment and closing costs
With the start of the Spring homebuying season, BMO Harris Bank today announced the launch of its new Welcome Home Grant down payment program in Phoenix, which offers grants to eligible borrowers to assist with down payment and closing costs.
When paired with other programs offered by BMO, eligible borrowers can receive up to $24,500 in combined assistance. With the help of these programs, Phoenix homebuyers can contribute as little as $1,000 from their own funds and lock in a 30-year fixed-rate mortgage.
Under the new Welcome Home Grant program, homebuyers purchasing in Majority Minority Census Tracts in the Phoenix area can receive $13,000 in down payment and closing cost assistance.
The Welcome Home Grant can be combined with other down payment and closing cost assistance programs, including BMO’s $800 Spring promotional offer), $6,000 through the FHLBC Downpayment Plus Program, and up to $2,500 via the Freddie Mac BorrowSmart program. In addition, borrowers in low or moderate income census tracts may be eligible for an additional $2,200 BMO grant.
Through a separate program, BMO also offers eligible borrowers $2,000 to assist with refinancing costs.
The Welcome Home Grant program provides relief amid a challenging environment for Phoenix area homebuyers in Majority Minority Census Tracts; according to BMO Economics, home prices in Phoenix are up more than 32% year over year – making it one of the strongest housing markets in the country.
“As part of our Purpose to Boldly Grow the Good in business and life, BMO is committed to supporting our communities and helping families make their dream of homeownership a reality,” said Scott Freudenberger, Vice President and Head, Community Reinvestment at BMO Harris Bank. “Down payment and closing costs are a major hurdle for many families and our new Welcome Home Grant program is designed to help. BMO is proud to work with Phoenix homebuyers and homeowners to provide financial education and down payment assistance to set them up for success and allow them to save their money for the unexpected.”
The Welcome Home Grant program represents a further example of BMO’s efforts to advance an inclusive economic recovery in the United States. In 2020, BMO announced BMO EMpower – pledging $5 billion over the next five years to address key barriers faced by minority businesses, communities and families. This program will help buyers in underserved communities in and around Phoenix access the credit they need and accelerate their dream of homeownership.
Funds are reserved for full applications between March 14 and July 14, 2022. For more information on the program, please visit https://www.bmoharris.com/main/personal/mortgages/low-down-payment-mortgages/
About BMO Harris Bank
BMO Harris Bank provides a broad range of personal banking products and solutions through more than 500 branches and fee-free access to over 40,000 ATMs across the United States. BMO Harris Bank’s commercial banking team provides a combination of sector expertise, local knowledge and mid-market focus throughout the United States. For more information about BMO Harris Bank, visit the company fact sheet. Accounts are subject to approval. BMO Harris Bank N.A. Member FDIC. BMO Harris Bank is part of BMO Financial Group, a highly diversified financial services provider with total assets of CDN$1.02 trillion as of January 31, 2022.
SOURCE BMO Financial Group