Wells Fargo Bank has teamed up with local nonprofit organizations to host a two-day CityLIFT event for potential homebuyers.
During the September 21 and 22 event, attendees will learn whether they pre-qualify for a mortgage and down payment assistance for the purchase of a primary, owner-occupied residence.
“We’re doing a soup to nuts event this weekend. We didn’t want to just pre-qualify people and send them on their way. We wanted a full experience,” said Michele Lawrence, senior vice president, community bank president, Wells Fargo.
The CityLIFT down payment assistance program is a collaborative initiative of Wells Fargo and NeighborWorks America, a nonprofit organization. NeighborWorks America affiliate New Kensington Community Development Corporation will determine income eligibility, and help prospective homebuyers reserve down payment assistance grants and receive homeownership education.
To qualify for up to $15,000 in down payment assistance, applicants must be approved for home financing. An applicant’s household income cannot exceed 120 percent of area median income to be eligible for a conventional loan. For example, the annual household income for a family of four cannot exceed $97,800. Once a homebuyer is approved for program, the down payment assistance funds will be available for 60 days. CityLIFT funds can be layered with other down payment assistance programs such as the Philadelphia Home Buy Now program.
Wells Fargo has committed $8 million in down payment assistance funds for Philadelphia homebuyers through CityLIFT.
Participating homebuyers must attend an eight-hour homeownership education class with a HUD-approved counselor prior to closing.
“We’re not looking to get people into mortgages they cannot afford, that’s why the education is so critical and that’s why it is required,” says Lawrence.
Homebuyers can obtain mortgage financing from any lender and must be purchasing a home located in Philadelphia to qualify for CityLIFT down payment assistance funds. Residents must live in the home for five years. The down payment assistance will be repayable if a homebuyer does not stay in the residence for five years.
The down payment assistance is for an owner-occupied primary residence. Current home owners who want to purchase a home with CityLIFT assistance, must sell their current home prior to closing.
“In order for the loan to go through, they are going to have to show that they put the home on the market with a realtor. They are going to have to provide documentation that their intention is to sell the property that they are moving out of,” said James L. Wright Jr., diverse segments manager, assistant vice president, Wells Fargo.
During the upcoming event, potential homebuyers can visit a viewing center and take a virtual tour of more than 200 available homes throughout Philadelphia than range from $70,000 to $320,000. A free bus tour will be offered from noon to 5 p.m. each day to view featured homes available for sale.
CityLIFT is modeled after Wells Fargo successful NeighborhoodLIFT program which was the first of its kind in the banking industry. Philadelphia is one of 20 cities that will benefit from a total of $170 million Wells Fargo has committed to support housing in cities affected by the economic downturn.
Wells Fargo has made a commitment of $2.2 billion for mortgage lending in Philadelphia over a five-year period.
The upcoming event will be held September 21 and 22 from 10 a.m. to 7 p.m. at the Pennsylvania Convention Center, Hall D, 1101 Arch St. Advanced registration is preferred.
To register, call 1(866) 802-0456 or visit www.wellsfargo.com/citylift.