Nonprofit brokerage Neighborhood Assistance Corporation of America (NACA) is hosting several sign-up events around the country for home loan borrowers with poor credit and minimal savings.
The events offer no-down payment, low interest fixed rate loans to borrowers who have successfully completed education sessions and loan counseling, and have submitted necessary financial documents. In partnership with Bank of America, NACA seeks to provide a pathway to homeownership and for Americans to build wealth. "It's a national disgrace about the low amount of homeownership, mortgages for low- and moderate-income people and for minority homebuyers," Bruce Marks, CEO of NACA tells CNBC. "In the loans that we've originated in the past 6 years, zero foreclosures."
Magdalene Altidor lost her home to foreclosure during the subprime mortgage crisis, but this week she was first in line at a four-day event in Miami where borrowers with poor credit were offered no-down payment, low interest rate loans. "I left home, it was about 4 a.m.," she laughed. "I'm ready to purchase a home." Altidor is confident she can make the low, monthly payments this time around. A small price, she says, for something far more valuable. "I think a home, 10, 15 years from now, that's an investment," she said. "Homeownership is freedom."