Union Bank Launches MyCommunityMortgage® Loan Program

Union Bank, N.A., today announced that it is now offering Fannie Mae’s MyCommunityMortgage loan program, a 30-year, fixed-rate residential mortgage designed to serve the needs of low- to moderate-income customers looking to buy a new home or refinance an existing mortgage.

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The MyCommunityMortgage program gives low- to moderate-income customers the opportunity to own a home, and reflects our commitment to provide mortgages that further meet the needs of homeowners in the diverse communities that we serve.

SAN FRANCISCO, CA (PRWEB) April 01, 2014

Union Bank, N.A., today announced that it is now offering Fannie Mae’s MyCommunityMortgage loan program, a 30-year, fixed-rate residential mortgage designed to serve the needs of low- to moderate-income customers looking to buy a new home or refinance an existing mortgage.

The MyCommunityMortgage program features include:

  •     Reduced monthly mortgage insurance costs.
  •     No minimum borrower contribution required on certain transactions.1
  •     More down payment sources permitted.2
  •     Up to 95% financing allowed on purchases and limited cash-out refinances of single-family residences.3

“The MyCommunityMortgage program gives low- to moderate-income customers the opportunity to own a home, and reflects our commitment to provide mortgages that further meet the needs of homeowners in the diverse communities that we serve,” said Executive Vice President James H. Francis, Union Bank’s head of Consumer Lending. “This program helps make home ownership affordable and gives borrowers the opportunity to build equity by owning their own home.”

The MyCommunityMortgage program has income eligibility requirements that are based on the Area Median Income (AMI) for the county or Metropolitan Statistical Area (MSA) where the property is located. In California, to qualify for a MyCommunityMortgage loan, the borrower’s annual household income can be up to 140 percent of the AMI for all counties where he or she is buying or refinancing. In Oregon and Washington, based on the county or city where the home is located, the borrower’s household income can be up to 100 percent to 120 percent of the AMI.3

Economic Opportunity Mortgage®
Since 1991, borrowers seeking financing on properties in a designated census tract, with limited resources, and/or little or no established credit have been able to purchase homes or refinance existing mortgages through the Union Bank Economic Opportunity Mortgage (EOM) program.4

Union Bank Mortgage Consultants and Community Loan Officers are familiar with the MyCommunityMortgage and EOM programs, as well as a variety of resources that are available to qualifying prospective homebuyers, such as down payment assistance programs offered by state housing financing agencies, state and federal grant programs, and homeownership counseling.

To learn more about the new Union Bank MyCommunityMortgage loan program or EOM program visit http://www.unionbank.com/mortgage or call 1-866-UB-LOANS.

Not a commitment to lend. Loans subject to credit and collateral approval. Financing available for collateral located in California, Oregon, or Washington. Restrictions may apply. Rates, terms, and conditions subject to change without notice.

IMPORTANT INFORMATION ABOUT THE MYCOMMUNITYMORTGAGE LOAN:
1) Funds required to close may be gift funds from an eligible donor or from an approved Down Payment Assistance (DAP) program. Minimum credit score and other requirements apply. If these requirements are not met, a minimum 3% contribution from the borrower's own funds is required.

2) Additional sources of funds allowed for down payment include: Personal gifts or grants from a qualified entity, employer assistance, or Community Seconds® mortgages.

3) The MyCommunityMortgage program has income eligibility requirements that are based on the Area Median Income (AMI) for the county or Metropolitan Statistical Area (MSA) where the property is located. To qualify for a MyCommunityMortgage loan, the borrower’s annual household income can be:

  • Up to 140% of the AMI for all California counties
  • Up to 120% of the AMI for the Portland-Vancouver-Hillsboro, OR-WA MSA
  • Up to 120% of the AMI for the Seattle-Tacoma-Bellevue, WA MSA
  • Up to 115% of the AMI for non-metropolitan counties in OR and WA
  • Up to 100% of the AMI for the remaining counties in OR and WA

MyCommunityMortgage® loans are available only for purchase transactions and no cash-out refinances that will be secured by the applicant's primary residence [property must be a SFR, PUD, condominium, or 2-4 unit residential dwelling (excluding co-ops and manufactured housing)].

MyCommunityMortgage loans are fully amortizing. Full documentation required. Loans subject to credit and collateral approval. Minimum credit score and reserve requirements may apply. Financing available for collateral located in CA, OR, or WA. Restrictions may apply. Rates, terms, and conditions subject to change. On purchase transactions and no cash-out refinances, 95% financing is available on single-family residences (excluding manufactured homes) and 2-unit properties. 80% financing is available on 3-4 unit properties. Private mortgage insurance is required for loans exceeding 80% LTV.

IMPORTANT INFORMATION ABOUT THE ECONOMIC OPPORTUNITY MORTGAGE LOAN:
4) You may be eligible for the EOM program if you meet one of the following requirements:

A) Your property is located within a designated census tract; or

B) Your annual household income falls below these Area Median Income levels for the county where the property is located:

  • Less than or equal to 120% of the Area Median Income for all California counties and certain High Cost counties in Oregon and Washington; or
  • Less than 80% of the Area Median Income for the non-High Cost counties in Oregon and Washington.

Economic Opportunity Mortgage loans are fully amortizing. Full documentation required. Loans subject to credit and collateral approval. Minimum credit score requirements apply for loans over 90% LTV. Financing available for collateral located in CA, OR, or WA. Restrictions may apply. Terms and conditions subject to change. On purchase transactions and no-cash-out refinances, 95% financing is available on single-family residences (excluding manufactured homes), PUDs, and condominiums; 90% financing is available on manufactured homes and 2-unit properties; and 80% financing is available on 3-4 unit properties. On cash-out refinances, 80% financing is available on 1-2 unit properties, and 75% financing is available on 3-4 unit properties.

About UnionBanCal Corporation & Union Bank, N.A.
Headquartered in San Francisco, UnionBanCal Corporation is a financial holding company with assets of $105.9 billion at December 31, 2013. Its primary subsidiary, Union Bank, N.A., provides an array of financial services to individuals, small businesses, middle-market companies, and major corporations. The bank operated 420 branches in California, Washington, Oregon, Texas, Illinois, New York and Georgia, as well as 2 international offices, on December 31, 2013. UnionBanCal Corporation is a wholly-owned subsidiary of The Bank of Tokyo-Mitsubishi UFJ, Ltd., which is a subsidiary of Mitsubishi UFJ Financial Group, Inc. Union Bank is a proud member of the Mitsubishi UFJ Financial Group, one of the world’s largest financial organizations. In July 2013, American Banker Magazine and the Reputation Institute ranked Union Bank #1 for reputation among its customers. Visit http://www.unionbank.com for more information.