Wells Fargo is launching a new low-down payment mortgage program for first-time and lower-income borrowers that could be the bank’s way out from under the shadow of the Federal Housing Administration.
The bank announced on Thursday that it would introduce your First Loan, a new home loan program that offers a down payment of as little as 3 percent for fixed-rate mortgages, lower out-of-pocket costs, expanded credit criteria, and incentives for homebuyer education.
The National Association of Realtors Pending Home Sales Index, which is based on contract signings, increased 5 point 1 percent to 116 point 3 in April from an upwardly revised 110 point 7 in March. The index is now 4 point 6 percent higher than last April's figure of 111 point 2. The index has now increased year-over-year for 20 consecutive months and has not been this high since February 2006 when it was 117 point 4.