September 10, 2014
The East Baton Rouge Mortgage Finance Authority has introduced a new program to help low- and moderate-income households move into homes.
The Capital Advantage Program will provide a competitive 30-year, fixed-rate mortgage and non-repayable grant of up to 5 percent of the original mortgage amount. The grant can be used for a down payment or to cover closing costs. The mortgages will be competitive, but slightly above market rates.
A number of local lenders, including IberiaBank, Whitney, Regions, Investar, Home Bank, SWBC Mortgage and Gulf Coast Bank are participating in the program.
Plans are to open the program up to people living in the eight parishes around East Baton Rouge beginning in early October.
Applicants do not have to be first-time homebuyers but they must have a maximum income that is no more than 115 percent of the average median income for East Baton Rouge Parish — currently $76,360 a year. They must also meet minimum credit score and debt-to-income ratios.