Click n’ Close Adds DPA Shared Appreciation Option

Click n’ Close expanded its down payment assistance loan products with a shared appreciation option.

The DPA with Shared Appreciation program gives borrowers a low interest rate for first-lien FHA and USDA loans and a repayable second lien in exchange for up to 40% of the home’s appreciation in the first five years.

After that period ends, the shared appreciation amount is added to the second lien and amortized over the remaining term.

“It’s no secret that the combination of rising interest rates, limited inventory, and growing property appreciation have made it more difficult for potential homebuyers to purchase in today’s market. While existing homeowners have benefitted tremendously from skyrocketing home equity, that same trend has put buyers at a tremendous disadvantage,” said Click n’ Close Owner and CEO Jeff Bode. 

“By combining our proprietary DPA programs with a shared appreciation option, we’re not only helping buyers get into a home more easily but also reap the benefit of homeownership from day one.”

Rates start at 4.75% for a 5-1 ARM.

Homeowners are swimming in equity, leading to historically low foreclosure rates and increased wealth-building opportunities. But prospective first-time buyers are losing out on those perks as the costs of homeownership soar.

Nearly 40% of current renters believe they will never be able to own a home, a 10% jump from last year. The most commonly cited obstacle is the difficulty of saving for a down payment. 

Click n’ Close, formerly Mid America Mortgage, is a multi-state mortgage lender serving consumers and mortgage originators through its wholesale and correspondent channels. It is also a leading provider of Section 184 home loans for Native Americans.

It recently launched a new mortgage product designed for homebuyers in rural America, who often have patchy access to capital.

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