Government Relations « Events »

Events

Congressman Fattah, 16 Area Banks Unveil $6 Million Grant Program: First Front Door to Help with First-time Down Payment, Closing Costs

PHILADELPHIA, PA, April 19, 2006 — First Front Door (FFD) has arrived in Philadelphia. U.S. Rep. Chaka Fattah (PA-2), 16 area banks and the Federal Home Loan Bank of Pittsburgh today announced a more than $6 million program that will help lower-income first-time homebuyers across the region with down payment and closing costs.

Appearing at a kickoff event at Germantown Settlement, Congressman Fattah encouraged first-time homebuyers to claim funds under the first-come, first-served program as soon as possible. The program is being offered in Pennsylvania, Delaware and West Virginia.

"First Front Door provides a compelling reason for those who are renting to seriously consider homeownership," said Congressman Fattah. "At least 1,000 homebuyers are expected to benefit from this program in 2006, and we want as many of them as possible to buy homes in our region."

"First-time homebuyers represent the cornerstone of a community," Fattah continued. "Building equity in a first home empowers individuals and families to build wealth for future life events — including moving up in the housing market — while contributing to a community's property values, stability and social life."

First Front Door provides down payment and closing cost assistance for first-time homebuyers with incomes at or below 80 percent of their area's median income. In Greater Philadelphia, FFD funding is being distributed by the FHLBank through these 16 banks:

• Beneficial Mutual Savings Bank
• Citizens Bank of Pennsylvania
• Commerce Bank N.A.
• Fidelity Savings & Loan of Bucks County
• Fulton Bank
• Leesport Bank
• National Penn Bank
• Phoenixville Federal Bank & Trust
• PNC Bank
• Prudential Savings Bank
• Sovereign Bank
• TruMark Financial Credit Union
• Washington Savings Association
• William Penn Bank
• Wilmington Trust Company
• WSFS Bank

Through the 16 participating banks, the FHLBank will contribute $3 for every $1 contributed by the homebuyer, for a maximum of $5,000 per recipient, based on need. Member banks will also make measurable concessions to the affordability of the house such as waived or reduced fees or points or below-market rates. Approval of participant paperwork is completed by the FHLBank within seven business days.

"First Front Door represents a step up in our commitment to first-time homebuyers," remarked Eric F. Dickerson, deputy director of Community Investment at the FHLBank and a speaker at today's event. "FFD offers larger grants per individual as well as faster turnaround on both grant approvals and funding disbursement."

First Front Door's legacy program, the FHLBank's Home Buyer Equity Fund (HBEF), provided more than $14 million to approximately 4,000 first-time homebuyers prior to the adoption of the more streamlined FFD program this year. In Greater Philadelphia, HBEF extended $5.67 million to help fund 1,484 homes over the last eight years.

For details on First Front Door, visit www.firstfrontdoor.com.