Find a community lending product that fits your homeownership goals.
Low down payment options- Flexible credit requirements
- Reduced mortgage insurance
Why choose AmeriSave for a community lending solution?
Lower Interest Rates
Secure a competitive interest rate and enjoy a lower monthly payment.
Reduced Closing Costs
Get closing credits and big savings as you start your homeownership journey.
Choose Your Community
Empower your homeownership goals in certain specific areas.
Trusted Expertise
Over 730K clients. 23 years’ experience. One goal: helping you build a brighter future.
Smarter technology. Real numbers.
Get Personalized Loan OptionsSee your best loan options with technology that analyzes your finances in real time.
Flexible Loans And TermsPick the right loan and term that helps you achieve your unique homeownership goals.
Close Your Loan QuicklyGet approved and funded quickly, so you can enjoy your new financial freedom.
Get Personalized Loan Options
See your best loan options with technology that analyzes your finances in real time.
Flexible Loans And Terms
Pick the right loan and term that helps you achieve your unique homeownership goals.
Close Your Loan Quickly
Get approved and funded quickly, so you can enjoy your new financial freedom.
Conventional financing built for buyers who don't fit the standard profile.
Community lending programs are conventional loans designed for modest-income buyers with lower down payments, reduced mortgage insurance, and flexibility on down payment sources.
Check Program Eligibility
Most community lending programs cap borrower income at 80% of the area median income. Some allow higher limits in designated low-income census tracts.
Complete Homeownership Education
First-time buyers typically complete a HUD-approved homeownership education course before closing; typically four to six hours, online or in-person.
Get Your Rate And Close
Community lending rates are competitive because the loans are conventional, not government-insured. Apply online for your personalized rate.
Get Lower Mortgage Insurance
Mortgage insurance applies when down payment is below 20%, but coverage levels are reduced, lowering your monthly cost versus standard conventional loans with the same down payment.
Conventional financing, accessible terms.
Community lending programs allow 3% down with flexibility on down payment source (gifts, grants, assistance programs) and reduced mortgage insurance costs compared to standard conventional loans.
Who Community Lending Was Built For
Community lending fills a real gap: borrowers who are ready to buy but who don't fit the cookie-cutter conventional profile.
First-Time Home Buyers With Limited Savings
3% down and flexibility on closing cost gifts means you can buy without years of saving; if your income and credit otherwise qualify.
Modest-Income Households In Expensive Markets
When local home prices outpace local incomes, community lending programs can bridge the gap with lower MI and flexible underwriting.
Buyers Using Down Payment Assistance
These programs are designed to layer cleanly with state and local down payment assistance grants, second mortgages, and gift funds.
Borrowers With Non-Traditional Credit
If your credit file is thin, but you have a strong rental and utility payment history, some community programs accept alternative documentation.
Community Lending Requirements
Community lending programs balance flexibility with discipline; the eligibility rules ensure the program reaches the borrowers it was built for.
Borrower income (or in some cases area-based limits) caps at 80% of area median income on most community lending programs. Some allow higher limits in designated low-income census tracts.
First-time home buyers are typically required to complete a HUD-approved homeownership education course before closing.
620 is the typical floor on conventional community lending programs. Some programs accept alternative credit documentation for borrowers with thin files.
The home must be your primary residence. Investment properties and second homes don't qualify for community lending programs.
Community Lending vs. Standard Conventional Loan
Community lending programs are conventional loans; but with reduced down payment, lower mortgage insurance, and flexibility built for borrowers who don't fit the standard profile.
Pros And Cons Of Community Lending
Community lending makes the path to homeownership cheaper for the right borrower; but the income limits and education requirements aren't a fit for everyone.
What Works In Your Favor
Lower Down Payment
3% down on a conventional loan, often with flexibility on the source of those funds; gifts, grants, and assistance programs are typically welcome.
Cheaper Monthly Mortgage Insurance
Community lending programs use reduced MI coverage levels, which translates to lower monthly MI cost than a standard conventional with the same down payment.
Conventional Loan, Not FHA
MI cancels at 80% loan-to-value (versus FHA's lifetime MIP on most loans), and there's no upfront mortgage insurance premium.
Income-Flexible Underwriting
Programs accept non-borrower household income for qualifying in some cases, and rental income from boarders can count toward qualification.
Stackable With Down Payment Assistance
These programs are designed to work with state, county, and local down payment assistance programs to maximize affordability.
What To Weigh Carefully
Income Limits Exclude Higher Earners
Most community lending programs cap borrower income at 80% of the area median income. Above that, you'll use a standard conventional loan.
Education Requirement Adds Time
First-time home buyers typically must complete a homeownership education course before closing. It's valuable, but it's an extra step.
Mortgage Insurance Still Applies
Lower than standard, but still a real monthly cost until you reach 20% equity. Plan for it in your budget.
Property Eligibility May Apply
Some programs restrict eligibility based on property location, type, or occupancy. Confirm your home qualifies before counting on the program.
Standards Still Apply
Community lending is flexible on income and down payment, but still requires solid credit, documented income, and a sensible debt-to-income ratio.
Frequently Asked Questions
A community lending program is a type of mortgage that helps people with low to moderate incomes buy a home by lowering the down payment, making credit requirements more flexible, and giving them money that traditional loans don't always give. Continue Reading...
Community lending loans provide qualified buyers with affordable mortgage options like fixed- or adjustable-rate loans. They also offer low-income loan options. Eligibility usually requires buying in a specific census-designated tract or area. You’ll also need to meet specific income and credit score requirements. These help buyers save while also building stronger communities.