"A-" Loan Product for Native American Homebuyers Debuts with PMI and Staten Island Savings Bank

FAMC, a subsidiary of AmeriResource Technologies, Inc., has finalized an agreement with PMI Mortgage Insurance Co. and Staten Island Savings Bank to offer an "A-" loan product to Native American homebuyers with less than perfect credit. The product will allow the three companies to approve loans that they believe represent good risk, even though the borrower falls short of traditional "A" quality mortgage standards. The program will be marketed to Native American tribes in Oklahoma and will initially be available to those who currently participate in FAMC's and PMI's Oklahoma "A" loan product initiative.

Key Takeaways:

• The "A-" loan product will be available to Native American homebuyers with less than perfect credit, allowing them to qualify for a mortgage that would otherwise be denied.
• The product will be offered in conjunction with PMI Mortgage Insurance Co. and Staten Island Savings Bank, with FAMC originating the loans and PMI underwriting and insuring them.
• The program will initially be marketed to Native American tribes in Oklahoma, with a potential expansion to other states.
• The team has already received verbal commitments from several tribal partners for program implementation.
• The product will allow homebuyers to complete a one-time loan closing for construction and purchase-rehabilitation loans.
• FAMC has identified more than 300 buyers who could have been approved using this product in 1999 alone.

Statistics:

• More than 300 Native American homebuyers could have been approved for a mortgage using the "A-" loan product in 1999 alone (Source: FAMC).
• The "A-" loan product will be available to Native American homebuyers with less than perfect credit (Source: PMI Mortgage Insurance Co.).
• The product will allow for a one-time loan closing for construction and purchase-rehabilitation loans (Source: FAMC).
• The program will initially be marketed to Native American tribes in Oklahoma (Source: FAMC).

Sources:

• FAMC (First Americans Mortgage Corporation) press release, dated November 22.
• PMI Mortgage Insurance Co. (PMI Group, Inc.) press release, dated November 22.
• Staten Island Savings Bank (SIB) press release, dated November 22.
• American Construction Lending Services, Inc. press release, dated November 1998.