Latest news with #LMI
Yahoo
3 days ago
- Business
- Yahoo
Clean energy advocates concerned about how federal cuts and freezes could affect clean energy efficiency programs in the CSRA
AUGUSTA, Ga. (WJBF) – State Senator Harold Jones and local clean energy leaders are speaking out about how those cuts could impact the funding of clean energy programs and what that means for the community. Programs like the Weatherization Assistance Program and Solar for All help lower utility costs for some Georgia families. They also promote workforce development, home energy savings, and address climate issues. Georgia State Senator Harold Jones is opposed to those cuts. He says they'll raise costs and cut jobs. 'These are not buzz words about clean energy or weatherization,' said State Senator Harold Jones. 'These things actually matter to people. Actually, puts more money in their pockets. Also improves the economy and the environment. All of that is connected to actually having a better society.' Nicole Lee is a business owner who has seen how weatherization and solar power help low- to moderate-income families save hundreds of dollars in utility costs thanks to these programs. 'Just to see the widespread of ones solar as well as weatherization work in in multiple states and seeing the impact that it helps in LMI communities is astonishing, and so I'm hoping that you know bipartisan funding is able to be passed so that these programs can continue to exist,' said Nicole Lee, Owner of Be Smart Home Solutions. Paige Brockmeyer is part of the Citizens Climate Lobby in Augusta and wants to encourage people to continue reaching out to state and federal lawmakers and encourage them to vote against cuts to these programs. She says the health of Georgians depends on it. 'The more particulate matter that's in the air from burning fossil fuels, the more respiratory problems we have. So, that's kind of at one level, and at another level, you have events like Hurricane Helene,' said Paige Brockmeyer, Volunteer Group Leader, Citizens Climate Lobby Augusta. The speakers wanted to bring attention to Georgia's congressional delegation to protect these programs so that only the heat rises this summer and not utility costs. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Business Wire
3 days ago
- Business
- Business Wire
Valley Bank Invested More than $2.5 Billion to Support Its Communities in 2024
MORRISTOWN, N.J.--(BUSINESS WIRE)-- Valley National Bancorp (NASDAQ: VLY), the holding company for Valley National Bank, released 'Making our Mark, Together' – the Bank's 2024 Sustainability Report which combines our annual Corporate Social Responsibility Report (CSR) and our biennial Environmental, Social, and Governance (ESG) Report. This year's report highlights the Bank's commitment to helping shape a world that thrives on sustainable community development. Last year, Valley invested more than $2.5 Billion to support organizations and communities in New Jersey, New York, Florida, Alabama, California, and Illinois. To view the full report click here. Report highlights include: $782 million in community development loans to advance affordable housing and community services to low-to-moderate income (LMI) individuals, economic and community development, and revitalization and stabilization $734 million in community development investments supporting LMI neighborhoods individuals and businesses $478 million in multi-family and residential mortgage loans to support affordable housing in LMI areas and for LMI individuals $306 million in loans to support small businesses and/or in underserved neighborhoods $5.6+ million in total charitable giving last year to support non-profit organizations More than 16,300 volunteer hours to support community partners and programs in the regions Valley serves Valley is committed to supporting community and economic development, as well as entrepreneurship, throughout the communities we serve, with a heightened focus on strengthening low-to-moderate income (LMI) neighborhoods and individuals. This issue marks the 10th edition of Valley's report, outlining Valley's continued commitment to our pillars: Promoting affordable housing Stimulating community and economic development Inspiring innovation and entrepreneurship Driving impactful local leadership 'As relationship bankers at Valley, collaboration with our community partners and other stakeholders creates positive impact and allows us to be responsive to the needs of the communities we collectively serve,' said Bernadette Mueller, Executive Vice President and Chief Corporate Social Responsibility-CRA Officer. About Valley As the principal subsidiary of Valley National Bancorp, Valley National Bank is a regional bank with $62 billion in assets. Valley is committed to giving people and businesses the power to succeed. Valley operates many convenient branch locations and commercial banking offices across New Jersey, New York, Florida, Alabama, California, and Illinois, and is committed to providing the most convenient service, the latest innovations and an experienced and knowledgeable team dedicated to meeting customer needs. Helping communities grow and prosper is the heart of Valley's corporate citizenship philosophy. To learn more about Valley, go to or call our Customer Care Center at 800-522-4100.
1News
5 days ago
- Business
- 1News
New cost for first-home buyers with changes to First Home Loan
First-home buyers accessing the Kāinga Ora-administered First Home Loan will pay a higher fee from July 1. The scheme allows borrowers to access loans with a deposit as small as 5%, if they earn less than $95,000 as an individual without dependents or $150,000 as a couple or single parent. These loans do not fall under the banks' loan-to-value rules and borrowers can usually access bank special rates and do not have to pay the low-equity fees and margins that could otherwise apply. Previously, borrowers had to pay lenders mortgage insurance of 0.5% of the loan amount. But from July 1, that increases to 1.2%. Borrowers can pay it upfront or over the lifetime of their loans. ADVERTISEMENT The change applies to loans submitted after 1 July. A spokesperson for the Ministry of Housing and Urban Development said the Government had agreed to cease its contribution to the mortgage insurance premium as part of the Budget. "This change is expected to generate savings of $17.9 million per annum from 2025/26 onwards. "These savings, along with others identified across the housing portfolio, will be fully reprioritised to support both existing housing services and the delivery of new initiatives within Vote Housing and Urban Development, including investments in social housing, transitional housing, and housing support services." The ministry said that for an average first home loan of $550,000, it would increase the premium paid by the borrower from $2750 to $6600. "This cost can be paid upfront or added to the loan, which would increase the total borrowing by approximately $3850. "HUD does not expect that moving to a full cost recovery model will materially affect the uptake of first home loans or households' ability to reach home ownership relative to current settings. ADVERTISEMENT "The increase in cost is less than 1% of the average loan value and is not expected to significantly impact borrowers' ability to service their mortgage, meet deposit requirements, or access lending." David Cunningham, chief executive at mortgage advice firm Squirrel, said it was a change that was "snuck in". But he said it would not make a big difference to most borrowers. "On a $400,000 loan that lifts the LMI from $2000 to $4800. Whilst the $2800 difference seems big, it is just part of the cost of establishing home ownership. "Changes to interest rates are a much bigger factor as they impact every year rather than a one-off. With interest rates about 1.5% lower than they were a year ago and house prices a bit lower, first-home buyers are in a better position than a year ago, despite this change." There were just over 5500 First Home Loans approved last year. Jeremy Andrews, a mortgage adviser at Key Mortgages, said the change had come as a surprise. ADVERTISEMENT "I've done a heck of a lot of Kāinga Ora First Home Loans over recent years … a 0.5% fee was typically a no-brainer even when clients could have been approved with their main banks [with a] low deposit outside the scheme. "There are still cases where it makes sense, as that's a one-off fee rather than typical ongoing margin until clients reach the sweet spot of 20% equity. "It's also ironically the same 1.2% margin that BNZ charges their existing 'main bank' clients with between 5% under 10% deposit. BNZ, like most other banks, charges an ongoing low equity margin every year until clients can prove they have 20% deposit - and this might require an updated valuation to do so." He said a benefit of the First Home Loan scheme was that people could usually be preapproved, and it was sometimes possible to get higher cashbacks from banks. "There are several different lenders who can provide preapproval with Kainga Ora First Home Loans, each with pros and cons, such as considering either one or two boarders if applicable, turnaround time differences and varying rates and cashbacks. " Karen Tatterson, Loan Market mortgage adviser, said the main banks were generally not issuing pre-approvals for low-deposit borrowers not part of the First Home Loan scheme at the moment. "It means that the only time you can get an approval is if you are under contract on a property or going to auction on a specific property. "It does cause a concern for first-home buyers as they cannot go to the market armed with a preapproval, and this creates some nervousness for them. The key is good advice and ensuring they speak to an adviser so they know their numbers."
Otago Daily Times
5 days ago
- Business
- Otago Daily Times
Budget change may cost first home buyers thousands
By Susan Edmunds of RNZ First-home buyers accessing the Kainga Ora-administered First Home Loan will pay a higher fee from 1 July. The scheme allows borrowers to access loans with a deposit as small as 5 percent, if they earn less than $95,000 as an individual without dependents or $150,000 as a couple or single parent. These loans do not fall under the banks' loan-to-value rules and borrowers can usually access bank special rates and do not have to pay the low-equity fees and margins that could otherwise apply. Previously, borrowers had to pay lenders mortgage insurance of 0.5 percent of the loan amount. But from 1 July, that increases to 1.2 percent. Borrowers can pay it upfront or over the lifetime of their loans. The change applies to loans submitted after 1 July. A spokesperson for the Ministry of Housing and Urban Development said the government had agreed to cease its contribution to the mortgage insurance premium as part of the Budget. "This change is expected to generate savings of $17.9 million per annum from 2025/26 onwards. These savings, along with others identified across the housing portfolio, will be fully reprioritised to support both existing housing services and the delivery of new initiatives within Vote Housing and Urban Development, including investments in social housing, transitional housing, and housing support services." The ministry said for an average first home loan of $550,000 it would increase the premium paid by the borrower from $2750 to $6600. "This cost can be paid upfront or added to the loan, which would increase the total borrowing by approximately $3850. "HUD does not expect that moving to a full cost recovery model will materially affect the uptake of first home loans or households' ability to reach home ownership relative to current settings. The increase in cost is less than 1 percent of the average loan value and is not expected to significantly impact borrowers' ability to service their mortgage, meet deposit requirements, or access lending." David Cunningham, chief executive at mortgage advice firm Squirrel, said it was a change that was "snuck in". But he said it would not make a big difference to most borrowers. "On a $400,000 loan that lifts the LMI from $2000 to $4800. Whilst the $2800 difference seems big, it is just part of the cost of establishing home ownership. Changes to interest rates are a much bigger factor as they impact every year rather than a one-off. With interest rates about 1.5 percent lower than they were a year ago and house prices a bit lower, first-home buyers are in a better position than a year ago, despite this change." There were just over 5500 First Home Loans approved last year. Jeremy Andrews, a mortgage adviser at Key Mortgages, said the change had come as a surprise. "I've done a heck of a lot of Kainga Ora First Home Loans over recent years … a 0.5 percent fee was typically a no brainer even when clients could have been approved with their main banks [with a] low deposit outside the scheme. "There are still cases where it makes sense as that's a one-off fee rather than typical ongoing margin until clients reach the sweet spot of 20 percent equity. "It's also ironically the same 1.2 percent margin that BNZ charges their existing 'main bank' clients with between 5 percent under 10 percent deposit. BNZ, like most other banks, charges an ongoing low equity margin every year until clients can prove they have 20 percent deposit - and this might require an updated valuation to do so." He said a benefit of the First Home Loan scheme was that people could usually be preapproved and it was sometimes possible to get higher cashbacks from banks. "There are several different lenders who can provide preapproval with Kainga Ora First Home Loans, each with pros and cons such as considering either one or two boarders if applicable, turnaround time differences and varying rates and cashbacks. " Karen Tatterson, Loan Market mortgage adviser, said the main banks were generally not issuing pre-approvals for low-deposit borrowers not part of the First Home Loan scheme at the moment. "It means that the only time you can get an approval is if you are under contract on a property or going to auction on a specific property. It does cause a concern for first-home buyers as they cannot go to the market armed with a preapproval and this creates some nervousness for them. The key is good advice and ensuring they speak to an adviser so they know their numbers."
West Australian
6 days ago
- Business
- West Australian
Smart planning needed and government incentives available to help you step into the property market
While strong price growth over the past couple of years has made buying your first home more challenging, Real Estate Institute of Western Australia (REIWA) President Suzanne Brown said it was still achievable but might require some compromises. 'First homebuyers remain very active in the WA market, with data from the Australian Bureau of Statistics showing first-time homeowners made up 37.7 per cent of all owner-occupier loans in 2024,' she said. 'However, many have had to reassess their expectations, potentially shifting their focus from houses to more affordable options like units, villas or townhouses to get into the market. 'They're also needing to broaden their search to suburbs further from the Perth CBD, where prices tend to be lower. 'Currently, suburbs in Perth's south-east and south-west, along with Midland to the east, are the most affordable suburbs for houses. 'For people looking to be closer to the city, units in Wembley and Bayswater offer affordable opportunities.' Ms Brown encouraged first homebuyers to do their research thoroughly and to not be deterred by median house prices when considering where to buy. 'It is important to remember the median is the middle, and 50 per cent of sales will be below this price,' she said. 'There will still be affordable options in many suburbs – it may just take time and patience to find them in some areas. 'If your preferred suburb is out of your price range, look at neighbouring areas, which are sometimes called bridesmaid suburbs. 'They will be close to the same amenities you find desirable but are usually more affordable. 'I also remind first homebuyers their first house is often a stepping stone along the homeownership path not the final destination. 'Buy what you can afford, pay down the mortgage, and build some equity and upgrade later.' Ms Brown said saving a deposit was one of the greatest challenges facing first homebuyers, particularly in a climate of rising prices. She encouraged them to start saving as soon as possible and to make use of government schemes to help them build a deposit and get a loan. 'The Federal Government's first home super saver scheme lets first homebuyers save a deposit through their superannuation,' Ms Brown said. 'You can apply to withdraw a maximum of $15,000 of your voluntary superannuation contributions from any one financial year to buy your first home. 'Across all years, the maximum amount you can withdraw is $50,000 of personal contributions, plus earnings. 'First homebuyers should also know you don't need to have a 20 per cent deposit to get a loan. 'However, if you have less than 20 per cent, you will have to pay lenders mortgage insurance (LMI).' Ms Brown said there were further government schemes addressing this. 'Keystart is a State Government initiative allowing eligible buyers to get a loan with as little as a two per cent deposit and pay no LMI,' she said. 'The Federal Government's First Home Guarantee scheme allows eligible buyers to access a loan with a five per cent deposit. 'The government guarantees the remaining 15 per cent, negating the requirement for LMI. 'The Federal Government is also expected to launch its Help to Buy shared equity scheme later this year. 'It will allow buyers to benefit from a smaller mortgage and lower repayments, with the government taking an equity share of up to 40 per cent of the purchase price of new homes and 30 per cent of the purchase price of existing homes.' Ms Brown said there were several other grants and measures, which could help first homebuyers get their foot on the property ladder. 'If you buy or build a new home, you may be eligible for the $10,000 First Home Owner Grant,' she said. 'First homebuyers may also qualify for a $2000 grant from the Home Buyer Assistance Account to help with the incidental costs of buying a home such as settlement fees. 'Stamp duty is another major challenge facing homebuyers, as it is an additional cost on top of saving for a deposit.' According to Ms Brown, earlier this year, 63 per cent of 15,000 respondents to a Housing Issues Survey on agreed stamp duty was a significant barrier to homeownership in WA. 'There are stamp duty concessions to help address this,' she said. 'If first homebuyers buy a home valued at $500,000 or less, they will pay no stamp duty, saving up to $18,000. 'They will pay a concessional rate on purchases valued up to $700,000 in the Perth metropolitan area and Peel region or up to $750,000 outside of these areas. 'REIWA has been advocating for these thresholds to be lifted for some time, and we were pleased when the State Government announced an increase in March. 'However, rising prices mean these changes could quickly become redundant. 'We would like the State Government to go a step further and link the thresholds to REIWA's median sale prices – as Keystart has done for its products – so they can move with the market and remain accessible to as many first homebuyers as possible.' Ms Brown offered some additional tips for first homebuyers. 'Visit a mortgage broker to get an accurate idea of how much you can borrow,' she said. 'Get your finance pre-approved and speak to the selling agent about what you can do to strengthen your offer. 'Consider using a buyer's agent and, lastly, leave plenty of time for settlement.' is the home of Western Australian real estate, representing more than 1350 member agencies or 90 per cent of the sector. With more than 100 years of industry leadership and local knowledge, it is uniquely placed to provide in-depth market intelligence free of charge.
