Webster Bank Makes $1 Million Commitment to Housing Development Fund’s Affordable Housing Loan Pool
February 25, 2013
STAMFORD, CT — The Housing Development Fund (HDF) announced that Webster Bank has become the newest member of its SmartMove Homeownership Fund. With Webster Bank’s $1 million commitment to HDF’s SmartMove Loan Fund, the fund now totals $54.2 million.
The SmartMove Homeownership Fund enables qualified first-time homebuyers to purchase homes in Connecticut by providing down payment assistance. SmartMove loans are low-interest 20-year second mortgages of up to 20% of the purchase price that increase the affordability of homeownership by allowing qualified buyers to avoid paying for mortgage insurance. Borrowers who have completed a counseling process and been deemed ready to buy can put down as little as 1% of the purchase price towards the purchase of their home. Since 2005, the SmartMove program has assisted over 1,200 individuals and families to buy their first home in 56 towns and cities in Fairfield, Litchfield and New Haven Counties. With the support of great partners like Webster Bank, HDF anticipates helping over 150 new households to purchase their first home this year.
“HDF has long admired Webster Bank’s commitment to providing safe and sound mortgages to Connecticut’s hardworking families. We are excited to have them as a partner in the SmartMove Homeownership Fund. Their commitment to HDF will help us assist hundreds more Connecticut families achieve their dream of homeownership.”
– Joan Carty, HDF President & CEO
Webster Bank is already a part of the Housing Development Fund’s MultiFamily Loan Fund, with a $2 million current commitment. The Multifamily Loan Fund lends to individuals and small-to-medium-sized developers who are in the early stages of building portfolios of rental properties, including affordable units. Webster Senior Vice President Robin Gallagher serves as Chair of HDF’s Board of Directors and as Chair of HDF’s Multi-Family Loan Committee.
“For more than three generations, Webster Bank has been committed to helping individuals, families and businesses achieve their financial goals. In fact, our bank was founded to help neighbors achieve the American Dream of owning a home. Assisting people in making that dream a reality is priceless, especially when you see the expression on their faces when they turn the key and know they are home.”
– Robin Gallagher, Webster SVP and HDF Board Chair
“Webster is pleased to be a part of this important venture. We are confident that this will create opportunities to increase residential mortgage lending in low to moderate income neighborhoods in Connecticut to help create stronger and more vibrant communities.”
-Simon Tahan, Webster SVP, Consumer Finance
Webster joins a host of other banking partners in the HDF SmartMove Homeownership Fund, including: Citibank; Connecticut Community Bank,; Fairfield County Bank; First County Bank; Hudson City Savings Bank; Naugatuck Savings Bank; Newtown Savings Bank; Patriot National Bank; People’s United Bank; Savings Bank of Danbury; Stamford Mortgage Company; Union Savings Bank; and the Wilton Bank.
About the Housing Development Fund– The Housing Development Fund (HDF) is a certified Community Development Financial Institution (CDFI) and HUD-Approved Counseling Agency established 1989 as a nonprofit organization to finance the development of affordable housing. Since its inception, HDF has been creating affordable housing solutions for low- to moderate-income households in the high cost markets of southwestern Connecticut. In that time, it has grown to a loan fund with over $90 million under management encompassing lending programs for pre-development, acquisition, rehabilitation, new construction, and permanent financing. Projects have included affordable family housing, senior housing, special needs housing and supportive housing. In addition to its financing resources and functions, HDF provides homebuyer education and one-on-one counseling to help families qualify for special mortgage financing programs. HDF also provides foreclosure prevention services through monthly clinics and individual counseling. For more information, contact firstname.lastname@example.org, or visit www.hdf-ct.org
About Webster- Webster Financial Corporation (NYSE: WBS) is the holding company for Webster Bank, N.A. With $20 billion in assets, Webster provides business and consumer banking, mortgages, financial planning, trust and investment services through 168 banking offices; 294 ATMs; telephone banking; mobile banking; and the Internet. Webster Bank owns the asset based lending firm Webster Business Credit Corporation; the equipment finance firm Webster Capital Finance Corporation; and provides health savings account trustee and administrative services through HSA Bank, a division of Webster Bank. Member FDIC and equal housing lender. For more information about Webster, including past press releases and the latest annual report, visit the Webster website at www.websterbank.com or follow us on LinkedIn and Twitter.