Called the Massachusetts Housing Ownership Compact, the plan is for local banks to provide mortgages loans for home buyers with household incomes that fall below the median income in their geographical areas, Boston.com reported.
Several banks have already agreed to participate in the program, including Citizens Bank, Sovereign Bank, Eastern Bank, Rockland Bank and Trust, Enterprise Bank and Trust Co. and Blue Hills Bank. The Department of Housing and Community Development, the Office of Consumer Affairs and Business Regulation and the Division of Banks are still seeking additional lenders to join the compact, Banker & Tradesman reported.
The compact will be administered through the nonprofit agencies MassHousing and Massachusetts Housing Partnership, Bloomberg Businessweek reported.
As home prices rise in Massachusetts as a result of bidding wars, Patrick has proclaimed the week of June 10-16 Commonwealth Housing Week. Housing week will include a number of events focused on affordable housing and foreclosure prevention.