Scotiabank, Habitat for Humanity partner on mortgages
Scotia Mortgage recently closed three loans in partnership with Habitat for Humanity to help the nonprofit organization’s goal of providing low-income residents with new homes.
The three financing transactions completed through Scotia Mortgage’s servicing division were closed at 0 percent interest, and the only related expenses were registration and insurance fees, bank officials said.
The loans met Community Reinvestment Act requirements created to promote the scope and distribution of banking products and services at all income levels in their geographic areas, with particular interest in low and moderate income levels.
“These mortgages are a unique experience, since the people who buy these properties helped in the construction and restoration of their new homes,” said Ricardo Domenech, first vice president of Scotiabank de Puerto Rico’s Mortgage Department.
Most of the work is done by Habitat for Humanity volunteers, and is supported by individual and corporate donations of money and materials. Houses are sold at no profit to the seller and interest-free.
“We’re proud to contribute to these acquisitions and as part of our commitment to community development, offer loan management services after these three families closed on them. Habitat for Humanity’s work is commendable, and the new owners show perseverance and desire to succeed going forward,” said Scotiabank President Peter Bessey.