Home Point Financial is donating $ 1 million to fund 50 new minority and women-owned mortgage brokers through the newly created nonprofit foundation.
"Through this foundation, we are determined to invest our financial and human capital where it is needed most," said Phil Shoemaker, President of Originations, Home Point Financial, in a press release. "We look forward to helping people make their entrepreneurship dreams a reality."
Home Point is making this donation as a sponsor of the Association of Independent Mortgage Experts' Spark program and was announced at the group's National Fuse conference.
For years, housing advocates debated the need to expand the pool of industrial workers, particularly to improve home ownership opportunities for minorities.
Nearly six years ago, ComplianceTech chief executive officer Maurice Jourdain-Earl stated at the 2014 Mortgage Bankers Association annual meeting, "Until companies diversify their workforce, they won't invade color communities. People like to do business with people who look like them. "
With millennial first-time buyers, especially from minority and immigrant communities making up an increasing market share, this becomes even more important.
To be considered for any of the Home Point grants, the application must include a business plan and demonstrate relevant experience in the mortgage industry.
The funds can be used for business expenses related to technology, licensing costs, office expenses, services, marketing, guarantees and salaries for support staff.
Applications will be examined from February 2, 2021. The winners will be selected on March 31st.
The $ 1 million is split into two separate pools, with 25 grants going to new minority-owned mortgage brokers and 25 to female-owned mortgage brokers.
The assignments are the same for each pool. There will be one applicant in both groups who will receive a total of $ 50,000. The first $ 10,000 will cover startup costs, and then four quarterly payments of $ 10,000.
Then four more winners in each group will each receive $ 25,000 and the remaining 20 will receive $ 17,500.
Home Point has decided to make its first $ 1 million donation to AIME Spark specifically for this program. It will provide additional money through the Community Foundation in the future to support and expand the broker channel in other ways.
“AIME was founded with the core task of expanding the broker channel. This grant will be one of the cornerstones of this commitment to ultimately serve populations underrepresented in the mortgage industry and provide borrowers with more local, dedicated mortgage professionals, "said Katie Sweeney, the group's executive vice president of strategy, in one separate press release. "Spark is part of AIME's commitment to develop and train mortgage professionals throughout their careers and provide borrowers with more local, dedicated mortgage professionals."
AIME also announced that United Wholesale Mortgage has also donated $ 1 million to the Spark program. "Through Spark, AIME is empowering a diverse group of professionals to take the plunge into entrepreneurship to bring home ownership to consumers in their community," said Mat Ishbia, President and CEO of UWM.