Wells
Fargo’s
program
that
provides
up
to
$5,000
in
closing
costs
for
low-
and
moderate-income
families
to
purchase
a
home
has
been
extended
to
an
additional
16
metro
areas,
the
bank
announced
on
Monday.

The
credit
is
available
for
borrowers
with
combined
incomes
of
up
to
80%
of
their
area’s
median
income
who
are
seeking
to
purchase
a
home
as
a
primary
residence.
It
can
be
used
to
pay
nonrecurring
closing
costs,
such
as
appraisal,
processing,
title
and
recording
fees.

In
addition
to
many

previously
announced
markets,
the
program
is
now
available
in
the
California
metro
areas
of
Anaheim,
Sacramento,
San
Diego,
San
Francisco
and
San
Jose;
the
Texas
metros
of
Austin
and
San
Antonio;
the
Florida
metros
of
West
Palm
Beach,
Fort
Lauderdale
and
Miami;
the
North
Carolina
metros
of
Greensboro
and
Raleigh;
Denver;
Las
Vegas;
Phoenix;
and
Portland,
Oregon.

Wells
Fargo,
which
was
among
the
top
25
U.S.
mortgage
lenders
in
the
first
quarter
of
2024,
estimates
that
as
of
April
30,
more
than
4,500
customers
have
used
the
closing
cost
credit.
It
is
available
for
conventional,
conforming
and


U.S.
Department
of
Veterans
Affairs
(VA)
loans
with
either
fixed
or
adjustable
rates.

“Expanding
the
availability
of
the
Dream.
Plan.
Home.
closing
cost
credit
is
another
key
component
of
Wells
Fargo’s
efforts
to
help
drive
economic
growth,
sustainable
homeownership,
and
neighborhood
stability
in
low-
to
moderate-income
communities,”
Kevin
Reen,
head
of
Wells
Fargo
Home
Lending,
said
in
a
prepared
statement. 

In
August
2023,
Wells
Fargo
also
announced
a
down
payment
grant
program
that
offers

$10,000
to
eligible
buyers. 

Since
January
2023,
the
bank
has
changed
its
strategy
in
home
lending
to
focus
on
bank
customers
and

minority
homebuyers
through
its
retail
mortgage
teams.
This
has
resulted
in
the
bank
exiting
the

correspondent
channel
and
shrinking
its
servicing
portfolio. 

Wells
Fargo’s
mortgage
origination
volume
declined
to
$3.5
billion
during
the
first
quarter
of
2024,
down
22%
quarter
over
quarter
and
down
38%
year
over
year.
Its
mortgage
servicing
rights
—
measured
by
the
carrying
value
at
the
end
of
the
period
—
declined
by
3%
quarter
over
quarter
to
$7.2
billion
in
Q1
2024.

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