For a limited time only, Chase is increasing their Closing Guarantee program from $5K to $20K. Chase promises their clients that they’ll close the loan on or before the contract closing date or pay the buyer $20,000. 

The grant can be used to discount underwriting fees paid at mortgage closing or pay down interest rate and down payment. This special time offer is available until July 27, 2024. 

Chase wanted to honor spring homebuying season in an extra special way this year, knowing how challenging the housing market has been. They also have a whole en-suite of offerings and tools to help prospective homeowners. 

The housing affordability crisis—with high interest rates, high homes prices, and low supply—has been widely reported. To help homebuyers address these challenges, Chase Home Lending is focused on providing financial resources and homebuyer education, including increasing its Closing Guarantee from $5,000 to $20,000.  

“Current market dynamics have impacted the affordability of homeownership for many Americans, and at the same time, competition has only increased,” said Sean Grzebin, head of Consumer Originations for Chase Home Lending. “We’re focused on the things we can control in this environment and that’s supporting our customers all the way home. Increasing our Closing Guarantee to $20,000 is a reflection of our confidence in getting customers into their new home without delay.”  

Affordability and Access to Credit  

Chase offers low down payment options—as low as 3%—and flexible credit guidelines to create more homeownership opportunities for more people across the income spectrum. Another way Chase is helping customers manage affordability is with the Chase Homebuyer Grant. This grant offers up to $7,500 in eligible areas, which can be combined with state and local homebuyer assistance, to lower the interest rate and/or reduce closing costs and down payment.  

Since 2020, Chase has provided more than $96 million in Chase Homebuyer Grant funds for more than 29,000 customers. In 2023, Chase also connected homebuyers with approximately $15.8 million in state and local homebuyer and down payment assistance programs. Buyers can use Chase’s Homebuyer Assistance Finder to research assistance programs for which they may be eligible. 

Chase launched its grant program nationally in 2018 with a $2,500 grant for people buying in low-to-moderate income census tracts. Then in in 2021, the bank launched a $5,000 homebuyer grant in census tracts designated as majority-Black, Hispanic or Latino under its Special Purpose Credit Program (SPCP), in accordance with the federal requirements of the Equal Credit Opportunity Act (ECOA) and Regulation B. Recently, the bank increased this grant from $5,000 to $7,500 in 15 markets across the U.S.: 

• Atlanta, GA
• Chicago, IL
• Dallas, TX
• Fort Lauderdale, FL
• Fort Worth, TX
• Houston, TX
• Las Vegas, NV
• Los Angeles, CA
• Miami, FL
• New York, NY
• Orlando, FL
• Phoenix, AZ
• Riverside, CA
• San Diego, CA
• Washington, DC

Homebuyer Education 

The homebuying process can be overwhelming, whether you’re a first-time or experienced homebuyer. Chase is helping to educate prospective buyers on the ins and outs of the home purchase process, homeownership and everything in between. The JPMorgan Chase Institute recently released research calling out the importance for consumers to be educated when it comes to their mortgage and lender options. The Institute’s report, Hidden Costs of Homeownership: Race, Income, and Lender Differences in Loan Closing Costs, reveals that closing costs vary significantly by type of lender, with banks being less expensive on average than nonbanks and brokers.  

“Homebuyers don’t always realize what’s negotiable and what may differ from lender to lender,” said Grzebin. “Being informed can help save you money in the long run. I’d advise customers to make lenders compete for your business—take the time to consult with more than one lender and always check with your bank.” 

Additional resources include Chase’s Homebuyer Education Center—a comprehensive learning center for those looking to buy a home and get a mortgage. Chase’s award-winning podcast, Beginner To Buyer comes complete with two seasons of episodes featuring conversations with real buyers and expert guests discussing homebuying and ownership, home equity, common misconceptions, renovations, and investment properties. 

Convenience and Speed to Close 

A quick closing process can be key, especially in competitive situations. The Chase Closing Guarantee commits to an on-time closing in as soon as three weeks or eligible customers get $20,000. This limited time offer is available for qualifying customers purchasing a home with a Chase mortgage until July 27, 2024. Customers must submit necessary financial documentation and provide a fully-executed purchase contract. Then, Chase will close the loan on or before the contract closing date or pay the buyer $20,000. Funds can be used to discount underwriting fees paid at mortgage closing or pay down the interest rate and down payment. 

Chase continues to offer a full suite of digital tools to support buyers on the path to homeownership, including Chase MyHome. This digital platform provides “all things home, all in one place” with an advanced property search and the ability to review loan options, apply for and manage your mortgage. Additionally, Chase offers various digital mortgage calculators that help buyers understand how much they can afford. 

For more information about Chase Home Lending, visit Chase.com/afford. 

--  Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey^® (PMMS^®), showing the 30-year fixed-rate mortgage (FRM) averaged 7.02 percent.

“Mortgage rates decreased for the second consecutive week,” said Sam Khater, Freddie Mac’s Chief Economist. “Given the news that inflation eased slightly, the 10-year Treasury yield dipped, leading to lower mortgage rates. The decrease in rates, albeit small, may provide a bit more wiggle room in the budgets of prospective homebuyers.”

News Facts

• The 30-year FRM averaged 7.02 percent as of May 16, 2024, down from last week when it averaged 7.09 percent. A year ago at this time, the 30-year FRM averaged 6.39 percent.
• The 15-year FRM averaged 6.28 percent, down from last week when it averaged 6.38 percent. A year ago at this time, the 15-year FRM averaged 5.75 percent.

The PMMS^® is focused on conventional, conforming, fully amortizing home purchase loans for borrowers who put 20 percent down and have excellent credit. For more information, view our Frequently Asked Questions.

Freddie Mac’s mission is to make home possible for families across the nation. We promote liquidity, stability, affordability and equity in the housing market throughout all economic cycles. Since 1970, we have helped tens of millions of families buy, rent or keep their home. Learn More: Website