BofA Pledges $5 Billion for Affordable Housing in 5-Year Effort

(Bloomberg) -- Bank of America Corp. pledged to commit $5 billion over the next five years to its program aimed at home buyers with low to moderate incomes and multicultural households, the lender said in a statement.

• The plan includes as much as $10,000 of assistance for down payments and one-off closing costs, as well as grants of as much as $7,500 for one-time costs such as title insurance and recording fees that don’t need to be repaid.

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• Bank of America shares closed 3.4 percent higher at $28.54 a share Monday.

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• The program also includes fixed-rate mortgages with down payments as low as 3 percent. Half of Bank of America’s mortgage loans go to low- to moderate-income or multicultural families, and a third of its branches are in areas serving these groups, according to the statement.

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