City and community leaders gathered at ERIEBANK to announce the launch of a new home opportunity program. 

The program was launched in partnership with the City of Erie and the Erie Land Bank.  Leaders want to assist people with home ownership.

Bank leaders say the program will also help with the tax base in Erie by returning some of the blighted houses to the community.

The goal is to reduce financial barriers and leverage existing resources by offering: 

  1. 100% LERTA (Local Economic Revitalization Tax Assistance) tax abatement for 10 years on new
    development.
  2. Refunding Acquisition Costs: Upon issuance of a Certificate of Occupancy, the land bank would gift the
    land to the developer. The land’s value could be pledged as equity in bank financing to reduce the amount of
    capital required upfront.
  3. Financing Assistance for Owner-Occupied Residential Builds which includes:
    1. 0% financing for up to 20 years
    2. Interest rate buy down on a bank loan
    3. Closing cost assistance
    4. Providing a second mortgage subordinated to the bank to help buyers avoid Private Mortgage
      Insurance (PMI)
    5. Utilizing a combination of the above options to tailor financing assistance to specific projects.

"We have a couple of different programs that we're really excited about," said Katie Jones, Regional President ERIEBANK. "One of which we talked about today, which is our Open Your Door Grant Program. What that does if for qualified homes in qualified areas we are able to give up to $10,000 in lender credit." 

Jones says the lender credit can be used for closing costs, down payments, and the barriers that may be in the way of home ownership.