October 19, 2010
Contact:
Douglas Robinson, 202-220-2360
Tammy Butler (Direct Lending Family), 847- 844-7711
New Online Mortgage Platform for Nonprofits
NeighborWorks America and Direct Lending Family have launched a new online mortgage system called NeighborWorks Mortgage Source. The platform helps nonprofit organizations offer better mortgage options to homebuyers across the country.
NeighborWorks America is a national community development organization. Direct Lending Family is a technology company that simplifies mortgage origination for nonprofits. Together, they created a system that brings national pricing to local nonprofit lenders.
National Mortgage Options, Local Support
NeighborWorks Mortgage Source connects nonprofit mortgage originators to more than 100 lenders and state housing finance agencies. As a result, homebuyers can access competitive mortgage options no matter where they live.
This national reach gives nonprofit lenders an alternative to local or regional banks. It also increases the chance that buyers will find a mortgage that fits their needs and budget.
A Better Choice for Homebuyers
“This is a major step forward for nonprofit mortgage lending,” said Marietta Rodriguez, National Director of Homeownership and Lending at NeighborWorks America. She explained that the platform helps more buyers secure the right loan at the best possible cost.
Unlike other online mortgage platforms, NeighborWorks Mortgage Source protects consumers. Tammy Butler, CEO of Direct Lending Family, explained that the system does not sell personal data. It also blocks predatory loan products and provides unbiased underwriting at a lower cost.
Designed for Nonprofit Lending Needs
The platform supports buyers who use multiple funding sources to close on a home. These may include personal savings, grants, and assistance programs. This flexibility reflects how nonprofit mortgage lending often works.
Before applying for a mortgage, buyers receive homeownership counseling through NeighborWorks. This approach has proven to reduce delinquency and foreclosure rates. It helps buyers choose loans they can afford long term.
Serving Nontraditional Borrowers
Many NeighborWorks clients do not fit traditional lending profiles. However, they still want fair pricing. According to Rodriguez, the Direct Lending platform recognizes these needs and delivers solutions that traditional underwriting often misses.
Strong Lending Partner Behind the Scenes
Emery Federal Credit Union in Cincinnati serves as the lender and fulfillment center for NeighborWorks Mortgage Source. Emery funds and closes hundreds of millions of dollars in mortgage loans each year.
Dennis Straw of Emery Federal Credit Union said the partnership aligns with the credit union’s nonprofit mission. It also extends financial services to employees of more than 260 companies.
Strengthening Communities Nationwide
Mortgage Source gives community organizations a powerful tool to support sustainable homeownership. According to Rodriguez, the platform represents a major advance in community development lending as neighborhoods recover from the housing crisis.
About NeighborWorks America
NeighborWorks America helps people improve their lives through access to homeownership and affordable rental housing. Since 1991, it has assisted nearly 1.2 million families.
The organization supports a national network of more than 235 community development groups. These groups work in over 4,400 communities across all 50 states, Washington, D.C., and Puerto Rico. In the past five years, NeighborWorks organizations have generated more than $15 billion in community reinvestment.
