Homebuyers can rest easy with Homebuyer Protection Program

by MPA08 May 2019

Guild Mortgage recently announced the launch of Homebuyer Protection, a program aimed at giving homebuyers more certainty during the homebuying process.

Mary Ann McGarry, Guild president and CEO, said, that the Homebuyer Protection Program provides borrowers with the confidence and trust that they need from their partners throughout the process.

“Homebuyer Protection gives customers the flexibility to shop with confidence knowing their rate is protected. Once it’s time to purchase the home, buyers can trust Guild to close their loan on time. If we can’t, we’ll cover some of their costs. This extra protection will help more people find the home they want and the right loan to help them get there,” McGarry said.

The Homebuyer Protection program allows homebuyers to protect their interest rate, deposits, and closing date, and features a 17-day closing guaranteed for approved borrowers. It is a combination of three pre-existing services:

  • Lock & Shop, where the customer can lock in their interest rate for 90 days while shopping for a home. Once they have found a home, they will have the option to float-down their rate, at no cost, if rates decrease.
  • Credit Approval Protection, which deepens faith in the pre-approval process. If the company issues a preliminary credit approval from underwriting but is unable to close the homebuyer’s transaction, Guild will pay up to $1,000 for inspections, appraisals or relocation expenses incurred for the home purchase. The company will also reimburse up to $5,000 in earnest money deposits if Guild is unable to close the loan.
  • Homebuyer Express with 17 Day Closing Guarantee, where Guild will pay qualifying customers $500 toward closing costs if company delays prevent the loan from closing on time, in 17 days or more.

“We know there are a lot of options when it comes to getting a mortgage,” said Gemma Currier, senior vice president of national retail sales operations. “Homebuyer Protection was created so our loan officers can continue to provide the exceptional service and personal relationships that have defined Guild for nearly 60 years, while offering a protection program that homebuyers can’t find anywhere else.”

The Homebuyer Protection program is available on FHA, VA and conventional loans. To qualify for the Homebuyer Express 17 Day Closing Guarantee, the customer must be credit approved prior to executing the purchase and sales agreement, and the purchase and sales contract must be provided within 72 hours of execution. All additional requested documentation must be provided within two business days and the interest rate must be locked at least 15 calendar days prior to closing.