BUSINESS MEMO: NEW MORTGAGE PRODUCTS

NationsBanc Mortgage has introduced Neighborhood Advantage Zero Down and the Neighborhood Advantage Credit Flex mortgage products in Southeast Missouri.

Because of the merger between BankAmerica Corp. and NationsBank, the zero down program will be available in 34 states and the District of Columbia, and the credit flex program will be available in 35 states and the District of Columbia.

Zero Down and Credit Flex are two ways the bank can offer flexibility to the needs of low-income and first-time homebuyers, said Mindy Pully, manager of NationsBanc Mortgage in Cape Girardeau and Jackson.

NationsBank, soon to be Bank of America, has doubled its original dollar commitment on the zero down product, from $500 million to $1 billion. The increased dollar commitment for the credit flex program has increased from $600 million to $1 billion.

Both programs were introduced last year to address specific needs faced by low-income and first-time home buyers. To be eligible for the programs, a borrower must have an annual income not exceeding 80 percent of the median income for Metropolitan Statistical Area where the home is located.