CLEVELAND, OH - KeyBank (NYSE: KEY) has joined forces with Fannie Mae (NYSE: FNM), the nation's largest source of financing for home mortgages, to significantly ease restrictions that have made homeownership prohibitive for many low- and moderate-income (LMI) people living in urban communities throughout Ohio.

"This is the first time that KeyBank has partnered with Fannie Mae to offer a product with such expanded flexibility," said David Elbert, national sales manager for Key Community Development Banking. "Through Key Home Advantage, Key makes home ownership affordable for those who have been turned down in the past because of impaired credit or lack of funds for a down payment."

Key Home Advantage makes it easier for LMI consumers to qualify for a home mortgage through more flexible underwriting guidelines, a lower down payment and no private mortgage insurance (PMI). These flexible guidelines enable consumers with less than perfect credit to qualify.

Today, the fastest growing groups of homebuyers are minorities, families of modest means, new Americans, and other underserved families -- many with very little wealth and complicated job and financial histories. Yet, while nearly three-quarters of all white Americans own their homes, less than half of all African Americans and Hispanic Americans are homeowners.

"Fannie Mae shares KeyBank's mission to close the homeownership gap and help more minority families achieve the American dream throughout Ohio," said Vanessa Randolph, senior deputy director of Fannie Mae's Northern Ohio Partnership Office. "Fannie Mae's partnership with KeyBank is part of the company's recently announced American Dream Commitment® to expand access to homeownership for millions of first-time homebuyers; help raise the minority homeownership rate to at least 55 percent; make homeownership and rental housing a success for millions of families at risk of losing their homes; and expand the supply of affordable housing where it is needed most."

KeyBank's commercial real estate group, which finances multifamily projects in markets across the U.S., also enjoys a strong relationship with Fannie Mae as one of a select group of multifamily Delegated Underwriting and Servicing (DUS(tm)) lenders. "Fannie Mae has been a tremendous partner with Key," said Jeffrey Juster, SVP, KeyBank Real Estate Capital.

For Key Home Advantage, Fannie Mae will purchase up to $20 million in eligible loans, which helps supply KeyBank with mortgage financing for individuals and communities throughout Ohio. Key Home Advantage is being launched in major cities throughout Ohio, including Cleveland, Cincinnati, Columbus, Dayton and Toledo. For more information about Key Home Advantage, contact David Elbert at 216-689-7690, david_elbert@keybank.com.

Key Home Advantage follows closely on the heels of KeyBank Plus, a distinct break from traditional banking practices in which Key began cashing checks and offering free financial education classes for residents of Cleveland?s urban communities. In addition to KeyBank Plus, Key launched a set of products for LMI clients called Key Basic Solutions. The products include a free checking account, a savings account with no minimum balance for 18 months and most recently, a more flexible line of credit.

"Key Home Advantage is a natural next step to meeting the needs of this community," said Bruce Murphy, president of Key Community Development Banking. "It's all about meeting people's needs where they're at now and helping them get to the next step towards achieving financial independence. While Key offers a traditional line of mortgage products, these products might not fit the needs of people with more challenging circumstances. Key Home Advantage offers the LMI individual a real chance toward home ownership."

Cleveland-based KeyCorp is one of the nation's largest bank-based financial services companies, with assets of approximately $84 billion. Key companies provide investment management, retail and commercial banking, consumer finance, and investment banking products and services to individuals and companies throughout the United States and, for certain businesses, internationally. The company's businesses deliver their products and services through KeyCenters and offices; a network of nearly 2,200 ATMs; telephone banking centers (1.800.KEY2YOU); and a Web site, Key.com,® that provides account access and financial products 24 hours a day.

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KeyBank

KeyBank

KeyCorp's roots trace back 190 years to Albany, New York. Headquartered in Cleveland, Ohio, Key is one of the nation's largest bank-based financial services companies, with assets of approximately $176.2 billion at March 31, 2021. Key provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states under the name KeyBank National Association through a network of approximately 1,100 branches and more than 1,400 ATMs. Key also provides a broad range of sophisticated corporate and investment banking products, such as merger and acquisition advice, public and private debt and equity, syndications and derivatives to middle market companies in selected industries throughout the United States under the KeyBanc Capital Markets trade name. For more information, visit https://www.key.com/. KeyBank is Member FDIC. 

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