Guaranteed Rate Expands Community Engagement Initiative to Boost Lending in Underserved Markets

Guaranteed Rate launches phase two of its Community Engagement Initiative to increase funded volume in underserved communities nationwide. The initiative focuses on financial education, community outreach, and recruitment from low and moderate-income markets.

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Guaranteed Rate Expands Community Engagement Initiative to Boost Lending in Underserved Markets

Guaranteed Rate Expands Community Engagement Initiative to Boost Lending in Underserved Markets

Guaranteed Rate, the second-largest retail mortgage lender in the United States, has announced the launch of phase two of its Community Engagement Initiative, aimed at increasing funded volume in underserved communities nationwide. The initiative focuses on financial education, community outreach, and recruitment from low and moderate-income markets.

Why this matters: This initiative has the potential to increase homeownership and financial stability among underserved communities, which can have a positive impact on the overall economy. By addressing the disparities in lending, Guaranteed Rate's efforts can contribute to a more equitable distribution of wealth and opportunities.

Phase two builds on the success of the initial phase, which included internal infrastructure projects, reporting enhancements, and strategic partnerships to expand the Guaranteed Rate brand in underserved markets. The company has launched RateUniversity, a community outreach effort in English and Spanish, to promote financial education and culture in large metros. Guaranteed Rate has also introduced its GTM (Go-to-Market) plan, a comprehensive multi-media brand awareness campaign, and ongoing recruitment from low and moderate-income markets.

Since the initiative's inception in 2023, Guaranteed Rate has demonstrated substantial progress in increasing diversity within its national workforce and among its clientele. Diversity in the sales force has grown from 16% to 23%, with a net headcount increase from 176 to 379. The percentage of funded loans from diverse consumers has risen from 12% to 29.6% of total funded loans across the company.

Camilo Escalante, Executive Director of Diverse Segments at Guaranteed Rate, stated, "We have made significant strides in opening up home lending and ownership for underserved communities, but our work is far from finished." He added, "We are encouraged to see that Latinos already comprise 51% of First-Time Homebuyers (FTH), and we believe that can go as high as 70% over the next two decades."

Victor Ciardelli, CEO of Guaranteed Rate, emphasized the company's commitment, saying, "Our commitment to serving diverse markets is unwavering. As we get into phase two and build on all that we achieved in our first year, we aim not only to continue what we started but to elevate our efforts, ensuring that more families have the opportunity to own homes and prosper."

Guaranteed Rate Companies, headquartered in Chicago, is a leader in mortgage lending and digital financial services. The company has helped more than 2 million homeowners with home purchase loans and refinances since its launch in 2000. With its expanded Community Engagement Initiative, Guaranteed Rate continues to make homeownership more accessible to underserved communities, fostering financial empowerment and inclusion across the nation.

Key Takeaways

  • Guaranteed Rate launches phase 2 of its Community Engagement Initiative to increase lending in underserved communities.
  • The initiative aims to increase financial education, community outreach, and recruitment in low-income markets.
  • Since 2023, diversity in Guaranteed Rate's sales force has grown from 16% to 23%, with a 29.6% increase in funded loans to diverse consumers.
  • The company's goal is to increase homeownership and financial stability among underserved communities, promoting a more equitable distribution of wealth.
  • Guaranteed Rate has helped over 2 million homeowners with loans and refinances since its launch in 2000, aiming to make homeownership more accessible nationwide.