Multistate mortgage lender Click n’ Close on Thursday announced that it’s adding a 30-year, fixed-rate conventional loan option to its SmartBuy Shared Appreciation Mortgage (SAM) program.
Texas-based Click n’ Close, formerly known as Mid America Mortgage, offers the SmartBuy SAM program as an alternative path to homeownership. SAM loans grant the lender a share of the home’s future appreciation in exchange for a lower interest rate. Click n’ Close’s program also offers down payment assistance (DPA) options ranging from 3.5% to 5% down.
Click n’ Close previously reserved this program for Federal Housing Administration (FHA) and U.S. Department of Agriculture (USDA) borrowers. But CEO Jeff Bode said that adding conventional loans gives borrowers the power to achieve homeownership in a difficult, evolving market.
“Regardless of what is admittedly a difficult market for buyers, our SmartBuy Shared Appreciation Mortgage tool puts homeownership in reach for people who may not have thought it possible,” Bode said in a statement. “Buyers can increase their financial stability and realize the benefits of what is, for most Americans, the largest investment of a lifetime.”
“CNC’s Shared Appreciation Mortgage program (SAM) combines with the DPA SmartBuy program to provide homebuyers with additional flexibility, helping them secure a home with minimal upfront costs while benefiting from shared appreciation in the property’s value over time,” he added. “Having a conventional option in addition to FHA and USDA simply helps make homeownership more accessible for a broader range of buyers.”
Click n’ Close launched the SAM program in April 2024, with the key benefit being below-market interest rates for first-lien mortgages.
Borrowers can utilize repayable DPA second liens in exchange for 5% of the home’s appreciation. After five years, Click n’ Close said it will add the shared appreciation amount to the second lien. It will then undergo amortization over time.
Click n’ Close underwent a massive rebranding effort in June 2022 as it expanded into the mortgage technology industry. It now offers multiple loan programs — including SmartBuy SAM — to third-party originators, alongside its direct-to-consumer programs for reverse and Native American borrowers.
