Hancock Bank to Offer New Loan

Hancock Bank will offer a new type of disaster relief construction loan to assist area homeowners in rebuilding and repairing homes affected by Hurricanes Katrina and Rita. The Hancock Bank Home Recovery Construction Loan will allow homeowners to borrow yup to 103% of the appraised value of the home.

Dan Zoble, Hancock Bank Mortgage Division manager, said, "This type of loan takes into account the challenges homeowners face in trying to rebuild or repair homes after such devastating events. Being able to borrow up to 103% of the appraised value of the home allows a homeowner to obtain funding for rebuilding. The homeowner uses the extra 3% for closing costs and pre-paid items."

The Hancock Bank Home Recovery Construction Loan requires no down payment, and allows for construction periods of up to 18 months, during which homeowners are required to make interest-only payments alone, thus reducing the homeowner's financial burden. Hancock Bank officials said they expect the new loan product to be welcome news not only to residents trying to rebuild and recover from the 2005 storms, but also for individuals considering returning to the Gulf Coast region to live.

The new loan is available in Federal Emergency Management Agency-designated disaster areas for Katrina and Rita. Additionally, Fannie Mae must approve those areas. Fannie Mae will buy the eligible loans from Hancock Bank.

For more details on the new loan program, visit http://www.hancockbank.com/.
-MBJ