DOWN PAYMENT ASSISTANCE

Interested in down payment assistance?

LOOK NO FURTHER. HERE ARE SOME AVAILABLE PROGRAMS FOR YOU.

  • 3% - 3.5% down payment

  • Covers your minimum down payment

  • Competitive interest rates

  • No equity share with CalHFA

  • 1% down payment option

  • 2% grant

  • Less than or equal to 80% AMI

  • No charge for mortgage insurance

  • 2% - 3% closing cost assistance

  • Covers your closing costs on a new home purchase

  • Must be combined with the CalHFA MyHome Program

MYHOME ASSISTANCE PROGRAM

THE ONE PROGRAM

PROGRAM HIGHLIGHTS:

  • Borrower receives 3% or 3.5% in assistance from CalHFA to cover your minimum down payment.

    • CalHFA Conventional = 3% in assistance

    • CalHFA FHA = 3.5% in assistance

  • Assistance is not forgivable and must be repaid if the home is refinanced, sold, or you reach the end of your 30-year term on the loan.

  • Borrower can add 2% or 3% in closing cost assistance with CalHFA ZIP

  • Loan amount limit based on conforming loan limits

  • Interest rates for the program are set by CalHFA and change daily

  • Types of approved homes:

    • Single-family homes

    • Condos/townhomes (approval required)

    • Manufactured homes on owned land (no leased spaces)

    • Below-market-rate (BMR) homes

ELIGIBILITY:

  • Borrower must be a first-time homebuyer (not owned a home in the past 3 years)

  • Borrower’s gross income must be below the limit for the county the home is purchased in

  • Maximum DTI (debt-to-income ratio) is 45%

  • Minimum credit scores:

    • Conventional: 680

    • FHA: 640

SEE COMPLETE PROGRAM INFORMATION

PROGRAM HIGHLIGHTS:

  • Borrower has the ability to put down as little as 1% and get into a home

  • The lender is providing a 2% grant of the loan amount

  • Under this scenario you would enter your home with 3% equity

  • Clients who qualify may contribute up to 2.99% toward a down payment while still receiving the 2% grant

  • There are no restrictions on where you can live or where you move from

  • This program is available nationwide

  • Borrower will not have to pay for mortgage insurance on this product

    • This means a lower monthly payment, which adds to affordability

QUALIFICATIONS:

  • Borrower must be a first-time homebuyer (not owned a home in the past 3 years) or repeat homebuyers nationwide.

  • Borrower(s) gross income must be below 80% of the median income in the country in which he or she is looking to purchase.

  • Minimum FICO score of 620.

  • Single-unit primary residences only.

  • When combined with the 2% grant, your initial down payment can be no more than 4.99%

FAQ:

  • Is this really a 1% down option?

    • Yes, but you can get the benefit of going into your loan with 3% equity. In addition to the 1% you bring to the closing table, we are providing a 2% grant.

  • Are temporary buydowns available for this product?

    • Temporary buydowns allow for the creation of a fund to effectively lower the interest rate for a year or more at the beginning of your loan term. These are allowed if they come from an eligible source including the builder, seller, or a real estate agent.

  • Are there other low down payment options if I don’t qualify for this program?

    • There are several other low down payment options that may be available to you depending on your situation. For example, if you need to qualify with a higher income, you can still put as little as 3% down on a conventional loan as a first-time homebuyer. If your credit score is 580 or better, you can put 3.5% down for an FHA loan.