The California Housing Finance Agency (CalHFA) has launched a program offering loans for low to moderate income borrowers for up to 10% of the purchase price when buying their first home. The loans are forgivable if the borrower continuously occupies the home as their primary residence for five years.
The loan must be for a single-family, one-unit residence, but that does include manufactured housing and approved condominiums, guest houses, and in-law quarters. The loan can only be used with a CalHFA first mortgage.
To be eligible, a potential borrower must:
- Be a first-time homebuyer
- Live at the property as a primary residence
- Complete homebuyer education counseling and obtain a certificate of completion through an eligible organization
- Meet county income limits set by Fannie Mae
For full details about requirements and how to apply, visit www.calhfa.ca.gov