California Dream For All Program

This program could potentially make it possible for you to buy a home with no money out of pocket other than closing costs.

The CalHFA, California Housing Finance Agency, has just rolled out a new plan that could potentially minimize your out of pocket expenses when buying a home. There are many criteria that you will need to meet, but it is a great way for first time homebuyers to buy a home that might not be able to buy right now.

You can click this link here to go to the website and get the application as well as more information on the program, but I’ll just give you a brief description of what it does: Basically, if you qualify, you can get up to 20% of the price of the home financed thro

ugh this program as a second loan to help pay for the down payment. To qualify, you need to be a first time homebuyer, use the home as your primary residence, take 2 homeowner educational courses through CalHFA, and meet the minimum income requirements. You would be able to get a first mortgage loan for 80% of the purchase price, plus this additional loan of 20%. All you would need to come up with to buy the home is the closing costs.

If interest rates drop, you can later refinance the first loan and lock in a better rate. You will of course have loans out for the full price on the home ($500,000), but you will be able to potentially buy a home with very little money down. Also, when it comes time to sell this home, you will also pay the CalHFA 20% of the equity gained since purchasing the property. Using this loan does come at a higher price since you will be paying out 20% of the equity when you sell, but you will have also gained equity in a home you otherwise couldn’t purchase.

It is a little confusing at first to wrap your head around, but you can always contact me and I can point you in the direction of a good lender who can explain it better.

For those of you that don't know, I have been investing in real estate for over 10 years. I became a Realtor to help everyone I can build wealth through real estate. I live in Woodland, CA and watch my local market very closely. If you are looking to buy or sell in Davis, Woodland, Winters, Sacramento, or the surrounding areas, give me a call for a free consultation. I would love the opportunity to help you.