CalHFA 1st mortgage + CHDAP 2nd mortgage = 99% LTV or 1% downpayment loan for San Jose, CA First Time Home Buyers.
Here's the Full Details:
CalHFA (California Housing Finance agency) FHA loan lend money up to 96.5%. California Homebuyer's down payment assistance program (CHDAP) provides a deferred payment junior loan (2nd mortgage) up to 3% of the purchase price; 2.5% of which can be utilized for downpayment and the rest .5% can be used towards closing cost. See below:
How to qualify for CalHFA FHA loan and the Downpayment Assistance Program:
- The individual who requires the assistance should be a Firt Time Home Buyer. A First Time Home Buyer is someone who has not possesed or occupied a house in last 3 years.
- A minimum deposit of 1% is needed from your own funds - can be a gift from someone close to you.
- You need to meet moderate income limits established for the county in which you are purchasing.
- You need to meet Sales Price Limits for the county in which the property is located.
CalHFA Loan Interest Rates:
Currently, the interest rate on CalHFA FHA loan first mortgage is 4.25% and if you combine that with CHDAP as the 2nd mortgage the interest rate goes down to 4.125%. This is significantly lower than the prevailing rates for both FHA and Conventional mortgages for San Jose, CA properties.
If you wish to own your First Time Home in San Jose, San Francisco Bay Area or rest of California contact me so that we can help you qualify for this program.
Mortgage Broker/Banker | San Jose, CA
(408) 615-0655 | Shashank@ArcusLending.com
Ranked among Top 150 Loan Officers and Top 40 under 40 Most Influential Mortgage Professionals in the Country