As inflation soars, the California Housing Finance Agency (CalHFA) offers a Forgivable Equity Builder Loan program for first-time homebuyers.
Homeowners can borrow up to 10% of the purchase price in forgiving loans.
First-time homebuyers who qualify can take advantage of a 0% interest rate through this program.
One important criterion is that your income is less than 80% of the county median income where the property is located.
In San Diego County, it is $76,080, whereas, in Santa Clara County, it is $118,960.
CalHFA works with private agents who have been approved and educated by the agency to provide mortgage loans.
Pay stubs, bank statements, work history, and previous tax returns should be available to applicants.
The homebuyer does not have to repay the junior loan if they live in the house for at least five years.
Low and extremely low-income people can apply for any of the 33 CalHome Program projects across the state.
New financing totaling $67 million will help struggling homeowners in California.