Full Answer
What is a CalHFA loan?
CalHFA loans are fully documented income loans, meaning stated income is not permitted. A minimum of a 620 FICO score is also needed, and the you can only use CalHFA loans to purchase a home, not for refinancing. To learn more about CalHFA products, please feel free to give me a call at 805-276-1942 or click here to let me know your scenario.
What is CalHFA’s MyHome Assistance Program?
CalHFA’s MyHome Assistance Program is a deferred-payment secondary loan that provides borrowers with a loan equaling 3% of the purchase price (conventional loan) up to 3.5% for an FHA or government loan. This loan is designed to home borrowers pay towards down payments and closing costs.
Does CalHFA offer down payment and closing cost assistance?
That's why CalHFA offers several options for down payment and closing cost assistance. This type of assistance is often called a second or subordinate loan.
What is a California Housing Finance Agency (CalHFA)?
What is CalHFA? It stands for California Housing Finance Agency. CalHFA loans are funded from the sale of California bonds which makes it different from FHA and conventional loans. In todays lending environment, CalHFA offers an excellent opportunity for first time homebuyers to obtain a home with little or no downpayment.
Do you have to pay back a CalHFA?
The CalHFA EEM Grant is for up to 4% of the first mortgage total loan amount, including Up Front Mortgage Insurance Premium. If a homeowner stays in the home for three years, the 4% grant is completely forgiven, and the homeowner does not have to pay it back.
What is the difference between CalHFA and FHA?
The CalPLUS FHA program is an FHA-insured first mortgage with a slightly higher 30 year fixed interest rate than our standard FHA program and is combined with the CalHFA Zero Interest Program (ZIP) for closing costs. The CalHFA VA program is a VA-insured loan featuring a CalHFA fixed interest rate first mortgage.
What are the benefits of a CalHFA loan?
One of the most important benefits of using a CalHFA loan for a homebuyer is the access it provides to down payment assistance programs, and the most important providers of down payment assistance programs are localities and non-profits.
How does CalHFA program work?
CalHFA allows qualified homebuyers to layer other down payment assistance loans or grants to maximize affordability. MyHome must be in 2nd lien position when layering with other programs. This program is only available through a CalHFA-approved lender.
What credit score do you need to qualify for CalHFA?
660What are the minimum credit score requirements for CalHFA conventional loan programs? The minimum credit score is 660 for borrowers with income less than or equal to HomeReady 80% AMI LI income limit.
What is CalHFA loan limit?
CalHFA maximum first mortgage base loan amount on the CalHFA VA is the FHFA High-Cost Loan Limit of $970,800. A high balance loan limit fee will be required for all first mortgage loan amounts that exceed $647,200.
Is CalHFA a conventional loan?
The CalHFA Conventional program is a first mortgage loan insured through private mortgage insurance on the conventional market. The interest rate on the CalHFA Conventional is fixed throughout the 30-year term.
How long is CalHFA approval?
A CalHFA first mortgage generally has a turnaround time at CalHFA of 1-2 business days for compliance review. CalHFA loans have straightforward paperwork, quick processing and dedicated customer service. Many of CalHFA's preferred loan officers have closed CalHFA loans within 30 days.
How much do first time home buyers have to put down in California?
California first-time home buyer loans If you're a California first-time home buyer with a 20% down payment, you can get a conventional loan with a low interest rate. And you never have to pay for private mortgage insurance (PMI). Of course, few first-time buyers have saved a 20% down payment.
Am I eligible?
Use this simple eligibility calculator to see if you meet CalHFA program requirements.
What should I do next?
Now, just contact a CalHFA preferred Loan Officer to ask them about getting pre-qualified.
Have a CalHFA Representative Contact Me
If you'd like to talk with a CalHFA Homebuyer representative or get a referral to a CalHFA Preferred Loan Officer who can get you started on your homebuying journey, click the "contact me" button and complete the form. A representative will contact you within 2 business days.
What is a CalhFA loan?
Conventional Loans. The CalHFA Conventional program is a first mortgage loan insured through private mortgage insurance on the conventional market. The interest rate on the CalHFA Conventional is fixed throughout the 30-year term. The CalPLUS Conventional program is a conventional first mortgage with a slightly higher 30 year fixed interest rate ...
What is a silent second loan?
CalHFA's subordinate loans are "silent seconds", meaning payments on this loan are deferred so you do not have to make a payment on this assistance until your home is sold, refinanced or paid in full. This helps to keep your monthly mortgage payment affordable. MyHome Assistance Program.
What is a second or subordinate loan?
The money you put "down" or the down payment on your home loan can be one of the largest hurdles for many first-time homebuyers. That's why CalHFA offers several options for down payment and closing cost assistance. This type of assistance is often called a second or subordinate loan. CalHFA's subordinate loans are "silent seconds", meaning payments on this loan are deferred so you do not have to make a payment on this assistance until your home is sold, refinanced or paid in full. This helps to keep your monthly mortgage payment affordable.
What is a CalHFA loan?
The CalHFA FHA Program is an FHA-insured loan featuring a CalHFA 30 year fixed interest rate first mortgage.
What is CalHFA counseling?
CalHFA firmly believes that homebuyer education and counseling is critical to the success and happiness of a homeowner, and requires homebuyer education and counseling for first-time homebuyers using a CalHFA program.
What are the requirements for a CalHFA loan?
Borrower Requirements. Occupy the property as a primary residence; non-occupant co-borrowers are not allowed. CalHFA borrowers must complete homebuyer education counseling and obtain a certificate of completion through an eligible homebuyer counseling organization. Meet CalHFA income limits for this program.
How does CalHFA work?
CalHFA works through and uses approved lenders to qualify consumers and to make all mortgage loans. The fees you pay could be different depending on the lender and the program. View sample Annual Percentage Rates (APRs) here. back to top. CalHFA FHA Program.
Does CalHFA lend money directly to consumers?
We recommend that you check with a CalHFA-approved loan officer to receive an accurate rate quote for this program. CalHFA does not lend money directly to consumers. CalHFA works through and uses approved lenders to qualify consumers and to make all mortgage loans.
What is CalHFA loan?
CalHFA loans are funded from the sale of California bonds which makes it different from FHA and conventional loans. In todays lending environment, CalHFA offers an excellent opportunity for first time homebuyers to obtain a home with little or no downpayment.
What FICO score do I need to qualify for a CalhFA loan?
CalHFA loans are fully documented income loans, meaning stated income is not permitted. A minimum of a 620 FICO score is also needed, and the you can only use CalHFA loans to purchase a home, not for refinancing.
Can I use a CHDAP second mortgage with a conventional first mortgage?
You can also use the CHDAP second mortgage option together with FHA and conventional first mortgages (check with your lender to see if they allow this.) If you obtain an FHA first mortgage for 96.5% of the purchase price, and a CHDAP second mortgage, you can add the 2. 5% CHDAP second mortgage, which means you need a downpayment of 1%.
Can you use CalHFA as a second mortgage?
CalHFA has a silent (where monthly payments on not required to be made) second mortgage option that can be used to pay for closing costs for your new home, or you can use it as a second mortgage purchase loan, meaning you put less money down.
Does CalHFA accept public assistance?
CalHFA also accepts other public assistance financing (varies per county), that come from non-CalHFA sources such as churches and other non-profit groups who give funds to their members to use toward buying a home.
California Mortgage Relief Program
Falling behind on your housing payments? You’re not alone. Help is here for California homeowners. LEARN MORE
What is the California Mortgage Relief Program?
The California Mortgage Relief Program uses federal Homeowner Assistance Funds to help homeowners get caught up on their housing payments. The program is absolutely free and the funds do not need to be repaid.
How to Apply
If you think you might be eligible for the program, click here to check your eligibility and apply.
