Riverside Cty. First Time Home Buyer Downpayment Assistance Program (CHDAP)

The California Housing Finance Agency (CalHFA) made it easier for Riverside County first time home buyer’s to qualify for the CHDAP 3% down payment/closing cost assistance program.  This will greatly benefit people buying in Riverside County cities of Temecula, Murrieta, Menifee, Corona, Riverside, Lake Elsinore, and Moreno Valley.  Why?  Because CalHFA reduced the buyers minimum financial contribution to just 1%!

UPDATE: CalHFA DISCONTINUED this CHDAP program and replaced it with the MyHome Assistance Program.  ==> Read details about MyHome Assistance program.

Do you qualify?  Lets find out from this checklist what is required.

What is CHDAP: The CHDAP is a 3.25% deferred payment junior/2nd loan up to 3% of the purchase price.  This 3% can be used to pay your down payment or closing costs.  Yes, California will actually loan you money and not require you make a monthly payment.…it’s almost like a grant in this aspect.  Crazy huh?  CHDAP stands for California Housing Downpayment Assistance Program.

Where is it Available: The CalHFA CHDAP 3% down payment assistance program is available for all counties in California.  This includes cities of Temecula, Murrieta, Menifee, Winchester, French Valley, Corona, Riverside, Lake Elsinore, Canyon Lake, Sun City, Moreno Valley, Chino, Chino hills, Norco, Ontario, Rancho Cucamonga, Fontana, and all cities in California.

Who is Eligible: First time home buyers purchasing a primary residence.  If you haven’t owned a home in the last three years, you qualify.  This means if you had a foreclosure or short sale, you may qualify after your three year waiting period.  This requirement is waived if you are a qualified Veteran or the property is located in a designated target area.  (so it is available if you are NOT first time home buyer if buying in a target area or a qualified Veteran!!

click here to get approved for Home Buyer Assistance                                  Home Buyer Education: Completing a home buyer education class is required for each borrower.  This can often be done online and is easy.

Property Eligibility: Single family one unit residences only.  Manufactured housing is not allowed.  Condominium’s are allowed but extremely difficult right now to get qualified…..call me for reasons why.  UPDATE – CHDAP now allows FHA flips less than 90 days.

Income Limits: This program is to help first time buyers in the low to moderate income range purchase a home.  The limits are dependent on the number of people living in the home and the county.  See 2013-2014 CHDAP income limits ==> http://homeloanartist.com/2013/08/2013-2014-chdap-income-limits/

Sales Price Limits: The maximum sales price can vary depending if the home is an existing resale home or new construction and if the home is in a targeted or non-targeted area.  I know, can they make it more confusing?

Frequently Asked Questions

Question #1: Do I have to live in the home for a certain number of years or is there a penalty if I sell in 3-5 years like so many other down payment assistance programs have? Answer: nope.

Question #2: Is the 3% CHDAP junior deferred payment loan forgiven at any point?  Answer: Nope.  Payment is due when mortgage is paid off, home sold, or title transferred.

Question #3: Are funds available for the CHDAP down payment assistance program?  Answer: Yes.  About $48 million left.

Question #4: What kind of loan is best used for the first loan?  Answer: Depends.  We need to discuss your situation to determine the best option for you.

Question #5: Does loan approval take longer for this program  Answer: Not really.  Review time by CalHFA is 4-5 days.  If we receive all your pre-approval documentation on time and in order, we can still close in 30.

Question #5: Are non-occupant co-borrowers allowed when using down payment assistance?  Answer: Nope, CalHFA won’t allow it, but I may have other down payment assistance programs that will.

Question #6: Is there a limit to how much the seller can contribute to paying closing costs?  Answer: yes, 3%….it’s a CalHFA rule.  Traditional FHA first loans allow up to 6%.

If you have a question about this or would like to get approved, please call me at (951) 215-6119 or contact me here.

 

, , , , , , , , , ,

5 Responses to Riverside Cty. First Time Home Buyer Downpayment Assistance Program (CHDAP)

  1. Corona Real Estate Agent November 6, 2010 at 10:20 pm #

    Who doesn’t love CalHFA. Great program.

    Keep up the terrific work Brad. You’re definitely the guy to call!

  2. Brad Yzermans November 22, 2010 at 6:12 pm #

    Thank Cameron. I’m not sure why more buyers aren’t being told by their loan officers about all of the good options available to them….drives me nuts. I’m soon launching a multi-contributor local city real estate blog. Maybe we can talk about you being a contributor. I enjoy your blog posts on AR….good stuff.

Trackbacks/Pingbacks

  1. Tweets that mention California First Time Home Buyer Downpayment Assistance CHDAP Riverside San Bernardino | Inland Empire Direct Lender & Mortgage Broker | FHA VA USDA Home Loans -- Topsy.com - November 6, 2010

    […] This post was mentioned on Twitter by Barbara Zucker, Brad Yzermans. Brad Yzermans said: California’s First Time Home Buyer Downpayment Assistance Program (CHDAP) for Riverside and San Bernardino County http://f.ast.ly/fmrQt […]

  2. California $10000 Home Buyer Tax Credit Extended? This is Better | Home Loan Artist - January 24, 2011

    […] California First Time Home Buyer Down Payment Assistance Program (CHDAP) for Riverside & San Ber… […]

  3. Zero ($0) Down Payment Needed for Corona Home Mortgage Purchase Loan - June 22, 2011

    […] Related Post: FHA 3% Down Payment Assistance in Riverside County […]

Leave a Reply

(Spamcheck Enabled)