LA the $85,000 down payment assistance
06/06/2023
The City of Los Angeles is currently changing the income requirements for the Home Ownership Program, a down payment assistance program that targets moderate and low-income people. The new requirements will go into effect on June 15. Let's check to see if you're eligible!
Homeownership Program:
The Los Angeles County Development Authority (LACDA) has created the home ownership program. This grant program is supported by the U.S. Department of Housing and Urban Development (HUD) and is specifically for moderate and low-income families and those looking to become first-time homeowners.
Under the program, a maximum of $85,000 or 20% of the home price (whichever is less) can be provided as a down payment grant with 0% interest and 0 monthly payments! You only have to repay the grant if you sell the home or if the property changes hands.
If you sell the house within 5 years, you must also pay 20% of the increase in the value of the house to LACDA. If you sell after 5 years, you only have to pay back the subsidy amount.
Interested homebuyers, check to see if you are eligible!
Applicant Requirements:
· The applicants must be first-time homebuyers: no ownership interest in real estate at any time in the past three years.
· Homebuyers must occupy the home as their principal residence.
· Applicants must invest a minimum of 1% of the down payment, not including closing costs of their own funds, with a maximum down payment of $150,000, and gift funds cannot be used.
· All applicants must complete an eight-hour homebuyer education seminar from an approved U.S. Department of Housing and Urban Development (HUD) counseling agency. You can check the agency at: https://hudgov-answers.force.com/housingcounseling/s/?language=en_US
· Property cannot be occupied by tenants, unless it is a Tenant-Purchaser
Other Limitations:
· Total household income must not exceed 80% of the Los Angeles Median Income (AMI).
For example, if the family consists of a married couple, the total income cannot exceed $80,750, taking into account the income of all family members 18 years of age and older.
Compared to the previous income limit of $66,750 for a single person, the income requirements, effective June 15, have been significantly relaxed.
· The following cities in Los Angeles County are eligible to apply.
· Types of homes that can be purchased: Single-Family, PUD, Condominiums.
· The maximum purchase price allowed for existing or new homes is $700,000.
· Refinance are accepted.
· US citizens and green card holders can apply.
How to apply?
Step 1: Verify whether your household income meets the limit.
Step 2: Find a home within an eligible area.
Step 3: Contact a participating lender to obtain the pre-approval letter.
Step 4: Complete an 8-hour online course.
Remember, buyers must apply to a state-approved lending institution if they want to be eligible.
The good news is that AAA LENDINGS has become a cooperating lender for this program!
Remember, government-funded projects are on a first-come-first-serve basis and cease when funds run out!
So if you qualify, don't miss out on this opportunity. Hurry and contact us for pre-approval!
Statement: This article was edited by AAA LENDINGS; some of the footage was taken from the Internet, the position of the site is not represented and may not be reprinted without permission. There are risks in the market and investment should be cautious. This article does not constitute personal investment advice, nor does it take into account the specific investment objectives, financial situation or needs of individual users. Users should consider whether any opinions, opinions or conclusions contained herein are appropriate to their particular situation. Invest accordingly at your own risk.
Post time: Jun-07-2023