The home buying process can be complex and layered with potential expenses and costs.
One of those significant expenses can be the down payment and/or closing costs of the sale. These can cut into a purchasing budget and take the excitement out of home buying.
Yet many potential home buyers and even some real estate agents aren’t aware that there are hundreds of down payment assistance programs in California.
At MegaStar Financial, we offer down payment assistance in Redding to give you back your buying power.
Options for Assistance Programs
Many people think that these First Home Down Payment Support Programs are only available to first-time or low-income homebuyers, but there are many different options tailored to every type of buyer and budget. If you’re looking for down payment assistance these are just a few of the potential opportunities.
CalHFA MyHome Assistance Program
This program offers first home down payment support of 3% in down payment and closing cost assistance. This down payment help is available for first-time home buyers in California who qualify. According to the California Housing Finance Agency, some of the eligibility requirements include:
- Borrowers must occupy the home as their primary residence, without exception
- CalHFA borrowers are also required to attend and complete homebuyer education counseling through a recognized homebuyer counseling organization.
- Borrowers must meet certain income requirements.
CalPLUS with ZIP Extra Assistance Program
This is another CalHFA assistance program, one that provides between 3% and 4.5% in down payment support and reduced mortgage insurance premiums. Eligible homebuyers cannot exceed the income limit set by the county.
Hero Assistance Program
For the everyday heroes, this programs offers a 2% forgivable grant to be used in homeowner down payment assistance. Eligible borrowers are any active, retired, or volunteer Firefighter, Police Officer, EMT, Nurse, Teacher, Veteran, or Military Personnel.
Not sure if you qualify for these down payment support programs? There are more options available and we can help you find the one that’s right for you. If you live in Redding, contact us today to get started on your home loan application.
Qualifying for Down Payment Help
Your chosen lender will determine your eligibility for a home buying assistance program.
Caution to the borrower:
If a lender does not offer down payment assistance, then they will often keep you in the dark as to the existence of the programs for fear of losing you to another lender!
These types of programs are typically offered from a housing agency at the county, city, or state levels, as well as from either a public government provider or non-profit entity.
For the majority of the programs, there are income caps that you must not exceed in order to be eligible. Your credit will also be a factor in determining eligibility, and usually, a minimum score of 620 will be sufficient.
In terms of overall eligibility, each program has its own criteria that ranges in complexity. To determine whether or not you qualify for a certain down payment help program, you’ll need to consult with your lender.
At MegaStar Financial, we have access to a variety of assistance programs and have the ability to get you the down payment support you need. We believe homebuyers deserve help with first down payments, and we want to offer that help.
Need help with first down payment or closing costs in Redding, CA? Call us today to find out if you qualify for a home loan and down payment help.