Saturday, June 27, 2009

Oakland Revises its Down Payment Assistance Program!

Great News!

20% Down Payment Assistance from City of Oakland

The City of Oakland has revised the income limits for its MAP down payment assistance loan. Effective July 1st, the family income limit is being revised upward to 100% of AMI (Area Median Income). This loan will be subordinated to a first mortgage and is payment deferred for the life of the loan. Income limits will be as follows:

Maximum Family Income
Family of 1 $62,500
Family of 2 $71,450
Family of 3 $80,350
Family of 4 $89,300
Family of 5 $96,450
Family of 6 $103,600

Although there is some additional paperwork involved, the conditions are easily met:
1. Must be a first-time homebuyer (no home ownership in the past three years)
2. Must buy in Oakland
3. All borrowers must attend a First-Time Homebuyers workshop
4. Single family home only
5. Down payment assistance limited to 20% of purchase price ($50,000 max)
6. Contract must include provision for an Independent Home Inspection
7. Contract must include provision for One Year Home Warranty
8. First mortgage must be 30 year Fixed
9. Borrowers own money of 3% of sales price must be included in the transaction. If gift money, it must be seasoned.
This represents a great opportunity for your first-time homebuyers. A 20% down payment means NO MORTGAGE INSURANCE

1 comment:

  1. Hello,

    Can you provide a link to this program on the City of Oakland's website? I can't find more information about it. What is the interest rate on the loan?