CalHFA FHA & CalHFA Conventional
These are home buyer programs that allows you to put as little as 3% down payment. They are low interest 30 year fixed rate first mortgage insured through Private Mortgage Insurance. The benefit here is that it allows you to come into the deal with very little down. These loans are meant to be combined with other programs to assist with down payment. Combined with the below programs you can literally purchase a home for less than 1 months rent where you are currently living.
The programs that work in combination are: The MyHome Assistance program, Zero Interest Program (ZIP) and the mortgage Credit Certificate program (MCC)
MyHome Assistance Program
Myhome Assistance Program is a 3% deferred junior loan that can be used for down payment assistance or closing cost. This one is only for first time home buyers (First time home buyer is defined as anyone who has not purchased a home in the last 3 years). This loan is considered a silent second and you don't pay it back until you sell the home or refinance.
Zero Intrest Program ( ZIP)
The ZIP loan is a deferred-payment junior loan of 3% - 4.5% that you can used to cover all your closing cost. Just like the loan above it is a silent second and you do not pay it back until you sell or refinance.
Mortgage Credit Certificate (MCC)
An MCC enables a first time home buyer to take a direct dollar-for-dollar tax credit on their federal income tax return, based on a portion of their interest paid annually (currently this is 20%). This has the potential to save you thousands of dollars over the life of the mortgage loans. This credit can be used in combination with MyHome and Zip
Extra Credit Teacher Home Purchase Program (ECTP)
The ECTP provides a deferred payment junior loan up to $15,000 for eligible teachers, administrators, classified employees and staff members working in county/continuation or high priority schools in California. Money can be used for down payment or closing cost.
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