The Mortgage Credit Certificate Program (MCC) is a federal program that helps first-time homebuyers to qualify for mortgage loans. MCCs give homebuyers a “dollar for dollar” tax credit against federal income taxes equal to up to fifteen percent (15%) of annual mortgage interest. By effectively reducing monthly mortgage payments, MCCs give homebuyers greater ability to qualify for and support a mortgage loan. Program participants are subject to limits on maximum household income and maximum home purchase price. If the home buyers’ tax liability is lower than their available MCC tax credit, they can carry forward the unused tax credit for three additional years.

The MCC program for the City of Alameda is administered by the Alameda County Housing and Community Development Department. The County has administered the MCC program since 1989, assisting home buyers in traditionally high-cost housing markets throughout Alameda County. Since 1994, 110 households have been assisted through the MCC program in the City of Alameda. From 1999 through 2003, seven Alameda households were assisted through the Alameda County MCC for more information about the MCC program, or to obtain a list of participating lenders, contact the Alameda County Housing and Community Development Department office at (510) 670-5246, or visit their website at www.acgov.org/cda/mcc_program/. (02/04)

For more information about Mortgage Credit Certificates or other Down Payment Assistance programs you may qualify for,  you may either contact the County of Alameda or complete this simple online form.

For a complete list of upcoming no-cost on-line home buyer classes, follow this link - Upcoming First Time Homebuyer Classes

This program is being administered by First Home, Inc. For more information, please call First Home directly, at (888) 572-1222 ext. 110. Click here to visit their website.

To view the Down Payment Assistance Program brochure, click here. (5/08)

For more information about this loan program or other Down Payment Assistance programs you may qualify for,  you may either contact the city of Alameda or complete this simple online form.

For a complete list of upcoming no-cost on-line home buyer classes, follow this link - Upcoming First Time Homebuyer Classes

Eligible Applicants

Income eligible full time permanent K-12 public school teachers in San Jose or a qualified border school.

Program Criteria

* Cannot currently own a home as a primary residence.
* Have a gross income that does not exceed 120% of median income for Santa Clara County, adjusted for family size. Please refer to the Santa Clara County Eligibility Criteria sheet for the eligible income levels.
* Sign up and complete a required first-time homebuyer education class. Interested teachers are strongly encouraged to contact Neighborhood Housing Services Silicon Valley (NHSSV) at 408.279.2600. Additional non-profit homebuyer education courses are offered through ACORN Housing at 408.297.3087 and Project Sentinel at 408.720.9888. Your lender may also provide an approved homeownership certificate class. Be prepared to provide the City and your lender with a copy of the certificate of completion.
* Have an acceptable credit history (this also applies to co-borrowers) and a minimum credit score of 600.

Eligible Properties

Owner occupied, single-family homes, townhomes, and condominiums located within the City of San Jose municipal boundaries. The maximum home purchase price is $732,000. However, your total monthly housing cost cannot exceed the “Affordable Housing Cost” limit as shown on the Eligible Criteria sheet. Total monthly housing expenses include:

* loan principal and interest payment
* property taxes
* insurance
* homeowners association dues
* utilities (other than phone)
* maintenance and repair

Loan Limits

The maximum THP loan amount is $65,000 or $40,000 depending on your income.

Affordability Restriction

The property will be subject to a 45-year affordability restriction. The restriction requires either:

1. The property be sold only to an income-qualified household to an affordable price, or
2. The City and the borrower(s) share any increase in equity that accrues between the date of the original purchase and the date of sale.

For more information about this loan program you may either contact the city of San Jose or complete this simple online form.

If you are an employee or a California Public School or Community College you should also consider attending this no-cost on-line class - A Complete Guide to the CalSTRS 80/17 Home Purchase Program

Here is an article that appeared in the OC Register on November 18th, 2008:

“Bargain-basement sales helped pull down home prices in the SoCal region last month and boosted the number of transactions by a record 67%, DataQuick reported today.

The median price of a Southern California home fell to $300,000 in October — the lowest since April 2003 and down 41% below the peak price hit in the spring and summer of 2007.

The record gain in sales was attributable to very weak sales last year and high foreclosures this year. Since sales fell to record lows a year ago — remember the twin meltdowns in the mortgage market last year? — October’s gain was a percentage record. But at 21,532 transactions, the total still was 12% below average, DataQuick reported.

Record foreclosures also boosted sales while pulling down prices. DataQuick’s figures show that half of October’s sales were recently foreclosed homes. In Orange and Los Angeles counties, foreclosed homes accounted for four out of 10 sales. Lower-priced neighborhoods, where foreclosures predominate, made up the lion’s share of last month’s sales figures.

For example, a third of all SoCal sales last month occurred in the Inland Empire, where foreclosures accounted for two out of every three transactions. The median home price in those counties dropped below $230,000 last month, or almost half of the median sale price at the market peak.”

Once again, It is my contention that this is the bottom of the market for most areas in the State of California.  Credit continues to be available for first time home buyers and there is no better time than now to take advantage of this market.

If you would like more information about foreclosed homes in your area and low to no down payment loan options available to you, either give us a call at 1-866-667-6724 or complete this simple on-line form for more information

First Time Homebuyer Workshops - Hundreds of people have taken advantage of the City’s Home Buyer Workshop. The workshops cover the complete home buying process including the following topics:

Overview of the Home Buying Process

• Credit & Budgeting
• Qualifying for a Loan
• The City’s Downpayment Assistance Program
• The Loan Application/Preapproval Process
• Selecting a Home
• Role of the Real Estate Agent
• Home Maintenance
• Foreclosure Prevention

Workshops are conducted by First Home, Inc. and participants must register to attend. Please register by calling 888.572.1222 x110, or Click here to register.

The next workshops are scheduled for:

• Saturday, November 15th

2009 Workshops

• Saturday, February 21st
• Saturday, May 16th

Down Payment Assistance Programs - The Downpayment Assistance Program offers generous financial assistance to first time homebuyers looking to purchase a home in Alameda. The program provides loans from $50,000 to $80,000 and is available to households with a wide range of incomes. Eligible uses of program funds include downpayment and/or closing costs for the purchase of a single family residence anywhere in Alameda.

This program is being administered by First Home, Inc. For more information, please call First Home directly, at (888) 572-1222 ext. 110. Click here to visit their website.

To view the Down Payment Assistance Program brochure, click here.

Alameda County Mortgage Credit Certificates - The Mortgage Credit Certificate Program (MCC) is a federal program that helps first-time homebuyers to qualify for mortgage loans. MCCs give homebuyers a “dollar for dollar” tax credit against federal income taxes equal to up to fifteen percent (15%) of annual mortgage interest. By effectively reducing monthly mortgage payments, MCCs give homebuyers greater ability to qualify for and support a mortgage loan. Program participants are subject to limits on maximum household income and maximum home purchase price. If the home buyers’ tax liability is lower than their available MCC tax credit, they can carry forward the unused tax credit for three additional years.

The MCC program for the City of Alameda is administered by the Alameda County Housing and Community Development Department. The County has administered the MCC program since 1989, assisting home buyers in traditionally high-cost housing markets throughout Alameda County. Since 1994, 110 households have been assisted through the MCC program in the City of Alameda. From 1999 through 2003, seven Alameda households were assisted through the Alameda County MCC for more information about the MCC program, or to obtain a list of participating lenders, contact the Alameda County Housing and Community Development Department office at (510) 670-5246, or visit their website at www.acgov.org/cda/mcc_program/.

We sponsor a variety of loan programs to help families with different incomes and housing needs become homeowners.  There are programs to help you purchase single-family homes, condominiums, and townhouses at several locations within the City limits of San Mateo.  The City provides loans in various amounts that do not require immediate payments.

How do I know if I qualify?
The first step in determining whether you qualify for the loan programs is to review your gross household income against the following table:

*Notes Regarding Borrower Eligibility: “First Time Homebuyer” means that you have not owned a principle residence for the past three (3) years, or are a single parent with a dependent child living with you. For all programs the maximum income of qualifying borrowers is 120% of the area median income (adjust annually); please see the Income Qualifications Table above for more specific information.

You must be able to qualify for a mortgage loan from a private lender. Eligibility for a mortgage will depend on purchase price and your income, assets, and credit rating.

What costs are there?
While the loan programs help you with reduced interest rates and deferred payments, you will need to pay a down payment and closing costs. The minimum down payment varies from 3% to 10% of the purchase price. Closing costs are items such as loan fees, escrow fees, title insurance, home inspection, and credit fees.

Summary of Homebuyer Opportunities

Have questions?
Please contact the Neighborhood Improvement & Housing Division at (650) 522-7220 or complete this form to get pre-approved. ]]> http://www.californiadownpaymentassistanceprograms.com/2008/10/28/city-of-san-mateo-down-payment-assistance-program/feed/ http://www.californiadownpaymentassistanceprograms.com/2008/09/25/warning-bait-and-switch-activity-with-teacher-loans-calstrs-8017-to-fha/ http://www.californiadownpaymentassistanceprograms.com/2008/09/25/warning-bait-and-switch-activity-with-teacher-loans-calstrs-8017-to-fha/#comments Thu, 25 Sep 2008 20:11:17 +0000 PorchLightScott http://www.californiadownpaymentassistanceprograms.com/?p=154

Ok, it’s come to the point where I can no longer brush this off as a coincidence.  The conversation that I am having over and over again goes something like this…..

“Hi Scott, I am in the process of buying a home and was qualified for a Teacher loan (Extra Credit Teacher Program or CalSTRS 80/17) and my loan officer just told me that the underwriting guidelines have changed and I no longer qualify for this program.

I was doing some research on the internet and ran across your blog.  Have there been any changes?  I can’t seem to find anything to back up what i’m being told by my loan officer.  Please help!”

This is not an actual conversation ver batim but I assure you it’s really, really close!

Here’s what the “other guys” don’t want to tell you - They don’t like to offer these loans because…ok, brace yourself…….drum roll please……..They don’t make a lot of money giving you one of these special loans.

Can you believe it?  I know you’re shocked that a loan officer or lender would actually ignore the best interest of their client just to make more money for themselves……Come on Scott, that doesn’t happen.

I know I sound a little irritated and even bordering on hostile as I write this and I guess it’s because I am.

I sincerely hope that you have run across this post because you didn’t take “no” for an answer.  I want you to know that although there are often changes in loan qualification guidelines, there have been relatively few changes in these programs.

The reason why there is little information out there about these programs is that lenders and loan officers are not eager to work for a reasonable wage and help a segment of our community that quite frankley does not get enough credit for the contributions you make to society.

Ok, I feel a little better now that I’ve gotten this off my chest.  I’ve put together a bunch of resources for you and we hold free web classes regularly to educate teachers, public employees and first time home buyers about these special programs.

Click Here for these valuable resources

There are links all over this site to contact us for more information or you can call my cell phone anytime.  I can be reached at 714-336-8286.  The office number is 866-667-6724 and anyone here will give you an honest answer and look out for your best interest.

September 23rd, 2008 - In a shocking move today CalHFA temporarily suspends  most of thier first time home buyer programs leaving only the 30 year fixed and the Extra Credit Teacher Program:

Effective immediately and until the financial markets stabilize, the following CalHFA first

mortgage products are temporarily unavailable:

• 35-Year Fixed Rate Mortgage - interest only PLUSSM

• 40-Year Fixed Rate Mortgage

• HomeChoice Program

• New BLOCK Forward Commitments will not be issued, including forward commitments

for the Self-Help Builder Assistance Program (SHBAP)

Additionally the following subordinate loan programs are also temporarily unavailable:

• High Cost Area Home Purchase Assistance Program (HiCAP)

• CalHFA Housing Assistance Program (CHAP)

Effective September 23, 2008, the interest rate on all 30-Year Fixed Mortgages will be 6.750%.

This situation is being monitored daily and these rates and loan products are under continual

review. When conditions warrant, programs will be reinstated, announced by Program Bulletin

and posted on CalHFA’s website.

The attached interest rates are applicable to all loan reservations received by the Agency after

12:01 a.m. on September 23, 2008.

We fully expect that this is an extremely temporary move by CalHFA until the Federal Bail out plan is figured out.  CalHFA was recently funded and has no shortage of funds to lend as the program has recently recieved it new funding in August of this year.

The anticipation of the federal bail out is sweeping and has the potential to change how all mortgages are written in the future.  It is a little scary that CalHFA seems that there is little confidence in the federal government to get this resolved quickly and in a way that protects would protect thier current menu of first time home buyer products and down payment assistance programs.

Stay tuned as we will continue to keep an eye on the progress of the fed bail out and keep you informed of this move by CalHFA as well as other specialty community programs.  For questions, call 1-866-667-6724 or join us for one of our informative Webinars as we discuss all of the latest news that is important for home buyers in this volatile market. ]]> http://www.californiadownpaymentassistanceprograms.com/2008/09/23/california-housing-finance-agency-suspends-programs-down-payment-assitance/feed/ http://www.californiadownpaymentassistanceprograms.com/2008/09/11/breaking-news-from-nehemiah-update-on-hr-6694/ http://www.californiadownpaymentassistanceprograms.com/2008/09/11/breaking-news-from-nehemiah-update-on-hr-6694/#comments Thu, 11 Sep 2008 22:48:45 +0000 PorchLightScott http://www.californiadownpaymentassistanceprograms.com/?p=130 If you haven’t already, go to DPA Groundswell to keep up to date on the fight to preserve Nehemiah, HART and Ameridream.  I received this email on Tuesday night with great news about the fight to save DPAs

Chairman Frank and HUD Secretary Preston Negotiate DPA Agreement

Chairman of the House Financial Services Committee, Barney Frank, has discussed publicly the fact that he has negotiated an agreement with HUD Secretary Steve Preston that will provide for the continuation of privately funded downpayment assistance.

The agreement allows HUD to impose risk-based pricing on downpayment assistance transactions which provides Secretary Preston the fiscal protection he seeks for the FHA insurance fund.

According to an Inman News article published today, Chairman Frank is quoted as saying “The FHA loved the ban on down-payment assistance (but) hated the ban on risk-based pricing,” Frank said at Saturday’s hearing. “That seemed to me to offer an opportunity. So (HR 6694) will replace both bans with middle ground — and it will pass the House, I can guarantee you. What you want to do now obviously is talk to your senators. We think it will go through there — it has the approval now of the Secretary of HUD.”

Thanks to the advocates of downpayment assistance, there is significant momentum in this direction. Nehemiah urges all supporters to continue their campaign to save DPA by contacting their Senators and request a swift passage of pro-DPA legislation.

Read the entire article:http://www.inman.com/news/2008/09/10/congress-weighs-reprieve-seller-funded-gifts

Stay tuned for news on this subject - It looks like we may see something by October 1st if we’re lucky!