AFTER THE DEADLY SHOOTING AT MARJORY STONEMAN DOUGLAS HIGH SCHOOL IN FLORIDA. TY: BUYING A HOUSE IN THIS ECONOMY CAN BE A DAUNTING THOUGHT. ESPECIALLY FOR FIRST TIME LISA: IT CAN BUYERS. BUT ON MONDAY, THE STATE IS ROLLING OUT A NEW PROGRAM TO HELP NAVIGATE THE PROCESS AND PROVIDE MONEY TO FIRST TIME HOME BUYERS. KCRA 3’S JASON MARKS EXPLAINS HOW IT WORKS AND WHAT IT TAKES TO QUALIFY FOR THE CASH. JASON: A TRIP DOWN IT ANY NEIGHBORHOOD STREET HIGHLIGHTED BY FOR-SALE SIGNS AND HOMES LOOKING FOR A NEW FAMILY. THE ISSUE NOW IS FOUND A FAMILY WHO CAN AFFORD TO OWN THAT NEW HOUSE. >> IT’S STILL POSSIBLE TO BUY A HOME. JASON: THE CALIFORNIA HOUSING FINANCE AGENCY BELIEVES HOPE IS NOT LOST. EVEN THOUGH HOME PRCES ARE THROUGH THE ROOF AND THE INTEREST RATE IS A BIT INSANE, THE ORGANIZATION IS MAKING THINGS A BIT EASIER FOR FIRST TIME BUYERS. IT’S GETTING READY TO LAUNCH THE CALIFORNIA DREAM FOR ALL SHARED APPRECIATION LOAN PROGRAM. >> EVEN THOUGH A LOT OF THE NEWS IS THAT HOME BUYER MARKET IS VERY CHALLENGING WE ARE REALLY THINKING THIS PROGRAM WILL MAKE A DIFFERENCE FOR PEOPLE WHO WANTED TO BUY A HOME BUT HAVEN’T BEEN ABLE TO SAVE UP THE AMOUNT OF MONEY BUT CAN STILL DO IT AND MAKE THE MONTHLY PAYMENT. JASON: THE PROGRAM LAUNCHES MONDAY, THERE ARE OF COURSE INCOME QUALIFICATIONS BUT IT’S VERY SIMPLE. THE STATE WILL GIVE FIRST TIME BUYERS 20% OF HOME’S COST TO HELP WITH THE DOWN PAYMENT. WHEN THE HOMEOWNER THEN SELLS THE HOUSE THE STATE GETS A PORTION BACK AND IN TURN USES THAT MONEY TO HELP OUT THE NEXT FIRST TIME BUYER. >> THE DOWN PAYMENT IS A HURDLE FOR A LOT OF PEOPLE. THEY MAY HAVE THE MONEY TO MAKE THE MONTHLY PAYMENT BUT THEY DON’T HAVE $100,000 SAVED UP IN THE BANK THAT MEANS THEY ARE STUCK RENTING JASON: THE STATE PLANS TO PROVIDE $300 MILLION IN PAYMENTS TO HELP 2,300 FIRST TIME BUYERS. THAT MEANS SOON THOSE SIGNS SHOULD SAY SOLD, AND THE HOMES JUST AS HAPPY AS ITS NEW OWNERS. >> WE ARE CHANGING LIVES ONE FAMILY AT A TIME AND IT’S REALLY , REALLY GREAT FEELING. LISA: TO
California Dream for All loan program helps first-time homebuyers with down payments
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Updated: 6:56 PM PDT Mar 30, 2023
With housing costs through the roof and continued high-interest rates, buying a home can be daunting. That is especially true for first-time buyers, but officials with the California Housing Finance Agency believe buying a home is still possible.The organization is making things a bit easier for some first-time buyers with low and moderate incomes. On March 27, it launched the “California Dream For All Shared Appreciation” loan program to help people who haven't been able to save up a lot for hefty down payments.Leer en españolThe program comes with several income qualifications, but it's very simple. The state will give first-time buyers 20% of the home's cost to help with the down payment. When the homeowner then sells the house, the state gets a portion back (15% or 20% of any appreciation of the home depending on your income) and, in turn, uses that money to help out the next first-time buyer.See the California Dream For All income limits here.Here is what you need to know to apply. "The down payment is a hurdle for a lot of people,” spokesperson Eric Johnson said. “They may have the money to make the monthly payment, but they don't have $100,000 saved up in the bank. That means they are stuck renting."The state plans to provide $300 million in payments to help 2,300 first-time buyers. "We are changing lives one family at a time, and it's really a great feeling," Johnson said. As of March 30, about $100 million has been used for the program. The program is still taking applications.
With housing costs through the roof and continued high-interest rates, buying a home can be daunting. That is especially true for first-time buyers, but officials with the California Housing Finance Agency believe buying a home is still possible.
The organization is making things a bit easier for some first-time buyers with low and moderate incomes. On March 27, it launched the “California Dream For All Shared Appreciation” loan program to help people who haven't been able to save up a lot for hefty down payments.
Leer en español
The program comes with several income qualifications, but it's very simple. The state will give first-time buyers 20% of the home's cost to help with the down payment. When the homeowner then sells the house, the state gets a portion back (15% or 20% of any appreciation of the home depending on your income) and, in turn, uses that money to help out the next first-time buyer.
"The down payment is a hurdle for a lot of people,” spokesperson Eric Johnson said. “They may have the money to make the monthly payment, but they don't have $100,000 saved up in the bank. That means they are stuck renting."
The state plans to provide $300 million in payments to help 2,300 first-time buyers.
"We are changing lives one family at a time, and it's really a great feeling," Johnson said.
As of March 30, about $100 million has been used for the program. The program is still taking applications.
