FIRST-TIME HOMEBUYER
BUYER- You must occupy the property as your primary place of residence.
- You must contribute 3% of the purchase price from your own funds.
- You must not have owned a residential unit or been on the title of a residential unit within the last three years.
- The maximum CalHome Program Loan amount will be 40% of the Borrower’s purchase price for the home, or up to a maximum of $100,000.
- You must complete a CalHome Approved Homebuyer Education Class.
- The total gross annual income of the entire household must not exceed 80% of the Los Angeles County Area Median Income (AMI).
- Current maxium income is: For a family of 1: $77,700 / For a family of 2: $88,800 / For a family of 3: $99,900 / For a family of 4: $110,950 / For a family of 5: $119,850 / For a family of 6: $128,7500 / For a family of 7: $137,600 / For a family of 8: $146,500
PROPERTY GUIDELINES- The property must be within the City of La Puente’s limits/boundaries.
- The property may be a new or resale manufactured home not on a permanent foundation.
- Occupancy Ratio: No more than 1.5 people per living space (including bedrooms, living room, family room, den/study).
- You must obtain fire and casualty insurance, including flood insurance when applicable, covering the replacement value of property improvements.
- The property must be free from any health & safety hazards and/or lead poisoning exposures.
LOAN TERMS- Principal and interest payments shall be deferred with 0% interest for the term of the CalHome Program Loan.
- CalHome Program Loans shall be secured by the property.
Prohibited loans and terms:
- Negative Amortization.
- Stated Income.
- Adjustable Rate Mortgage (ARM).
- Interest - Only Loans.
- The Front - End Ratio cannot be below 28 percent or over 40 percent.
- The Back - End Ratio cannot be over 48 percent.
PAYMENT BREAKDOWNThe loan shall be due and payable in 20 years, with 10% of the original principal to be forgiven annually for each additional year beyond the 10th year that the Borrower owns and continuously occupies the home.
Example: The original loan amount is $100,000 with a 0% simple interest.
Full amount due, no deductions.
10% Reduction from principal amount, lowering amount to $90,000.00.
10% additional Reduction from principal amount, lowering amount to $80,000.00.
10% additional Reduction from principal amount, lowering amount to $70,000.00.
10% additional Reduction from principal amount, lowering amount to $60,000.00.
10% additional Reduction from principal amount, lowering amount to $50,000.00.
10% additional Reduction from principal amount, lowering amount to $40,000.00.
10% additional Reduction from principal amount, lowering amount to $30,000.00.
10% additional Reduction from principal amount, lowering amount to $20,00.00.
10% additional Reduction from principal amount, lowering amount to $10,000.
Final 10% Reduction, with a remaining balance of $0.00 — No further payments will be required after the 20th year of continuous occupancy.
HOW TO APPLY!The City of La Puente has been awarded a CalHome Grant to assist individual First-Time Homebuyers for Manufactured Homes through deferred-payment loans for down payment assistance and home rehabilitation.
Please complete the form, and we will contact you as soon as possible.
CONTACT FORM