Today, we want to cover some changes to CalHFA programs which have been simplified by reducing the time it takes to close, eliminating some of the paperwork and reducing the complex income limit calculations to just a single limit per county. Before, the income limit was too low in that not a lot of people qualified for the program. However, the 2018 income limit increased quite significantly. For example, in Riverside county the household income limit is up to $128,000. (For a full list of income limits per county click here). With the higher income limit, more people can qualify for the program.
CalHFA has also increased the amount of down payment and closing cost assistance. For example, if we have a property with a purchase price of $465,000. You could get up to $34,248 in total assistance for down payment and closing costs. In this same example, you would contribute $0.00. The program does have some limits though, for example a minimum 640 FICO score is required, and the purchase price cannot exceed 660k.
These changes to CalHFA, like the increased income limits as well as a greater amount of assistance for down payment and closing costs really opens the door for first time home buyers and provides a reasonable path to homeownership. Contact your local branch to see and they can go over the options to see if you qualify.