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State Restores School Facility Fee Down Payment Assistance Program
The California Housing Finance Agency announced last month the reinstatement of its School Facility Fee Down Payment Assistance Program to help low- and moderate-income families purchase newly constructed homes.
The program had been suspended in July 2009 due to the disruption in the financial markets.
The newly restored program aids qualified homebuyers who are purchasing newly constructed homes in California. It provides a conditional grant based on the amount of school facility fees paid by the builder. The assistance helps the buyers fund their down payment, closing costs, or any costs associated with the buyer’s first mortgage loan.
“We’re pleased to be able to re-start this program and assist California families in purchasing their first homes,” said Steven Spears, executive director of CalHFA. “This is one part of our ongoing efforts to support homebuyers at this unique time when homes are more affordable than they have been in many years.
"Combining CalHFA down payment programs with CalHFA first mortgages can be very helpful to first-time homebuyers.”
Since it began in 1999, 12,604 California families have benefitted from this program.
Last month, CalHFA also announced the launch of a new below-market fixed-rate, 30-year FHA loan. The CalHFA FHA provides low and moderate income, first-time homebuyers access to mortgages with affordable payments and other benefits.
For more information or to apply for the School Facility Fee program, contact the CalHFA Homeownership Division by calling 877-922-5432, e-mailing email@example.com, or visiting www.calhfa.ca.gov.