As we’ve come to expect, loan underwriting guidelines continue to change. Here is an update on the status of some of our local first time buyer programs:

CalHFA (State of California’s First Time Buyer Program)

Funds are still available for CalHFA 30 year fixed rate 1st mortgages and CHDAP & ECTP silent 2nd mortgages. As of yesterday CalHFA has changed their underwriting guidelines (again). Credit score requirements are higher and the debt ratio allowances are lower on a tiered basis. Also, CalHFA is now requiring that a borrower come in with 3% down payment from their own funds. Even if a silent 2nd mortgage is used for down payment assistance, the borrower needs to come in with 3% down either from their savings or by gift from a family member.

The County of San Bernardino HAP

As of mid September HAP ran out of money but was able to get interim funds. We were notified today that there are only funds available for 2 more families. HAP funds are first come first served and can be reserved with an accepted and fully executed purchase contract. They will NOT be taking a waiting list when funds are depleted. Their funds will be replenished July 2009.

The County of Riverside down payment assistance program

Out of money since mid September and will have funds replenished July 2009. 

The City of San Bernardino

The City of San Bernardino ran out of one of their funding sources but still has down payment funds available for 20% down payment assistance. The borrower must meet the City’s Affordable Housing Payment calculation. 

The City of Redlands

Redlands ran out of funds within a week or two of getting their money in July. Their funds will be replenished in July 2009.

We have more information available on all of the above programs. Our toll free number is 1-877-367-8844

As always, in this very dynamic market, if you have been pre-qualified already, please call to get it updated!