This new state program will be incredibly helpful for first-time buyers.
Today, I am thrilled to share with you a new program being offered by the state of California, which can be a tremendous boon for first-time homebuyers. The state has allocated $10 billion over the next 10 years to offset the cost of purchasing a home in California.
While the amount for 2023 is going down from $780 million to $300 million, there is still an opportunity to come out ahead with this great program that offers up to 20% of home purchase costs.
There are some income limitations, but those income limitations are pretty lenient. For example, in LA County, the upper income limit is $180,000; in Orange County, the limit is $235,000; In Ventura County, that number is $220,000; and in San Diego County, that limit is $211,000. You can see that quite a few homebuyers will qualify for the program.
“The state has allocated $10 billion over the next 10 years.”
This program can help with up to 20% down payment assistance, as well as assistance with closing costs and even rate buydowns. The best part is that this carries no interest rate. Rather, what the state is looking to do is share appreciation. For example, if you purchase a $500,000 house and it increases in value to $600,000, when you transfer ownership of that home, the state will look to be paid back up to 20% of that $100,000 profit.
If you want to buy a home in California, or you know anyone who is interested, please share this information with them. If you have any questions about this topic or real estate in general, please don’t hesitate to reach out to me. I would be happy to help you with all of your real estate needs.