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California Dream for All Program

Dream for All Program is a Dream Come True for CA First Time Home Buyers!


Program Intro

Eligible California First Home Buyers have something to be excited about. The recently announced Dream for All Program becomes available March 27th.  It’s already garnering huge demand.

California First Time Home Buyers  get 20% of the purchase price to be used towards down payment and closing costs.

Due to the massive amount of down payment assistance provided through this program. First time home buyers are going to be able to access home price points that were previously unattainable and unaffordable. We all know that owning real estate is a great way to build wealth. The Dream for All Program is going to open that door. For many people that wouldn’t have otherwise had the chance.

Income Limits

The amazing thing about the Dream for All Program is not just the substantial size of the down payment assistance, but the amount of income that you are allowed to make and still be eligible. For example a First Time Home Buyer in Sacramento, California can make up to $202,000 per year and still be eligible for the program.

This is a stark contrast to last years wildly popular Equity Builder Home Loan which required borrowers to make 80% or less of the Area Median Income for the county the home is located in. That meant that the same Sacramento first time buyer could only make about $82,000. With the high cost of California many interested borrowers made too much money for the program. That’s where the Dream for All Program steps in, with income limits up to $303,000 in some parts of the state and as low as $159,000 in others. Interested buyers can go to www.dreamforallprogram.com to get program details specific to their location.

Limited Funding

Something else to point out about the previous program is that it quickly ran out of money. Even though the Dream for All Program received $500 million in Senate Bill 197, funds are still limited. And since the Dream for All Program has significantly higher income limitations than lasts years Equity Builder Home Loan, homebuyers should expect this program to run out quickly too.

The California Housing Finance Agency will be the administrator for the California Dream for All program, as laid out in Senate Bill 197. CalHFA is authorized to provide shared-appreciation loans to help low- and moderate-income first-time homebuyers achieve homeownership. The shared appreciation loans will provide funding to assist with down payments and closing costs.

Interested home buyers can obtain these loans through CALHFA approved mortgage brokers and lenders, like New Way Mortgage. When asked about the Dream for All Program, Jennifer Remedios, COO of New Way Mortgage said “We’re already getting tons of calls about this program. This is a game changer for California Home Buyers, I’m telling all my kids, nieces, and nephews all about it and encouraging them to take advantage”.

Paying the Loan Back

Another unique feature of this program is how it gets paid back. Instead of having a monthly payment on the 20% down payment assistance funds you borrowed or incurring interest charges over the years. The Dream for All Program has what the CALHFA calls “Shared-appreciation” loans.

For example, let’s say you were buying a house for $600,000. 20% of is $120,000 (this is your down payment assistance loan). This would make your first mortgage $480,000. Let’s assume hat you own the house for 10 years and it’s time to sell. Although you will have paid down your first mortgage. I’m going to pretend it’s still $480,000 just to keep the numbers simple. Using a very modest 2% annual appreciation rate your home would be worth $731,000. So if you sold for $731,000 and owed $480,000 on your first. And $120,000 on the shared appreciation loan. You would have gross equity of $131,000. The California Housing Finance Agency keeps 20% of that number, you keep 80% ($104,800).

How to Apply

Interest Home Buyers are encouraged to go to www.dreamforallprogram.com to register for more information and to confirm program eligibility or if you want to Apply Now to get PreApproved click HERE

New Way Mortgage, Inc. is not affiliated with the California Housing Finance Agency. New Way Mortgage, Inc. dba New Way Mortgage and dba The New Way Home is a Mortgage and Real Estate Broker licensed by the California Department of Real Estate, DRE #02112174. Equal Housing Opportunity.

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