My New Blog

Given the high price of homes in Orange County, it can be tough to get in to a home.  If you have never owned a home OR if (generally) you have not owned a home or been on title for the last three years, you may qualify for some first time buyer programs (yes, even if you've owned before--typically as long as you have not owned for the last 3 years).

Some programs provide "silent" second mortgages--a second mortgage at a very low to no interest rate and you do not pay it back until you move out or stop using the home as your principle residence.  There are income limits.  For 2007, for the Orange County Mortgage Assistance Program (offers up to $40K toward your home purchase) a single person's income can not exceed $48,500 and a family of 4's income can not exceed $69,300.  Those amounts should increase in 2008.  Area limits (certain cities and unincorporated portions of the county) also apply--check out the Affordable Housing Clearing House for a summary on some of their programs. 

http://www.affordable-housing.org/

They also offer a 3 to 1 match program.  For example, if you have saved $5,000, they will "match" 3 to 1 and loan you $15,000 as a silent second.  And,  the best part of match program is, 20% of the loan is forgiven each year you live in the property. Live there for 5 years and ITS FREE MONEY because the loan is forgiven.  Again, income and other limits apply--but it sure is worth looking in to it. 

Many lenders do not know about these or do not encourage their clients to look into these programs--but they really increase the amount of home you might qualify for....Certain cities also offer these type of programs--so if you are interested in a particular city, check out their official city web site and look for a "homebuyer program". 

The beginning of the year is often the best time to apply for and try to utilize one of these programs since the programs are often 'cut off" each year once funding runs out for that year.

Happy house shopping--and if you need help finding a place to call home, feel free to email me.   Melinda johnsonlaw@sbcglobal.net