Thursday, January 28, 2010

San Diego Neighborhood Stabilization Program

Home Buyer Assistance Programs

 

 

Neighborhood Stabilization Homeownership Program Funding now available

 

The pre-approval application process is now open for first-time home buyers seeking to purchase foreclosed properties in the City of San Diego through the San Diego Housing Commissions (SDHC) Neighborhood Stabilization Homeownership Program (NSHP).

 

NSHPs primary objective is to help a first-time home buyer from a low-moderate income

(Up to 120% Area Median Income) with good credit and the ability to make mortgage payments buy a foreclosed property within the City of San Diegos targeted areas in City Council Districts 3, 4, 7 and 8 from San Ysidro to Miramar. Click here for maps of the targeted areas.

 

A first-time home buyer is defined as an individual who has not owned a home in the last three years.

 

The financial assistance is made possible through a $9.4 million federal grant, (Housing and Recovery Act of 2008-H.R. 3221), which was awarded to the City of San Diego in January and is being administered by the San Diego Housing Commission.

 

Pre-Approval

 

San Diego Housing Commission (SDHC) is currently accepting pre-approval applications for NSHP. First-time home buyers who believe they meet the requirements for the program are encouraged to contact a certified NSHP lender to assist with the process; or the buyer can complete the pre-approval application on their own and deliver it to:

 

San Diego Housing Commission

Attn: Loan Management

1122 Broadway #300

San Diego, CA 92101

 

Upon receipt of the pre-approval application, SDHC will determine the buyers eligibility and issue a pre-approval letter that can be submitted with a purchase offer using the NSHP.

For questions regarding the NSHP pre-approval process, contact:

Vicki Monce 619.578.7491 or vickim@sdhc.org

 

Home Buyer Education

 

All potential buyers are required to attend an eight hour home buyer education class with a SDHC approved class provider. The buyer must attend the class before placing an offer on a property. The classes fill up quickly, so any buyer considering participating in NSHP should enroll in a class today!        

NSHP Deferred Payment Loan

 

SDHC will provide eligible buyers with a 0% interest deferred payment loan up to 17% of the sales price to assist in the purchase of the home. No payments are required for 30 years, unless the property is sold, refinanced or not owner occupied, at which time the loan must be repaid. A minimum of 3% down payment from the buyers personal funds is required. The first trust deed loan must have a 30-year fixed interest rate.

 

NSHP Closing Cost Assistance Grant

 

SDHC will provide eligible buyers with a closing cost assistance grant up to 3% of the sales price. The grant can ONLY be used to pay closing costs which are not covered by seller concessions or other subsidies. The grant is recoverable, and must be repaid plus 5% interest if the property is sold, refinanced, or not owner occupied within the first six years. After six years, the grant is forgiven.

 

NSHP Rehabilitation Loan

 

SDHC will provide eligible buyers with a 0% interest rehabilitation loan up to $50,000. The rehabilitation loan must be used for repairs related to health and safety, curb appeal, and energy efficiency. Loans up to $10,000 will be forgiven in 5 years; loans up to $30,000 will be forgiven in 10 years; loans up to $50,000 will be forgiven in 15 years. If the property is sold, refinanced, not owner occupied, or if the repairs have not been maintained within the term of the loan, the rehabilitation loan must be repaid plus 3% interest.

 

Related documents for home buyers

      Related documents for certified NSHP lenders        

Click this link for website and forms!
http://sdhc.org/NSP.shtml

Posted via web from RealtorPeg

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