{"id":4114,"date":"2019-01-04T18:54:56","date_gmt":"2019-01-04T18:54:56","guid":{"rendered":"https:\/\/www.michaeladeery.com\/blog\/?p=4114"},"modified":"2019-02-11T18:08:15","modified_gmt":"2019-02-11T18:08:15","slug":"buy-a-500k-home-with-zero-down-and-no-closing-costs-with-a-conventional-calhfa-loan","status":"publish","type":"post","link":"https:\/\/www.michaeladeery.com\/blog\/buy-a-500k-home-with-zero-down-and-no-closing-costs-with-a-conventional-calhfa-loan\/","title":{"rendered":"Buy a $500k Home With Zero Down and No Closing Costs With a Conventional CalHFA Loan!"},"content":{"rendered":"

We have a new mortgage program for buyers that combines a 3% down Conventional loan and a CalHFA loan, which will cover ALL of their down payment and ALL of their closing costs. This program will be a great option to help first-time buyers and Millennial buyers purchase a home in 2019.<\/strong> It is available for buyers up to a purchase price of $705,000 in some counties. Check out how to qualify.<\/p>\n

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Down Payment and Closing Cost Assistance For Buyers\u00a0<\/span><\/strong><\/p>\n

First time buyers and Millennial buyers represent over 40% of all buyers in the market, and this number is expected to increase in 2019.<\/p>\n

Not enough buyers know there are home purchase programs available to help them with the down payment and closing costs.<\/p>\n

CalHFA<\/strong>\u00a0(California Housing Finance Agency) offers a down payment and closing cost assistance loan program to help first time buyers purchase a home.\u00a0A first time buyer is defined as someone who has not owned a home in 3 years.<\/strong><\/p>\n

This program is available with both conventional and FHA financing.<\/strong>\u00a0CalHFA gives buyers a 2nd\u00a0mortgage up to 3.5% to help cover the minimum down payment due with conventional and FHA financing.<\/p>\n

If buyers don\u2019t have enough funds for their closing costs,\u00a0CalHFA will give buyers an additional 3rd mortgage of either 3% or 4% to help cover all their closing costs.<\/strong> Many buyers using this program only have to pay the upfront appraisal fee out of pocket.<\/p>\n

Payments on the CalHFA 2nd\u00a0or 3rd\u00a0mortgage loans are deferred for the life of the first mortgage. The terms are the same as the first mortgage. There are no payments due unless you sell or refinance.<\/strong><\/p>\n

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How to Purchase a $500k Home With Zero Down and NO Closing Costs<\/strong>\u00a0<\/strong><\/span><\/p>\n

Check out this example of a $500,000 purchase we recently funded for a buyer client in San Diego.<\/p>\n

The buyers had limited funds for the down payment and closing costs, but preferred to save their funds to renovate the home and buy new furniture after purchasing the home.<\/p>\n

We got them qualified for a 3% down conventional loan. They received a 3% CalHFA 2nd\u00a0mortgage to cover the 3% down payment.<\/strong><\/p>\n

We also got them approved for an additional CalHFA 3rd\u00a0mortgage of 3%, which helped cover all their closing costs.<\/strong><\/p>\n

The buyers were able to purchase a home they loved, and the only fee due out of pocket was the upfront appraisal fee.<\/p>\n

Here is a summary of the $500k purchase terms<\/strong><\/span><\/p>\n