CalHome Deferred Loan Down Payment Assistance Program

Since 2006, VCCDC Lending has funded $2.5 million in down payment assistance loans, and was recently approved for an additional $1.5 million for first-time home buyer households at or below 80% Area Media Income (AMI).

The general criteria for CalHome Funds consist of the following:

  • Up to a maximum loan amount of $15,000 or enough to bring the total housing expense ratio to a minimum of 35% of gross monthly income for low-income families (earning up to 80% of AMI)
  • 30-year deferred loan at 3% interest rate
  • Minimum 1% of borrowers own funds required

The CalHome Loan assistance is to be applied to down payment and closing costs. CalHome loans are deferred (i.e., requires no payments) for 30 years with an interest rate of 3%, and the borrower must repay the loan (plus the accrued interest) upon resale of the home, refinancing or loan maturity.