Michelle Zambrano | May 4, 2022

California is now offering forgivable loans to middle-class home buyers who are struggling in their efforts to cover down payment costs amid rising house prices.

The new Forgivable Equity Builder Loan program allows qualified, first-time buyers to borrow up to 10 percent of a home’s purchase price and have the debt forgiven if the buyer lives in the home for five years.

The program is intended to help first time homebuyers make a larger down payment, which would result in a more affordable monthly payment on the remaining balance. The program is not intended to replace the buyer’s down payment altogether. 

This means if a home buyer has a credit score over 620 and at least $15,000- $25,000 for additional down payment and closing costs, then you could potentially own a house instead of renting.

There are many advantages to owning a house over of renting:

Down payment assistance is offered on a first come, first served basis. 

Click the button below and complete the online survey to see if you qualify to apply.

There is no cost or commitment required.