Oakland CalHome Program: A Helping Hand for First-Time Homebuyers

Navigating the home-buying process can feel overwhelming, especially when you’re trying to find the right assistance programs. Let’s dive into the Oakland CalHome Program, a fantastic resource that might be just what you need to achieve your dream of homeownership in Oakland, California.

What is the Oakland CalHome Program?

The Oakland CalHome Program is a locally administered initiative funded by the California Department of Housing and Community Development. Its purpose is to assist first-time homebuyers in Oakland by offering financial support to make homeownership more accessible.

Key Details of the Program

Eligibility Criteria

• First-Time Homebuyer: You must not have owned your primary residence in the last three years. (Certain exceptions may apply.)
• Connection to Oakland: At least one adult in your household must be:
  • A resident of Oakland,
  • Working or attending school in Oakland, or
  • Someone displaced from an Oakland housing unit.
• Income Limits: Household income must not exceed 80% of the Area Median Income (AMI). For 2024-2025:
  • $84,600 for a single-person household.
  • $120,800 for a family of four.
• Property Requirements:
  • The home must be located in Oakland.
  • Eligible properties include single-family homes, condos, townhomes, or live-work units.
  • The home must be owner-occupied or vacant, with a maximum purchase price of $1,375,000.

Program Benefits

• Down Payment Assistance: The program offers loans of up to 30% of the purchase price, with a maximum of $200,000, to help bridge financing gaps.
• Low Interest Rate: Loans have a 3% simple interest rate with no monthly payments required.
• Flexible Repayment Terms: The loan is due in 30 years or earlier if the home is sold, transferred, refinanced, or converted into a rental property.

Potential Drawbacks

• Limited Funding: As of August 1, 2024, funding is allocated on a first-come, first-served basis and may run out quickly.
• Residency Commitment: This program requires the home to remain your primary residence throughout the loan term.

How to Apply

1. Prepare Your Documents: Gather proof of income, assets, Oakland residency/work/school connection, and mortgage pre-approval.
2. Attend a First-Time Homebuyer Workshop: The City of Oakland often partners with HUD-certified counseling agencies to offer these workshops.
3. Submit an Application: Applications are processed by the City of Oakland’s Housing and Community Development Department. Be sure to act quickly, as funding is limited!

Is This Program Right for You?

If you’re an Oakland resident or someone with ties to the city, and you’re struggling with saving for a down payment, this program could be a game-changer. The generous loan terms and down payment assistance make it an appealing option for first-time buyers.

Sources and Additional Information

• City of Oakland Housing and Community Development Department
• California Department of Housing and Community Development

Category and Subcategory

Category: California

Subcategory: Alameda County