Hey there! Navigating the path to buying your first home can feel overwhelming, but don’t worry—I’m here to help simplify things for you. Let’s chat about a fantastic opportunity available to first-time homebuyers in San Marcos, California.

Program Name:

City of San Marcos First-Time Homebuyer Down Payment Assistance Program

Source of Funding:

This program is funded by the CalHome Program.

Eligibility Criteria:

• First-Time Homebuyer: You must not have owned a home in the last three years.
• Residency Status: Applicants must be legal residents of the United States.
• Income Limit: Your household’s combined projected income should not exceed 80% of the Area Median Income (AMI) for San Diego County.
• Financial Contribution: You need to contribute at least 3% of the purchase price from your own verifiable funds.
• Property Requirements: The home must be within San Marcos city limits and serve as your primary residence. Eligible properties include new or resale single-family detached homes, condominiums, townhomes, and manufactured homes on a permanent foundation.
• Homebuyer Education: Completion of a Homebuyer Education Class through an approved provider is mandatory.

Benefits:

• Loan Assistance: The program offers a deferred-payment loan of up to 20% of the purchase price, with a maximum amount of $56,000, whichever is less.
• Interest Rate and Terms: The loan carries a 3% simple interest rate and is deferred for 30 years. No payments are required during this period unless you sell, transfer, or no longer occupy the home as your primary residence.

Potential Drawbacks:

• Repayment Conditions: If you sell or transfer the property, or cease to occupy it as your primary residence before the 30-year term ends, the loan becomes payable, including the principal and accrued interest.
• Funding Availability: The program is subject to the availability of funds, which may limit assistance if resources are depleted.

Application Process:

1. Consultation: Begin by discussing your eligibility and the program requirements with city staff.
2. Mortgage Pre-Approval: Apply for a mortgage loan through one of the city’s participating lenders.
3. Property Selection: Choose an eligible property within San Marcos.
4. Application Submission: Complete and submit the Homebuyer Application along with all required documentation.
5. Approval and Closing: Upon approval, coordinate with your lender and city staff to finalize the loan and proceed to closing.

For more detailed information, including access to necessary forms and a list of participating lenders, please visit the City of San Marcos’ official website: City of San Marcos First-Time Homebuyer Program.

Embarking on the journey to homeownership is a significant milestone, and programs like this are designed to make the process more accessible for first-time buyers. If you have any more questions or need further assistance, feel free to ask!

Additional Information for Blog Post Writers:

• Geographic Availability: This program is available exclusively for home purchases within San Marcos, California.