Hey there! Navigating the path to homeownership can feel overwhelming, but Tuolumne County offers programs designed to make this journey smoother for first-time buyers. Let’s explore the key details together.

Program Overview

Tuolumne County provides two main avenues to assist first-time homebuyers:

• County First-Time Homebuyer Program: This initiative offers deferred-payment loans to help cover down payments and nonrecurring closing costs. The loan features a 30-year term with a 3% simple interest rate, and payments are deferred until the end of the term or upon sale or transfer of the property.
  Learn more here.
• WISH Down Payment Matching Grant Program: Through partnerships with local banks, this program matches the homebuyer’s contribution toward the down payment, providing up to $22,000 in matching funds. For every dollar you contribute, the program adds four dollars, significantly boosting your purchasing power.
  Learn more here.

Eligibility Criteria

To qualify for these programs, you must meet the following requirements:

• First-Time Homebuyer Status: You must not have owned a home in the past three years.
• Income Limits: Your household income must be at or below 80% of the county’s median income. For example, as of June 1, 2023, the maximum income for a household of four is $77,450.
  Learn more here.
• Property Requirements: The home must be located in the unincorporated areas of Tuolumne County, be a modest single-family residence, and have a maximum of three bedrooms and two bathrooms. Homes with in-ground pools or spas are not eligible.
  Learn more here.

Benefits

• Deferred Payments: No monthly payments for 30 years, easing financial pressure during homeownership.
• Substantial Assistance: Combined assistance from both programs can reach up to $120,000, making homeownership more attainable.
  Learn more here.

Potential Drawbacks

• Funding Availability: These programs are subject to funding, which can be paused or limited. It’s essential to check current availability before planning.
  Learn more here.
• Property Restrictions: The programs have specific property criteria, which may limit your options.

Application Process

1. Pre-Approval: Obtain a pre-approval letter from a lender for a primary loan.
2. County Application: Submit the county’s loan application along with documentation of income, assets, and proof of down payment funds.
3. Homebuyer Education: Complete a HUD-approved homeowner education class to prepare for the responsibilities of homeownership.
   Learn more here.

Program Status

Please note that as of the latest update, the County First-Time Homebuyer Program is on hold due to paused funding by the California Department of Housing and Community Development. The county plans to reopen the program when funding resumes.
Learn more here.

Program Availability

Geographic Scope: These programs are available exclusively within the unincorporated areas of Tuolumne County, California.

Pros and Cons

Pros

• Deferred Payment Loans: Allows you to focus financial resources elsewhere during the loan term.
• Generous Matching Funds: The WISH program’s 4-to-1 matching can significantly enhance your down payment.

Cons

• Funding Uncertainty: Program availability is contingent on state funding, which can be unpredictable.
• Property Limitations: Strict property criteria may restrict eligible home choices.

Program Type

• County First-Time Homebuyer Program: Deferred-payment loan.
• WISH Program: Down payment assistance grant.

For the most current information and to verify program availability, please contact the Tuolumne County Housing Division directly.