The California Housing finance Agency has created a more friendly 1st time buyer loan. 35 year fixed rate mortgage offering interest only payments for the first 5 years that will save hundreds of dollars a month in mortgage payments. The maximum income for a single or couple borrowing is $92,160 or income for 3 or more in a family up to $107,520.
Some 1st timers might even qualify for a 3% above purchase price option to help pay for closing costs - for example the requirements for this option is the home has to be a previously owned residence for up to $457,608 or brand new $549,601 for new.
Agency loans are usually ½ to a full 1% rate lower than usual market rates. Visit www.calhfa.ca.gov/ for more information.
