For Anyone Purchasing in California

[Anonymous]

Make sure to ask your lender about the GSFA Platinum grant program. It is a 5% grant (not a loan) that can be used towards down payment and/or closing costs and can be used with FHA/VA/USDA/conventional loans. 640 minimum credit score required, 45% max DTI between 640-659, 50% max DTI with a score above 660. More lenient income limits than other programs. Also, the first lender underwrites the grant so there is not a second phase of underwriting necessary.

There are a few tradeoffs of course. Depending on the loan program and amount of grant money you are receiving, there is only one interest rate (i.e. FHA w/ 5% grant = 4.5%). Additionally, you cannot take any lender credits to cover closing costs, so those must come out of pocket or from the seller. And finally, there is a 1.5% origination fee that the program charges, so a 5% grant is really only 3.5% in reality.

All in all, a great program. There are several downpayment assistance programs for our state (CHDAP is another great one), so make sure you talk to your lender about all your options.

[edcampbell613]

Is there an income limit?

Can it be stacked with other DPA's / Bond programs?

Sounds like a killer deal.

We have something simmilar in NC

NC Housing 3% DAP 80% median income

FHLB for every $1.00 they put in $4.00

100=400

200=800

ect, ect

[Anonymous]

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@edcampbell613 wrote:

Is there an income limit?

Can it be stacked with other DPA's / Bond programs?

Sounds like a killer deal.

We have something simmilar in NC

NC Housing 3% DAP 80% median income

FHLB for every $1.00 they put in $4.00

100=400

200=800

ect, ect

---

Yup, income limit is 115% for FHA, 140% for conventional. Very lenient!

[happy0510]

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@Anonymous wrote:

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@edcampbell613 wrote:

Is there an income limit?

Can it be stacked with other DPA's / Bond programs?

Sounds like a killer deal.

We have something simmilar in NC

NC Housing 3% DAP 80% median income

FHLB for every $1.00 they put in $4.00

100=400

200=800

ect, ect

---

Yup, income limit is 115% for FHA, 140% for conventional. Very lenient!

---

Can you elaborate on the percentages? Is this above poverty?

Is it for first time buyers only?

I'm getting ready to sell and move up in L.A. County so this is interesting!

This will be our second purchase.

[happy0510]

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@happy0510 wrote:

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@Anonymous wrote:

---

@edcampbell613 wrote:

Is there an income limit?

Can it be stacked with other DPA's / Bond programs?

Sounds like a killer deal.

We have something simmilar in NC

NC Housing 3% DAP 80% median income

FHLB for every $1.00 they put in $4.00

100=400

200=800

ect, ect

---

Yup, income limit is 115% for FHA, 140% for conventional. Very lenient!

---

Can you elaborate on the percentages? Is this above poverty?

Is it for first time buyers only?

I'm getting ready to sell and move up in L.A. County so this is interesting!

This will be our second purchase.

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Nevermind. I just looked it up. We make 130K so I do not think we will qualify.  However, I am definitely going to pass this information on. Thank you!

[Anonymous]

Based on Area Median Income (AMI). Correct, your income will be too high unless only one of you goes on the loan. They calculate income based on borrowers alone, not household income.

[Anonymous]

I sent you a PM dpeezy.

[youdontkillmoney]

Great info!

Here is the income limit website for the program:

http://www.gsfahome.org/programs/dpa/limits.aspx

In my case we exceed the income limit

[_NERD]

Thank you very much. Does everyone who meets the income threshold, DTI limits and FICO scores qualify? Or is there a limited number of buyers that can qualify for the grant before the grant is no longer taking new applicants (like a scholarship thing)?

Thanks.

[Anonymous]

If you meet the criteria, you are likely to get the grant. This program has a set amount of funds per loan program per year. If the funds run out, you may have to wait until next year (if the program is still around).