Using government home financing programs can be a great way to expand the market you serve and at the same time you'll be helping low-income individuals and families achieve the dream of home ownership.
The first step is to familiarize yourself with the all of the available programs and how they work.. Click on the blue button above for a quick overview of the major programs in the Los Angeles area.
Download the "Understanding Layered Financing" worksheet in the Resources section of this page for a visual understanding of how first-time home buyer financing works. In short, the buyer's down payment is combined with a Conventional or FHA first mortgage, a silent-second loan from a local government agency, a Mortgage Credit Certificate to boost buying power, and closing costs assistance which might involve a third layer of financing.
If you are a loan officer, the next step is to make sure your company is an approved lender with the government agency that sponsors the program you want to offer. Typically both the lender and loan officer must go through an approval and training process. - don't worry this is not as big a deal as it sounds and can be completed pretty quickly.
If you are real estate agent, normally you can start using government programs to help your clients right away. No special training or approval are required. But before you get started it is a good idea to collaborate with an approved loan officer who has lots of experience using these programs. You can download an updated list of loan officers approved with the major Los Angeles-area program in the Resource section of this page.
You should anticipate at least a 45-60 escrow period. The property must be in good condition, major "fixers" won work. The home must be located in an eligible area. In the Resource section of this page you can download a list of all of the Los Angeles County eligible areas for the various programs. You can also download a sample residential purchase agreement for some ideas on how to write-up the offer.
Each first-time home buyer program has its own set of eligibility requirements, but these rules apply to just about all of the programs:
Real estate agents and loan officers can use government programs to help first-time home buyers achieve the goal of home ownership. These programs provide help with down payment, closing costs and affordability. They are offered by federal, state, county and city government agencies. Click on the link below for the an updated list of home buyer assistance programs available in the Los Angeles area.
Register Your Client
If your client needs to attend a HUD-approved Home Buyer Education Course, you can register them on the home page.
You will receive confirmation of their registration, attendance and course completion.
All agent and lender referrals to LA Partners Home Buyer Events are protected. Your client will not be encouraged to work with anyone else. Feel free to register and attend the Event with your client.