It may mostly seem like a shark-eat-shark world anymore, but there are many programs to help first-time homebuyers. Often, such programs will help those who meet income and other borrower requirements with their closing costs and/or down payment.

At Chenoa Fund, we are a program that assists responsible borrowers to obtain an FHA home loan in addition to a loan or grant for closing costs and/or down payment assistance. We work with local, state and federal and grant providers to help our clients receive loans in which they will have 100 percent of their home loan amount financed at reasonable terms.

For first-time borrowers in the San Diego area, the following provides guidance about some of the programs that ease borrowers into home ownership.

San Diego Housing Commission –

The San Diego Housing Commission is eager to fill housing needs in both the city and county areas. The SDHC has a program for single-family housing as well as programs for potential buyers of townhouses and condominiums.

There are differing qualification requirements for the County of San Diego programs as opposed to the city’s programs.

County First-Time Homebuyer Down Payment Assistance Program –

The county has a program that helps homeowners who are low-income, first-time homebuyers receive assistance towards both their closing costs as well as the down payment amount.

Borrowers can receive a deferred-payment loan that can be as much as a 17 percent down payment. They can also receive up to $10,000 in closing cost aid.

City of San Diego Deferred Payment Program –

The city offers a program for residents who earn less than 80 percent of the county’s adjusted mean income. Borrowers can receive a second trust deed loan for up to 17 percent of the purchase price to go towards a down payment. The loan does not have any payments due for the first 30 years and carries a 3 percent interest rate.

The borrower must meet income requirements and have good credit. They must have already obtained their first mortgage and come up with 3 percent as a down payment.

Homeownership Grant Program –

Borrowers under the Deferred Payment Program can also apply for another up to 4 percent of the purchase price in order to pay for closing costs. They must earn no more than 80 percent of the adjusted mean income. Once escrow has closed, this loan will be forgiven.

Closing Cost Forgivable Loan Program –

The Closing Cost Forgivable Loan Program is available for residents who make no more than 100 percent of the county’s AMI. They will receive a loan for up to 4 percent of the cost of the home for closing costs. At the end of six years, if they are still the owners, the loan will be forgiven.

Remarkably, the San Diego Real Estate Hunter reports that, for the SDHC programs, “first-time homebuyer” can even mean someone who has not owned a home in three years.

If you are a first-time homebuyer in the San Diego area, there are programs for you that will help you with your down payment and/or closing costs. Many people qualify. At Chenoa Fund, we can assist you with an FHA first mortgage and with these and other first-time homebuyer programs. Call us for help in making the most important purchase of your life