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SDHC has helped more than 4,300 families achieve the American dream of owning a home. Several home buyer assistance programs are available, including deferred loans, grants for down payments and closing costs, tax credits, and opportunities to purchase homes at below-market-rate prices.

SDHC’s programs can be used to purchase a home anywhere in the City of San Diego (zip code must begin with 921). Applicants (except for “For-Sale Affordable Homes”) must be first-time home buyers, defined as not having owned real estate in the past three years. All programs are subject to Area Median Income restrictions and have maximum purchase price limits.

3% Interest Deferred Loan

SDHC provides a 3% interest deferred loan, up to 25% of the purchase price. No payments are required for 30 years, unless you sell or refinance, at which time you are required to pay back the principal balance plus accrued interest. You must obtain a fixed-rate first trust deed loan to obtain the deferred loan, and have adequate income, acceptable credit history, and personal funds for a minimum 3% down payment. Applicants must attend a home buyer education class.

·          Program Guidelines

·          Income Limit: 80% AMI.

Grants for Down Payments and Closing Costs

SDHC offers grants to help home buyers with a down payment or closing costs, up to $15,000 of the sales price. The grant must be paid back if the home is sold or refinanced within the first six years, after which it is forgiven.

·          Program Guidelines

·          Income Limit: 80-100% AMI.

Mortgage Credit Certificates (MCC)
The MCC is a federal tax credit equal to 15% or 20% of your annual mortgage interest. The MCC reduces the amount of federal income taxes you owe, which in turn increases your take-home pay, allowing you to qualify for a larger first mortgage.

·          Program Guidelines

·          Income Limit: 80-140% AMI.

For-Sale Affordable Homes

SDHC has helped create policies within the City of San Diego that require developers and original buyers to make new and resale homes available to eligible buyers below the market value. Depending on your household AMI, you may also apply to SDHC for a 3% Interest Deferred Loan, a grant for a down payment and closing costs, and an MCC, making the home even more affordable.

·          List of Affordable Homes For Sale

·          Prequalification Form

·          To Apply: Contact Vicki at vickim@sdhc.org or 619.578.7491.

City of La Mesa Program

SDHC administers the Down Payment/Closing Cost Assistance Loan Program for homes purchased in the City of La Mesa.

·          Program Guidelines

·          Income Limit: 80% AMI

Related Documents

·          To Apply: Contact a Participating Lender.

·          Income Limit Chart

·          Become a Participating Lender

·          Program Summary Chart

·          Program Guidelines:

o        3% Interest Deferred Loan

o        Down Payment & Closing Cost Grant

o        MCCs

·          Home Buyer Education Providers

·          Approved Home Inspectors

·          About Lead Paint

Census Tract Information, click here.