The Section 8 Housing Choice Voucher
Program enables qualified first-time homebuyers to
receive monthly assistance for homeownership expenses
in lieu of monthly rent aid. Pursuant to Congressional
authority, HUD has authorized states and Public Housing
Authorities (PHA's) to provide this assistance using
funds available through the Section 8 rental voucher
program. The PHA's may choose to participate in offering
the Section 8 for homeownership but are not required
to do so. Under the Program at least 30% of the eligible
homebuyers' income will go to pay the homeownership
expenses with Section 8 covering the remainder.
The California Housing Finance Agency
(CalHFA) does not provide funding or administer this
program but has approved its use in partnership with
our first mortgages and subordinate loans by those
PHA's approved by CalHFA.
View the list of CalHFA
approved PHA's here. A copy of the Department
of Housing and Community Development's list of PHA's
in California can be found on their web site at www.hcd.ca.gov/hpd/hrc/tech/contacts.htm.
Steps for PHA to Become Approved
Step 1: PHA needs to
submit in writing their desire to partner with CalHFA
and attach copies of their Master Plan or 5-Year Plan
and any other related material. All requests must be
sent to:
California Housing Finance Agency
Homeownership Special Programs
1121 L Street, 7th Floor
Sacramento, CA 95814
Step 2: Homeownership
Special Programs staff will review the documentation
submitted. The PHA will be contacted if further clarification
is needed.
Step 3: Homeownership
Special Programs will facilitate a meeting and/or conference
call with the PHA and one or more of CalHFA's approved
lenders (selected by the PHA) to discuss the requirements
of both entities. Program qualifications and borrower
eligibility will be disclosed and the most restrictive
criteria will be identified. Additionally, lenders
will be advised of the subsidy, known as the Housing
Assistance Payment, which will be added to the borrower's
gross income for CalHFA Tax Act Compliance.
Step 4: The PHA will
be added to the list of approved PHA's to partner with
CalHFA.
Important Program Highlights
The PHA's will be solely responsible
for all program eligibility, administration, training/counseling,
reporting and annual review of the homeowners who receive
Section 8 assistance.
Eligible prospective homebuyers or those
wanting more information must contact their local PHA
for details.
CalHFA and the PHA may have different
eligibility requirements. The most restrictive requirements
will apply.
All prospective homeowners must be able
to meet the following CalHFA Homeownership Program
requirements:
- Borrower
requirements
- Property
requirements
Homebuyers interested in applying for
financing, should contact one of CalHFA's approved
lenders.
Please contact the Homeownership Programs
staff for additional information:
CalHFA Homeownership Division
P.O. Box 4034 , Sacramento, CA 95812
Phone: 877.9.CalHFA
Email: homeownership@calhfa.ca.gov
CalHFA does not lend money directly to consumers. CalHFA works through and uses approved private lenders to qualify consumers and to make all mortgage loans. CalHFA purchases closed loans that meet CalHFA's requirements. The fees consumers pay could be different depending on the lender and the program.
View
the sample Truth in Lending disclosure here
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