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approved for an AC Boost loan up to $100,000 that is layered with a Pleasanton DPA loan up to $100,000. The calculations assume a 30% housing cost ratio, a 5% down payment contribution from the buyer, a 4.5% interest rate, and an income 10% below the maximum income limit. Home Prices Household Size 120%* 2 $509,431 3 $557,470 4 $605,412 5 $643,784 The table below lists the number of transactions that closed at varying pricing points in the last twelve months (January 7, 2019 through January 8, 2020), per real estate brokerage firm Redfin. It appears that there is a small inventory of homes in Pleasanton that these buyers could afford and compete for. Number of Homes Sold Sales Price Single-Family Townhomes/Condos $500-$550k 0 16 $550-$600k 0 13 $600-$650k 2 20 $650-$700k 2 17 $700-$750K 4 18 $750-$800k 5 22 $800-$850k 14 17 Total 27 123 Source: Redfin (January 7, 2019—January 8, 2020) Leverage the AC Boost financial assistance As previously discussed, the high price points in Pleasanton will most likely require hopeful borrowers to utilize both the AC Boost and the DPA Program just to have the required down payment to enter, and more importantly, be competitive in today's Pleasanton housing market. City staff have the confidence that Hello Housing staff is capable of assessing how to most effectively and efficiently leverage the AC Boost financial assistance and supplement it with the DPA loan to fully assist hopeful homebuyers purchase their first homes in Pleasanton. HOUSING COMMISSION RECOMMENDATION The Housing Commission discussed this issue at its meetings on May 16, 2019 and on August 22, 2019. Please refer to the attached excerpt of the minutes from these meetings. The Commission supported the proposed modifications to increase the maximum loan amount, restructure the loan terms, and adopt a "shared appreciation loan" policy. Page 5of6