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THE CITY OF _ tip if1 pL~ ~S~4NTONo Down Payment Assistance Program Guidelines PROPOSED DRAFT REVISIONS Mav 2008 REVISED 11/06/2007 The program provides financial assistance to low and moderate income home buyers in the form of a 3.5% partially deferred loan. (Please retain for your records) 1. The program is restricted to the purchase of single-family residences which includes condominiums, mobile homes, town homes, and single units that are part of a couplet or duet. Multi unit structures (duplexes, triplexes, etc.) where more than one unit is being purchased are not eligible. Homes purchased must be located in the City of Pleasanton. The homebuyer is responsible for obtaining a first mortgage with a Ca1HFA-approved lender (see https://wpll.calh a.ca.gov/AnprovedLenders~ at a fixed interest rate with no negative amortization, balloon payment or adjustable rate features. 2. The program is available to 1) first-time homebuyers and 2) buyers who have owned a home with resale restrictions through the Pleasanton Homeownership Assistance Program (PHAP). In the event of a competing interest for funding, a priority will be given to first-time homebuyers who have never owned a home in the past. First-time homebuyer is defined as a household where not more than one member of the household has held an interest in residential property provided no member of the household has been the sole owner of residential property. For a single head of household, the homebuyer must not have been a sole owner of residential property. 3. Borrower must meet the income eligibility limits set by the program in order to qualify for City assistance. Maximum loan amounts are determined by household size and income and by the source of loan funds. Households earning less than 80% of the Area Median Income (AMI) shall be eligible for up to $60,000 in down payment assistance if matching funds are available to supplement City funds ($20,000 if loans are funded 100% from City funds). A household earning between 80% and 120% of AMI shall also be eligible for up to $60,000 in down payment assistance if matching funds are available to supplement City funds ($20,000 if loans are funded 100% from City funds). Maximum income limits are adjusted for household size. Loan amounts are further limited to a maximum of 20% of the total purchase price. Borrower must provide sufficient documentation of income to the City for use in determining the borrower's income level. Final determination of an applicant's income level and program eligibility shall be the sole discretion of the City. Total Household Income means the total income of all residents of the household. Household members include individuals who will be living in the affordable home including the head of household, spouse, children, or others listed,