Grants for First Time Home Buyers
If saving to buy your first home be sure to look into grants for first time home buyers. One of the largest hurdles for first timers is raising money for the down payment. Even with an FHA loan, when adding up all the costs, we’re still talking a good chunk of change. This is especially true here in California.
NOTE: Before going further you should know, IF any grants are available, they usually only last for a limited time or until all grants are awarded. There MAY be private grants and governmental grants available, but either way, buyers must apply for and qualify in order to be considered. Finding an local private grant can be difficult, but your agent should know of private or local grants and your lender should be aware of federal or state programs. In fact, federal or state grants & down payment assistance programs are managed by federally insured lenders.
When it’s time to buy your home, if you’re interested in a grant you’ll need to so some research. Of course, we are more than happy to assist our buyer clients should they desire to apply for any available grants. While saving for a down payment, we suggest at least doing a bit of research into grants. A good place to start would be looking into homeownership assistance programs in California.
Low Down Payment Loan Programs
Low down loans are not really grants but they are easier to get of and nowadays there are more options available. Fannie Mae now offers 3% down loans so be sure to check into it. We have another post specifically about low down payment mortgages you should find helpful. If nothing else, take this information and use it as a reminder of questions to ask your lender.
Learn of First Time Homebuyer Local Grants
Depending on where the home is located, there may be assistance programs available. Some can be found in the form of private grants, but these grants are often limited to buying homes in specific areas. Also, most private grants are not usually for huge amounts, but when scraping together enough for a down payment on a first home, every little bit helps.
Buying a house or condo for the first time is fun and exciting, but there’s much to learn. We can save you a good deal of research time by taking a look at our advice for buying a first home.
Grants No Longer Available from 2020
Grants Available Now?
Although the 2020 grant we originally shared about is no longer available, we are always watching for new grants to pop up. As soon as something becomes available we will post it here.
Here’s a grant that was available back in 2020
Southland Regional Association of Realtors® together with the California Association of Realtors® Housing Affordability Fund
Provided $2,000 grants to qualified first-time home buyers for down payment assistance/closing costs.
We really liked this grant and as always, buyers had to meet certain qualifications in order to be eligible! You must buy your home through a licensed Realtor®, like us, and the money awarded will go into escrow towards your down payment and/or closing costs. Being awarded this grant will provide assistance to buyers when they need it most, and gives them a bit of financial help when buying a first home.
Common Requirements for Grant Applicants
- Grants usually have a set time line. Typically there will be an end date or until all the grant money has been awarded.
- Every grant we’ve ever seen comes with requirement for the home to be owner occupied.
- The property most be located in a specific geographic area.
- Applicant income must not exceed certain income limits.
- Often, applicants must attend an educational course. Usually 8 hours.
- Never any guarantee. Just because you apply for a grant does not necessarily mean you will receive it.
Ask Your Real Estate Agent
If you are currently saving for a home in Santa Clarita, we suggest contacting us about looking into private grants for first time home buyers. Below, see an example of how we helped our friend receive a generous $1000 grant from the Alison Lewin Fund.
How we Obtained a Grant for Our First Time Homebuyer
How we Obtained a Grant for Our First Time Homebuyer
A few years back we were thrilled to have announced, with the help of a $1000 grant from the Alison Lewin First-Time Homebuyers Fund, our friend and client Nick Mercado purchased his very first home!
We have represented many first time home buyers over the years, but receiving this grant made this transaction memorable, and so very special. This was the first time one of our first time home buyers received a $1000 grant from the Alison Lewin First-Time Homebuyers Fund!
In fact, our client was so grateful to receive the grant because it really helped make the transaction possible. On behalf of our client Nick Mercado we wish to extend a warm and heartfelt THANK YOU! Thank you to Alison’s family, friends and those donating to make this fund possible!
History of the Allison Lewin Grant
The Alison Lewin Fund, created in memory of a well loved and respected Santa Clarita Realtor named Alison Lewin. The fund was created in order to provide $1,000 grants to people who purchase their first home in the Santa Clarita Valley area of California. The mission of the Fund is to continue the work of Alison Lewin to assist good people to achieve the American Dream of homeownership.
Inspirational to All
As local realtors, we are amazed to see the impact this warm and loving fellow Realtor left behind. It is truly inspiring to see people cared so much about Alison Lewin to establish this fund after her passing. This fund continued her work of helping others achieve their dreams of homeownership.
We only hope we can live our own lives even half as well as Alison did and we hope to leave behind similar memories when we’re gone.
Find Out More or Donate to the Alison Lewin Grant
Unfortunately, this grant does not seem to be available any longer. However, we’ve provided links below so you check back in the future to see if any grants become available. Keep in mind, there may be other grants available and are normally for a limited time. When working with our first time buyer clients, we make every effort to find grants available to help these buyers achieve their goal of homeownership. Call or text Matt & Meray at 661-713-4799.
We hope you found this post as inspiring and refreshing as we did while writing it. Grants for First Time Homebuyers