The LIHP helps families with low incomes to buy homes by providing loans for part of the sales price of the home. Some of the benefits of this special program are:

• Up to $19,400 in financing
• No payments for the first five (5) years
• No loan fees
• Low interest rate - 5% (does not start until after the fifth year)
• Loan payments are amortized for years six (6) through fifteen (15)
• Loan can be assumed by future low income buyers upon resale

To be eligible, a borrower must:

1. Meet income guidelines for low-income home buyers, as shown in the table below; and
2. Qualify for a home purchase mortgage loan prior to the LIHP consideration; and
3. Provide the necessary cash required in addition to the LIHP loan; minimum 3% of purchase price; and
4. Attend a Home Buyers Counseling Class.

New Construction LIHP
Available for newly constructed homes located in subdivisions of 10 units or more.

Resale LIHP
Available for existing pre-owned homes. Home must pass City inspection.

Infill LIHP
Available for newly constructed homes in existing neighborhoods for projects of 1 to 9 units.

In the event that the borrower is a first-time home buyer, a borrower may also qualify for the City's Downpayment Assistance Program.

HOW DOES THE HOME QUALIFY?

To be eligible, the property to be purchased must:

1. Be located within one of the target areas (see map) and pass a City inspection.
2. Have a sales price of not more than $97,000.
3. Be used as the buyer's principal residence.

HOW DO I GET A LIHP LOAN?

If you are interested and think you may qualify for a LIHP loan, follow these simple steps:

1. Contact Northpoint Mortgage to obtain a preliminary loan approval for a mortgage loan..
2. Select a new or existing home located within one of the target areas and at a sales price of not more than $97,000.
3. If you are eligible, Northpoint Mortgage will complete the necessary paperwork and arrange for a funding reservation.
4. Loans are funded on a first come first serve basis. All loans are subject to availability of funds.