CalHFA CalPLUS Conventional Loan Program

Program Overview

The CalPLUS Conventional Loan Program is a CalHFA conventionally insured first mortgage loan featuring a fully amortizing fixed interest rate with a maximum 30-year term.

It is combined with the CalHFA Conventional Zero Interest Program (Conventional ZIP) for down payment assistance.

The Conventional ZIP is a deferred zero interest rate second loan is available for either 3% or 4% of the CalPLUS first mortgage loan amount and can only be used in combination with a CalPLUS Conventional loan.

This program requires a minimum 3% down payment

Borrower Eligibility

  • Owner Occupied only – borrower must live in the home as a primary residence
  • Minimum 640 Credit Score
  • Full income / asset documentation only – W2 and/or tax returns
  • Borrower contribution can be Gift
  • Must be a first time home buyer
  • First time buyers must complete 8 hour Homebuyer Education course
  • 45% Debt to Income Ratio (regardless of automated approval findings)
  • Non-Occupying Co-Signers are NOT allowed
  • Income Limits Apply
  • 105% Combined Loan to Value including assistance loans
  • Exclusively available with CalPLUS first mortgage loan

CalPLUS Loan Terms

  • 30 Year Term
  • Discounted private mortgage insurance
  • High balance Conventional loan amounts allowed
  • Has exclusive access to ZIP - Zero Interest Program
  • Can be combined with ECTP - Extra Credit Teacher Program
  • Can be combined with MCC and/or EEM
  • Can be combined with MyHome Assistance Program
  • CalPLUS loans are not subject to a recapture tax

ZIP Program Highlights

  • ZIP Assistance is 3% or 4% of the total first mortgage loan amount
  • Loan Term Matches CalPLUS loan term
  • Zero Interest for life of loan
  • Deferred payments for term of loan
  • Slightly higher interest rate than CalHFA Conventional without ZIP

Property Eligibility

  • Single Family Residence and HUD approved condos
  • Sales Price Limits (varies by county)
  • Owner Occupied Only
  • No Manufactured Housing Allowed
  • 1 Year Home Warranty (except new construction)

Minimum Home Warranty Coverage

  • Water Heater
  • Air Conditioning/Heating
  • Refrigerator, Oven/Stove/Range, Microwave, Washer/Dryer

What is a First Time Home Buyer?

CalHFA uses the definition of a first time home buyer as any buyer that has not had an ownership interest in a primary residence in the past three (3) years.

Other Assistance Options

If funds are no longer available, or you are unable to meet the qualifications for this assistance program, there are other options that may be available to you.

California home buyers should also explore Mortgage Credit Certificates, CRA Programs, Lender/Agent Credits or other creative down payment and closing cost assistance options.

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