Applicant Eligibility

• Must be a first-time homebuyer (not owned primary residence for 3 years).
• Primary residence of buyer or immediate relative must be in Brisbane for at least one year, or
• Primary employer of buyer must be in Brisbane, or be a local school district (Brisbane, Jefferson Union, or San Mateo County Community College school district) for at least one year.
• Household income cannot exceed 120% of area median income (AMI) for San Mateo County adjusted for family size.
• Must qualify for a first mortgage loan.
• Home Buyer Counseling Worksheet submitted to First Home, Inc.

Eligible Properties

• Single family attached or detached residences including town houses and condominiums.
• Property must be located in the Brisbane city limits.

Maximum Loan

• $200,000 for lower income households (HUD lower income limit for San Mateo County)

Laon Terms

• 45-year term at 0% interest (no interest).
• Borrower required to make down payment of 3%.
• Borrower must remain owner/occupant through the term of the loan.
• Homebuyer education certificate required.
• Resale price restriction required on home for 45 years limits resale price to preserve affordability. Future sales price indexed to increase in San Mateo County median income.

Repayment

• Payments deferred for the entire 45-year term of the loan, unless a “triggering event” occurs (see next point below).
• Loan balance becomes due upon occurrence of a trigger event such as sale, transfer of title, cash out refinance, conversion to rental/income property, owner moves out, default on first mortgage, or failure to comply with other BFTHBP rules.
• There is no pre-payment penalty. Paying the BFTHBP loan off will terminate appreciation sharing, and may therefore be financially beneficial to the homeowner. Resale price restriction remains, however.

Equity Participation

• Upon sale or other triggering event, Agency shares in the appreciation of the property on a 1 to 1 basis, based on the proportion of the BFTHBP loan to the original purchase price as a percentage.

Loan Security

• Agency loan is secured by second deed of trust.
• Junior loans from another source, such as CHFA or School District may be available to leverage Agency loan.

Summary

• This table presents a summary of the program. The Program Manual gives more detail. The definitive source for program terms and conditions are the notes, deeds, and regulatory agreements the buyer will execute as part of a real estate escrow.