Jean Joh

Mortgage Protection Program for First-Time Homebuyers!!
April 3, 2009 ·  

newsGreat news for California home buyers!  As if the $8000 tax credit, historically low interest rates, and affordable home prices were not enough, the California Association of Realtors Housing Affordability Fund (C.A.R.H.A.F.) is making the pot even sweeter by offering a mortgage protection program for first-time home buyers.  Wow!  

Back in January, I posted a blog on my personal blogsite (http://budurl.com/5vpd) about the Hyundai Assurance Program (if you lose your job or have another hardship within 12 months, you can give your new car back) and commented that it would be an interesting idea if we could have the same sort of thing for buying homes.  The basic idea – buy a new home, and if you lose your job, you can give the home back without penalty.  Well, it seems that someone out there was reading my blog…okay, maybe not, but this new program is not too far from the same line of thinking.  So what does it entail exactly?

This is the information, according to C.A.R.’s latest newsletter:

Through the Housing Affordability Fund’s Mortgage Protection Program, first-time home buyers who lose their jobs due to layoffs may be eligible to receive up to $1,500 per month for up to six months to help make their mortgage payments. A qualified co-buyer also can participate in the program, for a monthly benefit of $750 per month for up to six months. Program benefits also include coverage for accidental disability and a $10,000 death benefit. C.A.R.’s Housing Affordability Fund is dedicating $1 million toward its Mortgage Protection Program this year, and estimates that up to 3,000 families will benefit from the program throughout 2009.

If you want to qualify for this program, you must:

  • Be a first-time home buyer – someone who has not owned a home in the last three years
  • Open escrow April 2, 2009, or later, and close on or before Dec. 31, 2009
  • Use a California REALTOR® (me!) in the transaction
  • Purchase the property in California
  • Be a W-2 employee (cannot be self-employed or military personnel)

First-time home buyers must request an application for the H.A.F. Mortgage Protection Program from their REALTOR® (that’s me again!). For applications and other information on this exciting new program, go to http://budurl.com/g8p5.

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Filed Under Important Thoughts, Real Estate Finance, Real Estate for Buyers and Sellers

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Comments

4 Responses to “Mortgage Protection Program for First-Time Homebuyers!!”

  1. Brian Boisson on April 3rd, 2009 9:52 am

    Jean,

    Thank you for comment on the new CAR program and providing the link.

    I am hearing a lot of buzz from the public about this program and it is all positive.

    There are many people who are in the buying process or strongly considering it, who have good jobs but because of all the negative economic news that was blasting through the media, they have been hesitant and very conservative.

    Now that there is a feeling in the air that things are on the right track to improve economically, and finally some positve media reports, this give those hesitant buyers a safety net that should help them move towards their purchase. The CAR program is a great tool we can really use at this time.

    We all need to become familiar with the program, have the applications available for our open houses and promote it in in our marketing; following CAR guidelines, of course.

    Thanks again!!!

    Brian

  2. michael monozon on April 3rd, 2009 3:04 pm

    thanks Jean
    good information, we may one day look back on 2009 as the rebirth of the American Dream of Home Ownership, it is becoming difficult to turn away from the benefits that are in place for the individual or family that wants the security of fixed payments, equity build up and the peace of mind that you control where you live, where you raise your family, and how you create roots in a community

  3. Adam Chinn on April 5th, 2009 3:00 pm

    Hi Jean,
    This is more great news for buyers as well as the economy as a whole. This is yet another reason for people to get off the fence and purchase their home. There are great opportunities for many out there.

    Thanks again,
    Adam

  4. Larry Franzella on April 6th, 2009 9:33 am

    Hi Jean,

    That is a great program for first time home buyers. It is great to see the California Association of Realtors step up to help first time home buyers!

    Larry

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