First-Time homebuyers in Menlo Park can avail of an affordable subordinate loan program that helps middle- income families purchase their own home in Menlo Park through the Purchase Assistance Loan Program (PAL).
To qualify, the homebuyer should have lived or worked in Menlo Park for at least one year. The benefits of PAL include:
1. Loans of up to 20% of a home’s selling price or $75,000, whichever amount is lower.
2. No maximum restriction on the selling price.
3. Maximum loan term of 35 years with 0% loan interest and no payments for the first 5 years and a fixed rate 5% annual interest after the first 5 years.
4. Loans are applicable for purchasing single-family homes, attached or detached units, condos, and town homes in Menlo Park.
5. PAL loans may be used in tandem with other loans from the FHA, CalHFA, and the County of San Mateo’s Mortgage Credit Certificate (MCC) Program.
The PAL is funded by the Menlo Park City government and is available to first-time homebuyers only.