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ATTENTION LOS ANGELES COUNTY FIRST TIME BUYERS: LAHD Receives New Funds for LIPA Buyers

Reblogger Jane Peters
Real Estate Broker/Owner with Home Jane Realty BRE# 01439865

Great information for first time home buyers in Los Angeles who think they may not be able to afford that new home.

Original content by Donne Knudsen

Well the Los Angeles Housing Department (LAHD) has finally received additional funds for their Low Income Purchase Assistance (LIPA) program again.  They had run out of money back in March and had temporarily suspended the program.  The program has received nearly 4M in funds for this year and will assist homebuyers on a first come, first serve basis.  In other words, the program is in effect for as long as the money lasts. 

They have also made a few minor changes to the program but with the same great results.  The LIPA program offers purchase assistance in the form of a deferred loan of up to $60,000 to low income households for down payment, closing costs, and acquisition financing.  Medium income households are still eligible for HERO & NSP.  

LAHD also provides an additional 6% of the purchase price or $10,000 (whichever is greater) through the American Dream Downpayment Initiative (ADDI) program.  All low income applicants are automatically considered for ADDI loan funds when applying for the LIPA program. 

The program is limited to first time buyers who have not had an ownership interest in any real property at any time during the last three (3) years.  LIPA funds may be used to assist buyers who purchase a home in the eligible areas only and there are some additional restrictions for older SFR properties and condos.  

Eligible homes can be vacant foreclosures, aproved short sales or regular equity sales.  Unapproved short sales are not eligible.  Properties applying under the LIPA program will not be inspected by LAHD.  No rehabilitation/repair loan funds will be made available for properties applying under the LIPA program.  Rehabilitation/repair funds are still available under NSP.

First Time Buyers:  Need some help in purchasing your first home here in LA county?  Contact me today to find out if you are eligible for the LIPA program. 

Realtors:  Do have a listing here in LA county that needs a qualified and motivated buyer?  Contact me today to find out if your listing is in an NSP eligible area.

If you're interested in more info on how you can qualify for this program, please feel free to contact me at 805.5278554 regarding eligibility requirements, available census tracts or if you just have a question.  I would love to be able to assist you with finding the most affordable loan option available to you in purchasing your first home here in Los Angeles County.

Comments(2)

Durrell Thomas
San Marcos Real Estate Company 760-576-4357 www.SMRECO.com - San Marcos, CA
San Marcos Real Estate Company | 760-576-4357

Jane, How long will these funds last?

May 26, 2010 03:12 PM
Jane Peters
Home Jane Realty - Los Angeles, CA
Los Angeles real estate concierge services

Durrell,  I don't have a clue.  The same problem is with the California first-time and new-home buyers tax credit.  That is avaialable from May 1 to Dec. 31 but they estimate it will run out in a few weeks.  I would imagine this one may last a little longer because it is not well-known and it would take people who qualify some time to get used to the idea that they can afford to buy, start looking, and then find something.

May 26, 2010 03:22 PM