There are some incredible purchase programs for First Time Home Buyers in Orange County, California. At last count, First Timers accounted for 41% of all buyers here. Per the CAR (California Association of Realtors) 2010 Buyers Survey, these newbies have an average of 23.1% down payment. So they have the cash and they are out in force. We can't dismiss this vital buyer group.
Perhaps the best kept secret for these First Timers is that there are several Orange County and California mortgage assistance programs designed just for them. Unlike the State and Federal Tax Credits, these programs are well funded and do not have expiration dates on them. Buyers just need to know where to find them. I can help with this.
In sharp contrast to the good old days when First Timers had to earn paltry sums and plan to eat mac & cheese for the rest of their adult lives, there are now programs allowing them to earn as much as $103,000 annually (in Orange County). That will buy a lot of house! Someone with a real job can actually tap into these benefits. Loosely speaking, most of the special programs allow a First Timer who earns up to $72,000 to buy a place priced up to $490,000.
This equates to a very nice townhouse or Single Family Residence in Irvine, Costa Mesa, Aliso Viejo, Laguna Hills, Lake Forest and even parts of Dana Point. Some cities like Huntington Beach and Tustin are proactively continuing to fund low to mid income home buyer programs. There are SO MANY good reasons for First Timers to get out there and pick up a great deal.
My favorite programs are the grants that match the First Time Buyers own cash contributions "2 to 1" up to $15,000. That may not sound like a lot to some folks. But I know a lot of buyers who are happy to accept $15K in cold, hard FREE cash. Even thought the tax credits may expire, these buyers have a lot to smile about...
Speaking of tax credits - First Time Home Buyers have been granted an extension!
House passes bill to extend tax credit deadline
The U.S. House of Representatives passed a stand-alone bill yesterday extending the closing deadline for the federal home buyer tax credit to Sept. 30, 2010. Backers of the House measure said the 90-day extension would permit tens of thousands of home buyers whose paperwork didn't clear by June 30 to still receive the credit. Estimates from NAR show as many as 17,700 home buyers in California may not receive the tax credit if the deadline is not extended. The bill now must pass the Senate.
So if the First Timer plays his cards right, he can either close his current escrow and take a sweet tax credit, or he can sign up for some of these First Time Buyer grant programs and get a little free cash-ola.
No matter how you look at it, it's a great time to be an Orange County Buyer!
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