NeighborWorks Sacramento Mortgage Assistance Products

NeighborWorks® CalHome

We’ve seen a substantial increase in our local real estate market over the recent months and years, making it more difficult for low and moderate income households to purchase a home. One of the most common barriers for these types of households is having adequate assets to cover a down payment. NeighborWorks® Sacramento provides down payment assistance loans to help cover these expenses, making your dream of homeownership a reality! 

NeighborWorks® Sacramento CalHome Mortgage Down Payment Assistance loans provide up to $50,000 to income qualified households. These down payment assistance loans are deferred over 30 years at 3% simple interest (3.185% APR). CalHome loans are offered to households that have a combined household income at or below 80% of the Area Median Income (AMI) for Sacramento County. CalHome loans must be used to purchase a home within Sacramento County limits. This program is provided in partnership with the California Housing and Community Development Department (HCD) 

Should you have questions connect with our lending team via email: lending@nwsac.org.

If you are interested in using CalHome to purchase a home, you will start by working with one of our approved lenders.  Once you are approved for a first mortgage with them, they will submit a CalHome application with us.  If you would like to work with a housing counselor to build a plan for purchasing a home, click here.

Homebuyer(s) Eligibility must meet the following requirements:

  1. You will occupy your home as your primary residence.
  2. You will hold fee simple title to your home.
  3. The applicant’s gross income does not exceed 80% of Sacramento County median income for the number of persons in the household.
  4. You are an eligible first-time home buyer, having not owned a primary residence during the three years prior to applying for assistance under the NeighborWorks® Sacramento’s CalHome Mortgage Assistance Program.
  5. You will be required to pay one percent (1%) of the Purchase Price from your own funds. Your one percent (1%) investment Cannot be borrowed or gifted.
  6. You have attended a Homebuyer Education course at NeighborWorks® Sacramento facility and can provide the Certificate of Completion. Online courses are not allowed.
  7. FICO Credit score must be at least 640. All open collections to be paid prior to closing.
  8. Your housing expenses will not fall below 28% or exceed 38% of your gross income and your total combined debts cannot 45% of your gross income.
  9. First mortgage must be a 30-year fixed mortgage and the lender is required to collect and manage impound accounts for payment of taxes, assessments, and hazard and/or floor insurance for the term of the first mortgage loan.
  10. Purchase a home in Sacramento County. * NeighborWorks® Sacramento will defer to HCD for a maximum allowable sales price for single-family homes.
  11. Work with one of the preferred lenders (list below)

Approved NeighborWorks® Sacramento Lenders:

NeighborWorks® Sacramento partners with a wide spectrum of financial institutions that value building equity for low to moderate income households in Sacramento County providing a pathway to homeownership.  Click the button in the left column to view our Approved Lenders List.

Licensed by the California Department of Business Oversight under the California Residential Mortgage Lending Act

License #417-0042