Downpayment assistance loans for first-time homebuyers
in San Mateo County
Together with Meriwest Mortgage, HEART has created a customized loan package that is not offered by any other lender. Our goal is simple: to help you buy a home with a 5% downpayment.
Working with Meriwest Mortgage, a wholly owned subsidiary of the not-for-profit Meriwest Credit Union, HEART has created an entirely new loan package that helps qualified moderate-income families earning not more than $150,000 and who have not owned a home in San Mateo County in the last 3 years and meet other qualifications, buy their first home in San Mateo County, or to move substantially closer to transit in the county.
* Guidelines current as of July 2009. Subject to change based on rapidly changing market conditions. Check back often for updates, or call Meriwest at (408) 363-3451.
How does the Opening Doors Program work?
Together with a Meriwest Mortgage first home mortgage loan, HEART of San Mateo County offers a below-market rate second loan up to $78,225 to help facilitate a home purchase with a minimum of 5% downpayment.
Based on the maximum sales price of $521,250, with a conforming first mortgage amount limit of $417,000, the maximum 2nd mortgage loan amount available is $78,225. Borrowers can put more money down on a home purchase above the $521,250 limit, however, the first and second mortgages remain at the previously described limits.
The 2nd mortgage allows for an 80% loan to value ratio on the first mortgage. The purchaser is not required to buy private mortgage insurance for this loan. This results in significant savings to the homeowner of thousands of dollars in annual mortgage insurance premiums.
The Meriwest Mortgage first loan products that will be available for this special program are:
a 30-year fixed rate, a 5/1 adjustable rate mortgage (ARM) 30-year full amortizing and 5/1 ARM adjustable 40-year loan fully amortizing.
In combination, these loans reduce the monthly payment to the homeowner. Note the maximum loan is subject to change depending on marketing conditions. The first mortgage may be up to 80% Loan to Value.
Who Qualifies?
In order to qualify for this loan, you must meet a few specific requirements. There aren’t many of them, but they are important, and you must be able to prove that you meet each and every one of them. Please review the list below and check those to which you can answer “yes.”
Guidelines current as of July 2009. Subject to change based on rapidly changing market conditions. Check back for updates, or call Meriwest at (408) 363-3451.
- Do you and your family earn $150,000 or less each year?
- Do all borrowers have good credit – FICO score 680 or higher?
- Is the purchase price of the property you want to buy $521,250 or less?
- Do you currently live or work in San Mateo County?
- Is the home you are purchasing in San Mateo County?
- Have you NOT owned a home during the past 36 months, OR, if you have, will you be selling your current home and buying one that is substantially closer to transit in San Mateo County?
- Will the total household debt to income ratio be less than 45%?
- Will you be able to make a down payment of 3% of the purchase price?
- Will you be able to demonstrate continuous employment for 24 months prior to application?
- Do you have 5% downpayment available?
If you answered yes to these questions, you may qualify for Opening Doors. To begin the application process and find out for certain if this program is right for you, click on the APPLY NOW button. You will be taken to the website of Meriwest Mortgage, a subsidiary of Meriwest Credit Union, and you will be asked to begin an application for a mortgage loan
If you have problems accessing the site, have questions, or need further information, please call HEART at (650) 872-4444 ext. 4#, or email pstinson@heartofsmc.org.
FAQ
Q: What do I do if I have more questions?
A: You can download a full set of Frequently Asked Questions here: Opening Doors in Our Community FAQ
Q: What are the interest rates?
A: Interest rates in today’s market are changing rapidly. For today’s interest rates, please click this link for Meriwest Mortgage’s current rate sheet.
Q: How is the program funded?
A: HEART’s donations from local employers fund the program. HEART continues to raise funds to enable this program to grow and serve even more local employees. Please click on the Donate Now button to make a gift, or contact Paula Stinson at (650) 872-4444, ext. 4#, pstinson@heartofsmc.org Thank you!
