State offering 40-year mortgages for first-time homebuyers
From today’s San Francisco Business Times…
A state agency that helps first-time homebuyers introduced a 40-year fixed mortgage on Wednesday.The California Housing Finance Agency already offers 30-year fixed and 35-year interest only mortgages.
All three mortgage options are offered at below market, fixed interest rates.
The fixed rate on the 40-year mortgage will initially be 5.75 percent, about one point below average market rates for 40-year mortgages.
Loans from CalHFA are available to low- and moderate-income first-time homebuyers who meet CalHFA income limits and who are buying homes that fall at or below CalHFA sales price limits, which are pegged to home prices in each region.
Price limits for San Francisco (found in this PDF document) are as high as $768,000 for new construction properties and $757,000 for resale properties (depending on certain buyer and property criteria).
