Digital News Report – The California Housing Finance Agency is looking for help to stem the slide in home prices. Higher unemployment has prompted the California agency to make some changes.
The agency has been around since 1975 and is self supporting. The CalHFA is known for helping low to moderate income families get a foothold. Now they will help the unemployed make their house payments, paying up to $18,000. Besides assisting homeowners in buying new homes, the agency will help the unemployed stay in their home.
The program began taking applications on Monday. So far some of the largest lenders have signed up. GMAC, Chase, Bank of America and Wells Fargo will be participating. Citibank will also be on board soon.
Like similar federal programs, there are many aspects to the CalHFA. A release today indicates that they make a special effort to help minorities. “California Civil Code requires any state agency, board or commission, which directly or by contract, collects ancestry or ethnic demographic data to use separate collection categories and tabulations for each major Asian and Pacific Islander group.”
The agency also offers below-market interest rate mortgages for low income families and ethnic minorities. Minorities may not be served by the lenders.
By Tina Brown