City loaning money to buy distressed properties

LOS ANGELES - The city of Los Angeles has $10 million to loan eligible homebuyers seeking to purchase a foreclosed home.The Neighborhood Stabilization Walk-In Homebuyer Program provides loans up to $75,000 for low-income homebuyers and $50,000 for moderate-income homebuyers. If repairs to the home are needed, the city will provide an additional $75,000 to habilitate the property. To be eligible, applicants must not currently own residential property, meet income requirements, obtain a qualified first mortgage loan from a Housing Department participating lender, and receive eight hours of homebuyer education from a HUD-certified educator. Eligible properties consist of foreclosed-upon single-family detached homes, townhomes or condominium units located in "stabilization" neighborhoods in Los Angeles. To qualify for the low-income loan, an applicant's annual income must be less than $63,450 for a family of four. For the moderate-income loan, annual income must be less than $95,150 for a family of four. For more information, including maps of eligible neighborhoods, go to http://lahd.lacity.org/nsp or call (213) 808-8800.

********** Published: August 28, 2009 - Volume 8 - Issue 19