FAQ
 

Frequently Asked Questions

What is the San Diego Foundation Access Granted Homebuyer Program (AGHP)?
This is a down payment assistance program for underserved first-time homebuyers. LISC and San Diego Foundation will grant qualifying homebuyers up to $40,000 to be applied toward the purchase of their first home using one of our Participating Lenders as a mortgage provider

Does the grant have to be repaid?
No. The $40,000 administered by LISC a pure grant, as in, a gift to the recipient. No repayment required. However, repayment terms may apply for the lender administered down payment assistance grant. Please consult with your Participating Lender to confirm details.

How do I qualify? 
You may qualify if:

  • You are from an underserved community
  • You are a first-time homebuyer
  • You have completed homebuyer education from a HUD-certified provider
  • You qualify for mortgage and down payment assistance from an AGHP-approved lender
  • Your household is at or below the 120% area median income limit

Can you please explain the income limit you mentioned?
Your housing and mortgage counselors will explain this in greater detail as various parties have different ways of defining their qualifying income. AGHP will defer to the Participating Lender's interpretation of income level.

Who qualifies as a first-time homebuyer?
Defined as at least one of the below per the Federal Home Loan Bank of San Francisco, effective December 6, 2019:

  • The potential homebuyer or spouse has had no ownership in a principal residence for a three-year period ending on the purchase date of the property. If either qualifies under one of these requirements, both are considered First-Time Homebuyers.
  • The potential homebuyer is a single parent who has only owned a home with a former spouse while they were married.
  • The potential homebuyer is a displaced homemaker who has only owned a home with a spouse.
  • The potential homebuyer is an individual who has only owned a principal residence not permanently affixed to a permanent foundation, according to applicable regulations.
  • The potential homebuyer is an individual who has only owned a property that was not in compliance with state or local building codes and which cannot be brought into compliance for less than the cost of constructing a permanent structure.

What do I need to do to participate?
Here is a general example of the process. It may differ based on your individual circumstances, and your local representative will be able to provide more detailed steps when you connect.

  • Step 1: Contact the Urban League of San Diego County (housing@sdul.org). Take homebuyer education classes. Learn what you need to know about homeownership, from finding and financing a home to managing the financial responsibilities and more from the Urban League or any other HUD-certified counseling agency. If you have already completed HUD-certified homeownership counseling another, please provide your completion certificates to the San Diego Urban League and they will advise on any further action required, and as our official intake provider, will help you gather all the information you will need in preparation for speaking with a mortgage lender.
  • Step 2: Get a mortgage preapproval. Your AGHP program-approved lender will help you get a better understanding of your budget, how much you can borrow for a monthly mortgage payment and any additional down payment assistance you may be eligible for.
  • Step 3: Work with a real estate agent to find a home. Your preliminary assessment from your lender will help your agent show you homes in your price range. From the time your lender provides an indication of your mortgage eligibility, you will most likely have roughly 90 days to find a home, make an offer, and put it in writing.
  • Step 4: Once the offer is accepted you will sign a purchase contract. Move forward with home financing and reserving your AGHP grant by completing this application. Work with your lender through the mortgage approval process that takes you to closing. Grantees must schedule and complete a mandatory Q&A session with LISC prior to closing.
  • Step 5: Close on your new home. It’s time to celebrate the final step, becoming a homeowner.

Can I complete HomeBuyer Education (HBE) online?
Yes, you may complete HBE online as long as it is a HUD-certified provider. The Urban League and Participating Lenders can refer you to their preferred online provider. Pre-purchase counseling must be completed with a representative from a HUD-certified couseling agency. All completion certifications/materials must be filed with the Urban League of San Diego County.

Can I buy a home anywhere and use this down payment assistance program?
The program is currently limited to San Diego County. Participating Lenders may have more specific location requirements identified in their down payment assistance approval criteria.

Do I need to buy a house to get the grant?
Yes. You must be approved for a mortgage and lender down payment assistance for the purchase of a home to receive the grant.

Does it matter what kind of property I’m buying? 
Primary residences only. Eligible property types include:

  • Single family (attached or detached)
  • 2 to 4 units
  • Condos
  • Townhomes
  • Planned unit developments
  • Co-ops
  • Land trusts
  • Manufactured home that meets first mortgage requirements

Is there a minimum credit score I need to qualify for the down payment assistance?
Credit score required will vary by lender. However, you must be approved a mortgage by a program-approved lender and complete homebuyer education from an approved provider to qualify for down payment assistance. Credit evaluation is a key part of the mortgage qualification process.

How do I get my bank added to the Participating Lender list?
Please direct your lender to our How It Works page for a general overview and contact information. We would love to add them to the program!

I’m self-employed. Are the qualifications different?
No, but you need to follow the mortgage guidelines and provide the information required for self-employed borrowers.

Can I use the program to reduce my current mortgage?
No. Down payment assistance is not applicable for refinancing. It is only available for home purchases.

Can I still qualify if someone outside of my household is joining me on my mortgage?
No. Down payment assistance is only available for members living in the household.

How is this program made possible?
This program is founded and seed funded by San Diego Foundation Community Investment Fund and LISC and powered by the San Diego Urban League and LISC San Diego.