The Home Ownership Program (HOP) loan provides a second mortgage loan for first-time homebuyers with an assistance amount of up to $85,000, or 20% of the purchase prices, whichever is less.
The loan provides down payment and/or closing assistance and is secured with a Deed of Trust and Promissory Note.
The HOP offers 0% interest loans with a deferred payment. Repayment is required when the home is sold, there is a transfer of title, or the home is no longer owner-occupied.
To qualify, a homebuyer must not have owned a home in the last three years and the home must be owner-occupied.
If you are a first-time homebuyer and are interested in applying for the Program, contact a HOP participating lender to get pre-qualified. Only a HOP participating lender can submit a HOP application on your behalf. HOP applications will be accepted on a first-come, first-served basis.
- The applicants must be first-time homebuyers: no ownership interest in real estate at any time in the past three years
- Homebuyers must occupy the home as their principal residence
- The loan is secured by a second Trust Deed and Promissory Note
- Applicants must invest a minimum of 1% of the down payment, not including closing costs of their own funds
- All applicants must complete an eight-hour homebuyer education seminar from an approved U.S. Department of Housing and Urban Development (HUD) counseling agency
- Property cannot be occupied by tenants, unless it is a Tenant-Purchaser
L.A. County Median Income Guidelines – Effective April 1, 2021
80% COUNTY MEDIAN INCOME
*Income not to exceed maximum amount per family size.
No. of Persons in Household / Income Limit
1 / $66,750
2 / $76,250
3 / $85,800
4 / $95,300
5 / $102,950
6 / $110,550
7 / $118,200
8 / $125,800
- The maximum purchase price allowed for existing or new homes is $585,000 for Single-Family Homes, Condominiums, and Townhomes
- All properties built before 1978 are required to have a visual Lead-Based Paint Inspection and must pass the inspection before loan approval
- Click here to make sure the property is in the unincorporated area of Los Angeles County or in one of the HOP Participating Cities
All HOP applicants must complete an eight-hour first-time homebuyer education seminar and obtain a Certificate of Completion from a HUD-approved facilitator. The LACDA must receive a copy of the certificate before the close of escrow.
For a list of HUD-approved facilitators, please click here. You may also visit HUD's web site at www.hud.gov.
Please contact one of the participating lenders to start the process of getting pre-qualified.