Home Ownership Program

First-Time Homebuyers Assistance

First-Time Homebuyers Assistance

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.

GET STARTED

Program Announcements

HOP applications will be accepted from HOP Participating Lenders on the following dates:

Wednesday, January 12, 2022 – Eight Applications
Wednesday, March 2, 2022 – Eight Applications

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.

To become a participating lender, you must receive HOP training from the LACDA. Please click here to register for the next training.

Step 1: Confirm Your Eligibility

- 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

Step 2: Verify Income

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 / $66,250

2 / $75,700

3 / $85,150

4 / $94,600

5 / $102,200

6 / $109,750

7 / $117,350

8 / $124,900

Step 3: Find a Home Within an Eligible Area

- 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

Homes purchased under HOP must meet State and local codes. All health and safety issues on the home inspection report must be repaired prior to close of escrow.

Participating Cities

Agoura Hills
Arcadia
Avalon
Azusa
Bell
Bell Gardens
Beverly Hills
Calabasas
Claremont
Commerce
Covina
Cudahy
Culver City
Diamond Bar
Duarte
El Segundo
Hawaiian Gardens
Hermosa Beach
Hidden Hills
Irwindale
La Cañada Flintridge
La Habra Heights
La Mirada
La Puente
La Verne
Lawndale
Lomita
Malibu
Manhattan Beach
Maywood
Monrovia
Rancho Palos Verdes
Rolling Hills Estates
San Dimas
San Fernando
San Gabriel
San Marino
Santa Fe Springs
Sierra Madre
Signal Hill
South El Monte
South Pasadena
Temple City
Walnut
West Hollywood
Westlake Village

Step 4: Homebuyer Education Seminar

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.