Home Buyer Assistance Program






The City of Port Hueneme's Home Buyer Assistance Program (“HBAP”) provides down payment assistance to qualified low-income, first time home buyers.  The financial assistance is in the form of a low interest, deferred-payment loan secured by a Deed of Trust.  Loan proceeds may only be used toward the purchase of a single-family home, condominium, or townhome located within Port Hueneme.

HBAP Loan Amount. The City’s down payment assistance is designed to serve as gap financing. The actual loan amount is based on the borrower's financial need and may not exceed the lesser of the following:
 

• 20% of the purchase price

• 20% of the appraised value

• $40,000

First Time Buyer. A first time buyer is defined as a person who:
 

• Has not owned a home inside or outside the U.S. in the past three years.

• Has previously owned a home with a spouse, but no longer holds title due to a divorce.

• Has owned a home not permanently affixed to a foundation (a mobile home).

Income Limits. The projected gross annual income may not exceed the following: 

Family Size	1	2	3	4	5	6
Maximum Annual Income	$49,850	$57,000	$64,100	$71,200	$76,900	$82,600

Down Payment. The Borrower must contribute a minimum of 3.5% of the purchase price. At the discretion of the participating lender, part of the minimum down payment may be gift funds provided that the borrower contributes 1.5% of the purchase price (minimum of $5,000) from his or her own savings.

Monthly Payment. The HBAP loan is a deferred loan.  Monthly payments are not required. 

Interest Rate and Loan Terms. The HBAP loan accrues simple interest ar a rate of 3% per year and must be repaid after thirty years, or at such earlier time if any of the following occurs:

• The property is sold or title is transferred
• The Borrower no longer occupies the property as a principal residence
• The property is refinanced

The entire amount of the principal plus accrued interest is due in one lump sum at the time of the payoff.  It may be repaid at any time without a prepayment penalty.

Home Buyer Education. Borrower must successfully complete a City-approved homeownership education program. 

Credit Standards. The minimum credit score for HBAP assistance is 620. The Borrower’s housing costs may not exceed 45% of income.

Purchase Price Limit. The maximum purchase price may not exceed 95% of the median price in Ventura County for a single-family home.

Post-Purchase Occupancy. Borrower must continuously reside in the property purchased with HBAP assistance and must agree to provide, on an annual basis, information and documentation requested by the City to verify compliance with the terms of the loan. 

Financial Capacity. Borrowers must qualify for a thirty-year fixed rate first mortgage through the participating lender approved by the City of Port Hueneme. Co-signers who will not reside in the property are not permitted.

Code Compliance. Eligible property must comply with local land use regulations, building codes, and Federal Housing Quality Standards. Defective paint surfaces must be tested for lead-based paint. Corrections, if required, must be made in accordance with all State and Federal standards. At the City’s discretion, and in all cases where property is sold “as is,” a code compliance inspection will be required and HBAP loan approval may be contingent upon the completion of specified repairs.

City Contact:  For more information about the program, call or email City staff: 

                                        Jennifer Arriola 
                                        Community Development Specialist 
                                        Phone: (805) 986-6552 
                                        Fax: (805) 986-6675 
                                        Email