Town of Paradise First Time Home Buyer Program

Town of Paradise First Time Home Buyer Program is a deferred second loan for homebuyers in Paradise, California. Gap-financing deferred loan. Lender pre-qualifies borrower; Town fills the affordability gap. 30-year term. Interest 1% accrues only first 10 years. Secured by note and deed of trust. Deferred low-interest gap loan based on Federal 2025 Income Limits to assist first-time homebuyers in Paradise (Butte County). Loan amount = gap between affordability and home price. 1% interest accrues for first 10 years only. Funding comes from State/federal grants (CDBG, HOME).

Town of Paradise First Time Home Buyer Program is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off. Repayment is triggered by sale, change of primary residence, title transfer, or end of 30-year term. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Town of Paradise First Time Home Buyer Program is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time homebuyer" usually means not having owned a home in the last three years, but the program sets its own definition. A homebuyer education course is required, through Required - HUD-approved. Sourced via Homebuyer Wallet (CA260154). Must be a first-time homebuyer (no homeownership in prior 3 years). 1% interest accrues only during first 10 years. Loan due in 30 years OR upon sale, change of occupancy, or title transfer. Funded through CDBG and HOME state/federal grants.

Town of Paradise First Time Home Buyer Program sets its income limit as follows: Per Federal 2025 Income Limits (Butte County), low-income (80% AMI). The limit applies to total household income, not only the borrower’s. Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

Town of Paradise First Time Home Buyer Program can be used for Single-family, Condo, Townhouse.

Town of Paradise First Time Home Buyer Program serves homebuyers purchasing in Paradise, California.

Applications for Town of Paradise First Time Home Buyer Program go through the administering agency. Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.