California Housing Finance Agency
INTEREST RATE SCHEDULE
Effective August 9, 2007
Interest Rate1
FIRST MORTGAGE FIXED RATE LOAN PROGRAMS
interest only PLUSSM (35-Year Fixed Mortgage) Conforming IOP Loan
6.625%
interest only PLUSSM (35-Year Fixed Mortgage) Non-Conforming IOP Loan 6.625%
40-Year Fixed Mortgage 6.750%
Self-Help Builder Assistance Program (SHBAP)3 – Low Income Only 3.250%
30-Year Fixed Mortgage
Moderate Income 6.625%
Low Income2 6.250%
Nonprofits3 & Affordable Housing Partnership Program (AHPP) – Low Income Only 6.250%
Extra Credit Teacher Program (ECTP) 6.250%
HomeChoice Program 4.000%
Self-Help Builder Assistance Program (SHBAP)3 – Low Income Only 3.000%
DOWN PAYMENT ASSISTANCE PROGRAMS
Term matches term of first mortgage
High Cost Area Home Purchase Assistance Program (HiCAP)4
6.750%
CalHFA Housing Assistance Program (CHAP)
6.750%
California Homebuyer’s Downpayment Assistance Program (CHDAP)
3.000%
Extra Credit Teacher Program (ECTP)
5.000%
1 The interest rates are those in effect on the date shown. The down payment assistance loan interest rates are calculated as simple interest per annum. However, all of the rates shown are subject to change without notice. CalHFA does not lend money directly to consumers. CalHFA works through and uses approved private lenders to qualify consumers and to make all mortgage loans. The fees consumers pay could be different depending on the lender and the program.
2Lenders who obtain a reduced interest rate reservation for low income applicants who are subsequently determined to have an annual income that exceeds the low income limit will be offered the interest rate for moderate income families, assuming they meet CalHFA’s moderate income limits.
3Rates quoted for Nonprofit and/or SHBAP developers are offered only through the BLOCK Program. Nonprofit and/or SHBAP developers may use 180–day locks; however, the interest rate will be set at the rate available at time of lock.
4Eligible counties for the HiCAP program are Alameda, Contra Costa, Los Angeles (except Palmdale/Lancaster areas), Marin, Monterey, Napa, Orange, San Benito, San Francisco, San Luis Obispo, San Mateo, Santa Barbara, Santa Cruz, Solano, Sonoma, and Ventura counties.
Re-reservation (Relock) Fee Policy: CalHFA will allow re-reservation (relock) on 90- or 180-day locks. However, canceling a previously issued reservation locked at a higher rate and then relocked at a lower current established rate will result in a 1% re-reservation fee.
Late Delivery Fee: 1% penalty will be collected against loans delivered within the 30-day grace period for the 90-day lock for resale, 180-day lock on new construction, or the BLOCK Program. Nonprofit and/or SHBAP developers using the BLOCK Program are assessed only 0.50% late delivery fee.
BUILDER/DEVELOPER
NEW CONSTRUCTION FORWARD COMMITMENT
TERMS AND FEES
What interest rates are likely to be when the bottom is reached? Ie, if by 2010 we reach a 40% correction from 2005 prices – is there any way to predict what happens with interest rates?
Shiloh while interest rates can drive the housing market the housing market does not drive interest rates. So when the housing market reaches the bottom, the interest rate cycle will be determined by the economy, the lending environment, bond yields etc. We will hit bottom alot faster if/when interest rates go up.
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