City of Pleasanton First Time Home Buyer's Assistance, Down Payment Assistance, Mortgage Credit Program

Pleasanton is located in an area of high housing costs typical of the San Francisco Bay Area. Recent data on house sales compiled by Bay East Association of Realtors® indicate that the median sales price for single-family homes in Pleasanton is approximately $822,500 in 2007, while the median price for condominiums is slightly over $534,500.

Pleasanton House Sales Prices
Reprinted with permission of the Bay East Association of Realtors®, March 2007 (www.bayeast.org)

In addition to sales of existing homes, there are many new home developments which are currently under construction in Pleasanton. Sales prices for new homes in the area generally start in the $900,000’s, although custom homes and larger production homes on large lots are significantly more expensive. Information on new home developments in Pleasanton can be obtained through the local newspapers or in new home publications.

Pleasanton Home Ownership Assistance Program (PHAP)

Since 1992, the City has had a program to assist first-time home buyers in overcoming the obstacle of high local housing costs to be able to purchase homes in Pleasanton. The affordable homes, part of new subdivisions, have been achieved through negotiation and collaboration between the City and various home builders. To date, these efforts have resulted in the development of over 120 below-market priced homes in ten developments. The homes have included a variety of housing types which have been sold based on several different programs at below-market prices ranging from the low-$100,000’s to the low-$200,000’s.

The purchase of these affordable homes has generally been restricted to owner-occupant, first-time home buyers. The homes have been designed to be affordable to households at varying income levels ranging from 50% to 120% of the Area Median Income (AMI). The most recent projects have been targeted at 80% of the AMI (approximately $67,000 maximum annual income for a household of four persons in 2007).

Due to competition for the affordable homes, eligible buyers are typically selected through a lottery system, with priority going to Pleasanton residents and employees. In some cases, second mortgages have been offered by the City or through other sources to bridge the gap between a minimum down payment and the amount of the primary loan so that buyers can qualify to purchase the homes. Additional assistance has sometimes been available through the Mortgage Credit Certificate (MCC) program, in which eligible home buyers can receive a credit on their annual taxes to lower their monthly housing payment. To ensure continued affordability over time, most PHAP homes include restrictions controlling the maximum sales price and maximum income of subsequent buyers when the homes are resold.

Information on current opportunities for the purchase of below-market priced homes can be obtained by contacting the Tri-Valley Housing opportunity Center (925-373-3930 or the City of Pleasanton Housing Division (925-931-5007).
Housing Finance Programs

In 2003, the City received an allocation of HELP (Housing Enabled by Local Partnership) funds from the California Housing Finance Agency (CalHFA) to introduce a new Down Payment Assistance (DPA) program to low and moderate income buyers of homes in Pleasanton. The program provides up to $60,000 in down payment assistance for low-income buyers and up to $40,000 for moderate-income buyers. Assistance is in the form of a low-interest (3%) loan that is partially deferred. Buyers are responsible for obtaining a first mortgage with a CalHFA-approved lender at a fixed interest rate with no negative amortization, balloon payment or adjustable rate features. Click on the links below to view and download the brochure, application, and detailed guidelines for the DPA program. For additional information, contact the City’s Housing Division at 925-931-5007.

o DPA Program Brochure (pdf)
o DPA Program Application (pdf)
o DPA Program Guidelines (pdf)