LIPA – Low Income Purchase Assistance

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Details on the LIPA Program

LAHD – LIPA -Key Points

LOAN AMOUNTS Low Income : up to $60,000 DPA

ELIGIBLE PROPERTIES www.lacity.org  – Council Districts 1-15 Zimas.lacity.org White section of Thomas Guide

2012 MAX INCOME LIMITS (as of 4/27/2012)

Household.         Low-80%     Mod-120% Size:                 Income:        Income:  1 Person         $47,250        70,800  2 Person         $54,000        80,950   3 Person         $60,750        91,050  4 Person         $67,450        101,150  5 Person         $72,850        109,250  6 Person         $78,250        117,350  7 Person         $83,650        125,450  8 Person         $89,050        133,250

OTHER KEY POINTS – must attend 8 hour class – must be occupied as primary res. – income from all adults 18+ included – CAN be used for down payment or closing costs

UNIQUE KEY POINTS – cannot be tenant occupied – City does Property Inspection – No illegal additions or structures – min F/E Qual ratio = 38%    (or 36% @ 0 debt) – max B/E 42%  (up to 50% with 2 comp factors) – max 105% CLTV

LOAN TERMS – deferred, no monthly payments – shared appreciation based on LTV

DOWN PMT REQUIREMENT – 1% min investment from own funds

PURCHASE PRICE LIMITS – $ 313,500

HOW TO SUBMIT AN OFFER – Contract verbiage 1. LAHD, or its designee, will perform a property inspection to determine if the property is up to code

2. Contingent upon receiving City Financing

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