First-Time Homebuyers

To qualify for the Hercules First-Time Homebuyer Program, applicants must meet the first-time homebuyer criteria as per federal requirements. Furthermore, the applicant’s property must be:

• Within the City of Hercules;
• A single family unit (detached, town home, or condominium)
• A previously occupied or sold unit

Terms and conditions of the loan include:

• Maximum assistance loan amount of up to 20% of purchase price, not to exceed $75,000.00
• Loan is provided as a silent second and/or down payment assistance
• Loan is deferred for a period of 10 years
• The repayment period is twenty (20) years
• Interest rate on the loan is three percent (3%) simple
• Program requires buyer contribution equal to three percent (3%)
  (funds can be used for down payment or closing costs)
• Interest does not accrue during deferral period (first ten years)
• No pre-payment penalties
• Several restrictions apply to home and buyer during a specific time period
• Restrictions end upon full repayment of loan assistance