HUD's new Neighborhood Stabilization Program

(NSP) provides targeted emergency assistance to state and local governments to acquire and repair foreclosed properties that might otherwise become sources of abandonment and blight.

The City of Stockton is proposing to use $12.1 million of NSP funds that have been allocated by HUD to acquire and repair foreclosed residences; to offer downpayment and closing cost assistance to low- to moderate-income homebuyers; and to demolish blighted structures. HUD set income maximum at 120 percent of area median income.  In Stockton, that means $73,600 for a family of four.

The Neighborhood Stabilization Program also seeks to protect future homebuyers by requiring that new homebuyers using this program obtain a mortgage loan from a lender who agrees to comply with sound lending practices.

Link to HUD's Neighborhood Stabilization Program

Link to City of Stockton Action Plan Amendment for the NSP

Link to Neighborhood Stabilization Program Fact Sheet

(These documents are in PDF format. If you do not have Acrobat Reader, you may download the free version, click here )

NSP Down Payment Assistance Program

In conjunction with the Neighborhood Stabilization Program (NSP), the City will provide financial assitance to qualified homebuyers to help with down payment costs. Basic terms of the program include:

Income Limit: 120% of area median income

Loan Amount: Maximum 5% of purchase price, plus closing costs

Homeowner Investment: Minimum of 1.5% of purchase price

Interest Rate: 3%

Loan Due Dates:

Loan of less than $15,000 - 5 years

Loan of $15,000 - $40,000 - 10 years

Loan of $40,000 or more - 15 years

Eligibility: Residency or employment within the City of Stockton for a minimum of one year.

For information on the City's standard DAP Program, click here

Questions & Answers  

Q:  Will the NSP Down Payment Assistance Program replace the City's existing

      Down Payment Assistance Program ?

A:   No

Q:   When does this program start?

A:   The program opened on April 6, 2009.

Q:  How can I obtain more information?

A:  As updated information becomes available, the City will make an effort to update

      this website every two weeks.

For more information contact:

City of Stockton Revitalization Department

Housing Division

425 N. El Dorado Street, Third Floor

Stockton CA, 95202

Phone (209) 937-8539

Fax (209) 937-5099