Neighborhood Stabilization Program
The 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 down payment and closing cost assistance to low-to-moderate income home buyers; and to demolish blighted structures. HUD set income maximum at 120 percent of area median income. In Stockton, that means $75,700 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.
For further information regarding the purchase of a foreclosed home, contact any of the following non-profit developers below:
Service First of Northern California at (209) 644-6300
S.T.A.N.D. at (209) 937-7625
Villa Real at (209) 460-5024
Visionary Home Builders of California at (209) 466-6811
NSP Down Payment Assistance Program
In conjunction with the Neighborhood Stabilization Program (NSP), the City will provide financial assistance to qualified home buyers 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% year 1-15, 0% year 16-30
Loan Term: Deferred, 30 years
Eligibility: Residency or employment within the City of Stockton for a minimum of one year
Applications must be submitted to the Economic Development Department,
by 5:00 pm, January 12, 2012.
For more information, please contact the Housing Division.
This City of Stockton web page last reviewed on --- 12/13/2011