Antioch Home Ownership Program (AHOP)
Application and Approval Steps
Primary steps to obtain AHOP Program approval include:
- Submit an AHOP application for Program Prequalification
- Secure a Program Prequalification Notification
- Secure preliminary 1st Lender and City Program Approval
- Commence your search for a Program Eligible Antioch Property
- Obtain Final Program Approval from the 1st lender and the City
- Close the purchase transaction – including receiving funding from AHOP sources
Program Application Submittal
Households must submit an application to BAAHA to receive a Preliminary Prequalification Notification to advance their efforts to secure AHOP subsidy approval. Review the following requirements and steps prior to submitting an AHOP application:
- Do not submit your application until you have thoroughly reviewed the parameters and guidelines to qualify for AHOP subsidies.
- Determine if you qualify to participate in AHOP subsidies. Direct questions or concerns you have regarding qualifying requirement by email to info@myhomegateway.com. Only submit an application if you have assessed that you qualify and want to participate in securing AHOP subsidies.
- Read and follow the AHOP application instruction provided.
- Fill out every section of the application that relates to your household. BAAHA will not accept or process incomplete applications.
- To be accepted, the application must include the requested census information, and the application must be acknowledged to be truthful under the penalty of perjury and signed.
- Households are not required to have identified a 1st Lender or a real estate agent to submit an AHOP application.
Contact BAAHA at info@myhomegateway.com if you are having difficulties accessing/downloading the PDF application from the website. BAAHA can email you a PDF version of the application.
Household members do not need to have a Homebuyer Education certificate to submit an AHOP application. A Certificate of Completion must be provided prior to closing an AHOP transaction.
Program Prequalification Notification (PPN)
BAAHA conducts a preliminary review of the submitted Program Application to determine the household’s eligibility to advance efforts to secure AHOP Program Approval. If deemed eligible, BAAHA will issue the household an AHOP Program Prequalification Notification (PPN). A PPN is not a program approval. The PPN provides the household the consent to proceed forward with securing a Preliminary AHOP Program Approval. BAAHA will not commence with an AHOP Program Approval until the household receives a PPN from BAAHA.
PPNs are underwritten and issued based on information provided in the AHOP application. False or inaccurate information provided in the application could disqualify a household from moving forward with Program Approval. The Program Approval applies a comprehensive underwriting process to make certain all information provided in the AHOP application is accurate. To prevent Program disqualification, make certain to provide accurate and complete information in your Program application.
BAAHA will take the following items into consideration to issue an AHOP PPN:
- Household meets AHOP Program eligibility requirements
- Household has the financial capacity and wherewithal to participate in an AHOP subsidy
- The estimated maximum purchase price falls within the minimum purchase price requirements to participate in the AHOP.
When issuing a PPN, BAAHA will provide a preliminary estimated maximum purchase price for the household. This estimated maximum purchase price will be based on information provided by the applicant in the Program Application. The PPN price provided is an approximation of the maximum price the household can apply towards purchasing a home. A final maximum purchase price is reviewed and provided when the household secures a Preliminary 1st Loan Approval from their 1st lender.
Purchase Capacity
When issuing a PPN, BAAHA will provide a preliminary estimated maximum purchase price for the household. The maximum purchase price will be determined from information provided in the Program Application. This estimated maximum purchase price will be based on providing a household the maximum AHOP subsidy (from all subsidy sources) of $112,000. BAAHA’s maximum purchase price calculation will incorporate the amount of income, savings, and debt stated in the application. The calculation will also employ the most favorable accessible interest rate offered through the AHOP program. An Applicant may be disqualified from receiving a PPN if the household does not have the financial capacity to purchase a home within the minimum price range for homes in Antioch. Minimum purchase price capacity will be determined by the size of the household. Households will be provided the ability to purchase a home that has a bedroom count that is the household plus one (see table below).
1 person household = maximum 2 bedrooms
2 person household = maximum 3 bedrooms
3 person household = maximum 4 bedrooms
4 person household = maximum 5 bedrooms
6 person household = maximum 6+ bedrooms
etc.
Home Prices
BAAHA has conducted a comprehensive study of Antioch sales prices from July of 2021 to July of 2022. During that time Antioch home sale prices have ranged from $160,000 to $1,568,000, with a median price of $650,000. Below is a representation of the median, low, and high sales prices for one to six plus bedroom homes in Antioch. The table below also provides the number of homes sold for specific bedroom sizes. These prices are derived from data provided through the California Association of Realtors and analyzed by BAAHA.
Program Qualified List
Households with an AHOP PPN will be placed on a Program Qualified list. Households on the Program Qualified List can advance their efforts to secure AHOP Program Approval. Maintaining a household’s name on the AHOP PPN list will allow BAAHA to maintain a preference order for AHOP participants. All applicants that have received a PPN can advance their efforts to obtain AHOP Program Approval. However, households who currently live and or work in Antioch will be provided a preference to participate and capture an AHOP City subsidy in case of a tie-breaker. A tie-breaker situation will only occur if:
- There are two applicants competing with a bid on the same home
- There is only one subsidy allocation remaining
Households should always keep in mind that there are limited funding resources and households will receive Program approvals and funding on a first come first served basis.
Preliminary 1st Lender and City AHOP Approval
The next step for AHOP PPN households is to secure 1st loan approval from a certified Program lender. There are two stages in securing a 1st lender loan approval. The first “Preliminary” stage financially approves the household to purchase a home. In the second approval stage, the lender approves applying the loan for the specific property an AHOP participant will be purchasing.
AHOP’s Preliminary Program approval process will only commence after the household has secured the Preliminary 1st lender approval from a BAAHA/City certified 1st mortgage lender. Preliminary 1st lender approval must also be obtained prior to the household commencing with their home search and purchase process. The first lender approval process will:
- Confirm the household’s maximum purchase price for their Antioch property
- Establish the capacity and eligibility for the PPN household to participate in the WISH and other Grant Programs the 1st lender has access to.
- Pre-approve the household for the WISH and other Grant Program the 1st lender has access to.
- Enable the City/BAAHA to perform their underwriting process and issue a Preliminary Program Approval for the household to purchase a home and secure City funded AHOP subsidy. A final Program approval is issued by the City and the 1st lender after the household has entered into a purchase contract; and the property is approved to be financed by the 1st lender and the City.
Property Search and Purchase Requirements
General Requirements
Key considerations AHOP participants must take into account when searching for your home include:
- City of Antioch Location - AHOP participants securing AHOP City funds must purchase a home within Antioch’s City Limits
- Type of Home – the home must be a single residential unit which could be a detached single family home, condominium, or townhome. No other property types are allowed into the AHOP Program.
- Good Condition – the home must be in good move-in condition and not have any outstanding required structural and Section 1 repairs. Section 1 repairs are usually related to areas in the home that have active termite infestation or other wood-destroying insects or organisms like dry-rot fungus (likely caused by water intrusion).
- Property Must Be Vacant or Owner occupied – AHOP does not allow displacement of renters from a home an AHOP participant is purchasing. The home could be occupied by owner residents who will be moving out at the time the home is sold.
Purchase Requirements
The following home purchase requirements must be upheld to secure final AHOP approval:
- Forty-five (45) day escrow period – Upon finding a home, the purchase offer cannot have less than a 45-day escrow period. Forty-five days are required to complete the Program approval process (including reviewing and approving all inspections and appraisal reports), draw Program related documents, and route documents through City staff.
- Property inspection(s) – The buyer and/or seller must provide a general property inspection and termite/pest inspection produced by independent licensed inspectors to BAAHA/City.
- Property appraisal – the City/BAAHA will require the delivery of an independent property appraisal which must demonstrate that the purchase price of the property is equal to or less than the contracted purchase price. The 1st lender will almost always provide a property appraisal the City will review.
- Escrow Requirements – Given that government generated subsidy funds are applied towards the transaction, no cash back or refunds to the borrower above $250 is allowed at the close of an AHOP transaction.
Purchase Representation
The buyer must be represented by a California licensed real estate agent. AHOP participants are responsible for providing BAAHA the name and contact information of their agent. A real estate agent does not have to be identified to submit an AHOP Application. BAAHA has a strong preference that escrow services are conducted by an escrow company that has experience in working with City Programs.
Final 1st Lender and City AHOP Approval
A final 1st Lender and City AHOP Approval will be provided after:
- The AHOP participant has received Preliminary Approvals from the 1st Lender and the City.
- The AHOP participant has located and placed a ratified offer on a property located in Antioch. The contract must have at least a forty-five (45) day close for AHOP to provide their final Program approval.
- The property meets all the structural condition requirements and is appraised at or higher than the purchase price (as represented in the ratified purchase contract).
First Come First Served
There is a finite and limited amount of funding available from all AHOP subsidy sources. Funding will be distributed to Program Approved households who have entered into and closed a purchase contract on a first come first served basis. The City/BAAHA will issue Program Prequalification Notifications until such time that the Program subsidy sources run out of funds. In the case that there are multiple applicants that have secured Preliminary Approval; applicants that either live or work in the City of Antioch will be provided a higher priority to receive funding.