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CalPERS offers 100% financing in three different ways.
A) The CalPERS Personal Loan Option - by combining two loans. This is achieved in the following manner:
- A single CalPERS conventional mortgage , CalPERS Jumbo mortgage, or a CalPERS FHA mortgage guideline loan.
- and a 5% personal loan secured by your CalPERS retirement account which covers the down payment only.
You will have two separate loans and two separate payments. Following are some features of the CalPERS personal loan program:
- The personal loan amount cannot exceed the lesser of:
- up to 5% of home value or purchase price.
- up to 50% of available amount of the members contributions to retirement account, or
- the maximum loan amount for the county in which the property is located. (FHA only)
- but the personal loan cannot ever exceed $18,421
- Personal Loan terms range from 1-15 years.
- Members (excluding retired members & Tier II State of California Employee's) with accumulated employee contributions credited to their retirement account are eligible for 100% financing. Employer contributions cannot be used to secure a personal loan.
- Maximum Sales price is $368,421 or $350,000 first mortgage and $18,421 personal loan.
The 100% financing options is designed for those members who would otherwise not be able to purchase a home.
Call us at (209) 728-9898 for additional information and a current CalPERS mortgage rate quote.
Here is the second type of CalPERS 100% mortgage financing options.
B) The CalPERS CitiSecond program. This offers a second mortgage and does not require any minimum vesting requirement or a personal loan.
- The maximum loan is up to $650,000
- CalPERS second mortgage is a fixed rate and fully amortized with amortization from 1-20 years depending on the loan amount.
- There is no income limitations for this second mortgage.
Call us at (209) 728-9898 for additional information and a current CalPERS mortgage rate quote.
Finally, the third 100% financing option for CalPERS loans.
C) CalPERS ACCESS Program. This is also a second mortgage but can be used for down payment and / or closing cost assistance. Some highlights of the CalPERS ACCESS loan program. This mortgage program is for purchase loans only.
- Maximum ACCESS loan size is up to 7% of the sales price.
- No minimum vesting requirement, all CalPERS members qualify.
- The CalPERS ACCESS program can only be used with single family homes, condominiums, and planned unit developments (PUDS)
This program is also available under the FHA ACCESS Second mortgage. This loan is identical to above but use FHA underwriting guidelines for the first mortgage. Like the conventional program above the FHA ACCESS program is up to 7% of the sales price and is fully amortized for 20 years.
Call us at (209) 728-9898 for additional information and a current CalPERS mortgage rate quote.
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CalPERS Loan Comparison |
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The CalPERS home loan program offers many advantages to its members. Following is a comparison chart of the CalPERS loan program vs. other financing options.
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CalPERS Home Loan |
vs. |
Conventional & FHA Loans |
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Two Float Down Opportunities |
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No Float Down Available |
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100% Financing Available |
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N/A |
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No Unauthorized Discount Points/Max. 1.25% Origination Fee* |
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Can Be Charged Unlimited Discount Points/Origination Fee |
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Controlled Document Preparation Fee** |
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Approx. $250-$500 Document Preparation Fee*** |
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$200 Processing Fee*** |
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$250 - $500 Processing Fee*** |
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Third Party Reviews/Underwrites All Loans**** |
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N/A |
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Participation Strengthens Retirement System |
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N/A |
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CalPERS Home Loan |
vs. |
VA Home Loan |
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Two Float Down Opportunities |
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No Float Down Available |
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No VA Funding Fee |
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VA Funding Fee, Generally 2% |
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Controlled Discount Points/Max. 1.25% Origination Fee* |
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Can Be Charged Unlimited Discount Points/Origination Fee |
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No Document Preparation Fee** |
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Approx. $250-$500 Document Preparation Fee*** |
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$200 Processing Fee*** |
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Approx. $250 - $500 Processing Fee*** |
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Min. 2.25% Equity In Property When Loan Closes***** |
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Debt May Exceed Home Value When Loan Closes |
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CalPERS Home Loan |
vs. |
CHAFA Home Loan |
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Two Float Down Opportunities |
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No Float Down Available |
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100% Financing Available |
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100% Financing Available |
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Maximum 1.25%
Origination Fee* |
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Maximum 1.00% Origination Fee |
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No Recapture Tax |
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Recapture Tax Possible |
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Can Rent If Occupied Residence For 1 Year |
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Can Not Rent Residence without CHFA Approval |
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Funds Always Available |
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Funds Always Available |
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* |
Maximum of 1 percent origination fee for CalPERS government purchase money loan. Also, an additional 0.25 percent discount fee for government CalPERS refinances may be charged to the borrower. |
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** |
If a third party vendor to your lender is providing the documents, there may be a document preparation fee. |
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*** |
FHA/VA does not allow these fees to be charged to the borrower. However, these fees are typically passed indirectly to the borrower in other program transactions. |
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**** |
A $40 Underwriting Fee is collected on a CalPERS conventional loan. There is a $125 Underwriting Fee on a CalPERS government loan (cannot be charged to the buyer in a government transaction — may be charged to the seller). |
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***** |
1.25 percent, if property value $50,000 (government only). Five percent if conventional CalPERS financing. |
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This chart is a general comparison only. We recommend you compare fees and costs before choosing a loan. Many other loan programs have higher closing fees and do not offer the benefits of the CalPERS Member Home Loan Program.
Call us at (209) 728-9898 for additional information and a current CalPERS mortgage rate quote. | | |
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