First Time Home Buyer, Mortgage Down Payment Assistance Program January 27, 2026
City Council
Orlando Reyes, Assistant Director
Discussion
Establishment of First Time Homebuyer, Mortgage Down Payment Assistance Program (MDPAP) Implements 2023-2031 Housing Element - Expands housing affordability and opportunities Complements rental assistance and housing stabilization programs Draft presented to City Council for authorization to submit to HCD and launch MDPAP
Expanding Housing Affordability and Stability
Rental Assistance Program – providing direct support to households facing housing insecurity.
Emergency Solutions Grant (ESG) Program – supporting homeless services and shelter operations.
Affordable Housing Development Partnerships – leveraging state and federal resources to expand the supply of affordable units.
First Time Homebuyer, Mortgage Down Payment Assistance Program Proposal The Mortgage Downpayment Assistance Program will:
Provide eligible moderate-income families and individuals with a low interest, deferred payment loan for the purchase of their first home to utilize as their principal place of residence.
Support transition from renting to homeownership
Continue to evolve based on:
Applicant feedback
Market conditions
Emerging best practices
Funding availability
City priorities
Key Program Components
Key Program Components Contd.
Implementation Timeline
CEQA Consideration
The City of Salinas has determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378). Any subsequent discretionary projects resulting from this action will be assessed for CEQA and NEPA applicability.
Strategic Plan Initiative
Advance Housing Affordability and Opportunities at all Income Levels Fiscal and Sustainability Impact
No General Fund Impact
Project will be funded though the PLHA program
No additional staffing requested
Recommended Motion
A motion to approve a Resolution
Establishing the First Time Home Buyer, Mortgage Down Payment Assistance Program (MDPAP); and Increasing the estimated Permanent Local Housing Allocation (PLHA) grant revenue from allocation years 2021 and 2022 by $1,034,137; and Authorizing the City Manager, or designee, to promulgate the MDPAP guidelines, and negotiate and execute all applicable forms, conditional commitment letters, agreements, and subsequent amendments as needed to implement the MDPAP Program.
Questions?
For more information, contact the CDD Housing Division at (831) 758-7334
https://www.cityofsalinas.org/Your-Government/Departments/Community-Development