GSFA OpenDoors® Program - Conventional
Best For: First Time Homebuyers, Low Down Payments, Zero Down
The GSFA OpenDoors® Conventional Program provides up to 7% in assistance as a deferred second mortgage with 0% interest and no monthly payments.
Program Description
The GSFA OpenDoors® Program helps low-to-moderate income homebuyers in California purchase a home by providing down payment and/or closing cost assistance. It is a second mortgage that provides up to 7% of the first mortgage amount, which must be a GSFA OpenDoors® Conventional first mortgage. The assistance has a 0% interest rate and its repayment is deferred until the house is paid off, refinanced or sold. The loan program is serviced by Gateway Mortgage Group, a division of Gateway First Bank.
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GSFA OpenDoors® Program - Conventional
Min. Credit Score
620
Min. Down Payment
0%
Max Loan Amount
$726,200
Qualification variables shown here are for 1-Unit Primary Residences, and loan amount ranges vary based on US County. Register Now to see if this loan program is a good fit for you, find your county limits, and find more options for purchasing a home.
Program Benefits
Benefit type: Up to 7.00% of 1st Loan Amount
Type: Deferred Payment Standard 2nd Mortgage Grant Program - Repayable
The OpenDoors® Loan is a deferred 30-year second mortgage of up to 7% of the first loan with 0% interest and no monthly payment. It can be combined with GSFA gift funds and it is due upon sale of property, payoff of the first loan, or refinancing.
First Mortgage Program Option
This program can be used in tandem with the following first mortgage programs in order to help fulfill down payment requirements, pay closing costs, or provide other benefits. Learn all about how grants, bonds & 2nd mortgages work here.
Pros & Cons
- Program is NOT limited to first time homebuyers.
- Flexible or no income limits (based on county and first mortgage)
- Credit scores as low as 620
- Payment on assistance funds is deferred for the life of the loan
- Assistance funds have a 0% interest rate
- Limited funding available
- Higher gift amounts increase the interest rate
- Assistance is only deferred, not forgiven
- Manufactured homes not allowed
- Multi-family properties (2-4 units) not allowed
Program Availability
GSFA OpenDoors® Program - Conventionals are available in 1 state.
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“When down payment and/or closing cost are getting in the way of you becoming a homeowner, the OpenDoors® Program can help you make your dream of purchasing your new home a reality."
Occupancy & Property Types
Qualification factors for this program can vary based on how you intend to occupy the property and what type of property you are purchasing. By registering for a free account , you can check program limits for all property and occupancy types.
Occupancy Types
Available Property Types for Primary Residence
Income & Purchase Price Limits
Your Debt-to-Income Ratio (DTI), as well as purchase price and income limits, are important factors when qualifying for a home loan program. By registering for a free account , you can find the exact program limits for this program and others in your area and for your unique scenario.
Debt-to-Income Limit
50.00%
Purchase Price Limit
No Limits
Income Limit
$51,120 - $133,280
Annual Qualifying Income
Qualification variables shown here are for 1-Unit Primary Residences, and loan limit ranges vary based on US County. Amounts may be rounded. Exact amounts can be accessed by registering for a free account.
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Key Features
- Down payment assistance up to 7% of the first loan amount
- Funds may be applied towards down payment and/or closing cost
- A portion of the assistance can come from GSFA gift funds
Additional Conditions
- Homebuyer education is required if for at least one borrower if any of the borrowers are a first time homebuyer
- Only available for owner-occupied properties—the borrower(s) must live in the home as a primary residence
- Non-occupant co-borrowers are not allowed
Other Limitations
In some circumstances, there are specific requirements you must meet or homebuyer education courses you must attend in order to be eligible for the loan program.
No other program limitations
A Homebuyer Education Class may be required for this loan program.
Class Name: CreditSmart® Homebuyer U or Other
If all borrowers are first time homebuyers, then it is mandatory to complete approved homebuyer education or counseling. Freddie Mac CreditSmart® Homebuyer U or Fannie Mae HomeView are approved options that can satisfy this requirement.
Mortgage Insurance & Fees
Most mortgage programs require mortgage insurance when you are financing more than 80% of the purchase price or appraised value. Some programs may also have an associated funding fee, paid at the time of closing, or an annual fee. Learn all about the different fees here.
No Mortgage Insurance
This program does not require Private Mortgage Insurance (PMI).
Type: GSFA Servicer's Funding Fees
Additional fees for the OpenDoors® Program include a servicer's funding fee, tax service fee, and flood certification fee.
Type: No Annual Fee
This program does not have an annual fee.
Estimated Closing Costs: 2.5% 0.5%
These amounts are just an estimate. Your closing costs include things like loan origination fees, discount points, appraisal fees, title insurance, taxes, deed recording fees, and other charges.
Similar Loan Programs
If you think this home loan program may be a good fit for you, you may also want to check out the following programs that share many similarities with the current program.
GSFA Platinum® "Assist-to-Own" Program
Best For: First Time Homebuyers, Low Down Payments, Zero Down
GSFA Platinum® "Assist-to-Own" Program provides up to 5.5% in down payment assistance in the form of a deferred payment mortgage combined with a gift.
GSFA Platinum® "Select" Rural
Best For: First Time Homebuyers, Zero Down
The GSFA Platinum® "Select" Rural Program provides up to 5% in down payment assistance in combination with the USDA first mortgage.
Related Resources
2023 Credit Score Guide and Tips for Improvement
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Knowing Your Mortgage Insurance Options (Conventional Loan PMI)
PMI is an important part of getting a mortgage, but it can vary in cost. Learn about the different types and what you should consider when budgeting for it here.
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2023 Down Payment Assistance Guide
Unless you're related to a dragon or leprechaun with a hoard of gold stashed away somewhere, chances are you are like one of the other 87% of homebuyers who need to finance their home purchase.
Read MoreVisit our Mortgage Education Center for more resources.
* Some loan programs may not be offered by all featured lenders of ReviewMyMortgage.com and qualification guidelines may vary between them. Our team makes their best effort to keep loan program information up to date. Loan programs may change without warning. ReviewMyMortgage.com does not guarantee or offer any loan products. ReviewMyMortgage.com is strictly an educational resource hub for consumers
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