CAFA First Home Bond
Down Payment Assistance Program
Helping low to moderate income buyers in various parishes in Louisiana with 5% down payment assistance or closing costs.
.png)
First Home Bond Advantages
Down Payment Assistance
Government interest rate at 6.58% with 5% assistance.
Flexible Fund Usage
Funds can be used for down payment, closing cost, or prepaid items.
.png)
Competitive Interest Rate
Below market interest rate available.
CAFA First Home Bond Loan Requirements
Here’s what you’ll need to get started.
- Credit Score Minimum credit score of 620
- Income Limit Varies by Parish
- Debt-to-income ratio AUS approval
- Occupancy required Within 60 days of closing
- Homebuyer Education Informative homeownership course required
Qualifications
The home loan that unlocks opportunities
Qualifications
The home loan that unlocks opportunities.
- Approved parishes outlined by CAFA
- Purchases only
- Must be a first-time homebuyer*
- Single Family Homes, Condominiums or Townhouses
Connect with a Loan Expert
Our Loan Experts are available to answer all your questions.
Why People Trust Us
Experience: Leading community lender since 1988
Reliability: We hold over 90% of our loans
Flexibility: We offer a variety of loan options tailored to your specific needs
Coverage: Licensed in all 50 states and the District of Columbia
CAFA First Home Bond FAQs
What is the CAFA First Home Bond Program?
The CAFA First Home Bond program is a homebuyer assistance initiative aimed at helping first-time homebuyers in Louisiana. It provides affordable financing options and down payment assistance to make homeownership more accessible.
Who qualifies for the CAFA First Home Bond program?
This program is designed for first-time homebuyers or those who have not owned a home in the last three years. Applicants must meet income limits, credit score requirements, and other program criteria.
How much assistance is available through the program?
The program provides financial assistance for down payment and/or closing costs, with the amount set at 5% of the final first mortgage loan value.
What types of properties are eligible for purchase?
Eligible properties include single-family homes, townhomes, and condominiums that will serve as the primary residence of the buyer.
Are there any restrictions or conditions tied to the assistance?
Yes, the program requires that the home be used as the buyer's primary residence for a specific period. Additionally, the following repayment and forgiveness terms apply:
- Beginning with month 61, the assistance will be forgiven at 1/60th per month for every month the residence remains the Borrower’s principal residence. The first 60 months of the loan is not forgiven.
- Any remaining amount of the second mortgage will only be due from the borrower is the first mortgage is prepaid, refinanced or if the borrower sells, transfers or otherwise disposes of the property, including foreclosure, before the end of the 120 month period.