Congressman Salud Carbajal Announces $550,000 in Middle-Income Downpayment Assistance Grants for First Time Homebuyers on Central Coast
37 grants of $50,000 awarded to first-time homebuyers across California, including 11 on the Central Coast
SANTA BARBARA, Calif., November 28, 2023 – Today, Congressman Salud Carbajal (CA-24) announced that $550,000 in downpayment assistance grants for middle-income home buyers are being awarded to first time homebuyers on California’s Central Coast through the Federal Home Loan Bank of San Francisco (FHLBank San Francisco).
The 11 awards for Central Coast home buyers come from a new pilot program provided through the federal-backed bank to support aspiring California homeowners that are increasingly being left behind in the face of rising home prices and now rising interest rates with the resources necessary to close on their mortgages.
“Owning a home is a dream that is becoming less and less of a reality for Central Coast residents, and a primary obstacle is the down payment required by homes whose prices have been rising to even more unobtainable levels with rising interest rates,” said Rep. Carbajal. “I’m glad to see our federally-backed banks set up with the explicit purpose of supporting housing accessibility in our communities exploring more ways that they can provide the support needed to make a dent in California’s deepening housing crisis.”
The FHLBank San Francisco's Middle-Income Downpayment Assistance Program was launched in May to provide matching grants of up to $50,000 per household in California, with funds coming not from taxpayers but from private support through the bank’s partner institutions.
“Fostering home ownership for all of the working class across our region is at the core of our mission, and we are committed to continuing to funnel critical funding into the heart of the communities we serve,” said Teresa Bryce Bazemore, President and CEO of FHLBank San Francisco. “This is the first year of our Middle-Income Downpayment Assistance Program, and its creation was an important step to voluntarily increase the Bank’s ongoing investment in homeownership and other programs that make a difference in underserved communities. We’re grateful for Representative Carbajal's support and engagement and for the enthusiastic participation of our member lenders in California that made our program's inaugural year such a success.”
According to the California Association of Realtors, fewer than 15 percent of home buyers could afford to purchase a median-priced, existing single-family home in California from July to September 2023.
That same report found San Luis Obispo and Santa Barbara counties to be some of the least affordable counties in California, with each requiring at least a minimum income of $226,800 to purchase a median-priced home.
Ventura County also scored below the statewide average, with only 13% of home buyers able to afford a home in the same period of 2023.
Rep. Carbajal has made lowering housing costs for Central Coast residents and finding solutions to California’s housing crisis a key priority of his time in Congress.
Earlier this year, he attended the groundbreaking of a new affordable housing community in Guadalupe that was made possible in part through funding he directly secured in the 2023 federal budget.
Congressman Carbajal’s work in Congress has also delivered $4 million to support the operation of the Anderson Hotel in San Luis Obispo, which provides housing options to low income individuals in the region.
Rep. Carbajal is also one of the co-authors of the Housing for All Act, a landmark bill that would provide ten years of new and increased funding for construction of new housing units, rental assistance, hotel and motel conversions, and more.
Rep. Carbajal originally introduced the Housing for All Act in 2022 alongside California Senator Alex Padilla and Representative Ted Lieu.
Other FHLBank San Francisco grant programs that are benefiting Californians this year include the Bank’s Affordable Housing Program (AHP), which awarded $26 million in 2023 to projects that will create or rehab 2,420 units of housing affordable to lower-income families and individuals in California; its annual WISH First-Time Homebuyer grants that are available to homebuyers earning up to 80% or less of; $2.9 million in total funds were allocated through a matching grant program between FHLBank San Francisco and their members to in-state housing counseling agencies dedicated to Empowering Black Homeownership, and $120,000 in 2023 AHEAD economic development grants were given to innovative nonprofit initiatives in California’s 24th District.
About Federal Home Loan Bank of San Francisco
The Federal Home Loan Bank of San Francisco is a member-driven cooperative helping local lenders in Arizona, California, and Nevada build strong communities, create opportunity, and change lives for the better. The tools and resources we provide to our member financial institutions — commercial banks, credit unions, industrial loan companies, savings institutions, insurance companies, and community development financial institutions —propel homeownership, finance quality affordable housing, drive economic vitality, and revitalize whole neighborhoods. Together with our members and other partners, we are making the communities we serve more vibrant, equitable, and resilient.
About Congressman Salud Carbajal
Rep. Salud Carbajal represents California’s 24th Congressional District, encompassing Santa Barbara County and portions of San Luis Obispo County and Ventura County. He is a member of the Agriculture and Armed Services Committees, as well as the Transportation and Infrastructure Committee, where he serves as the top Democrat on the Coast Guard and Maritime Transportation Subcommittee.