ROSEVILLE, Calif. — SchoolsFirst Federal Credit Union has launched a mortgage grant program aimed at helping California educators and school employees overcome the upfront costs of buying a home, according to the credit union.
The School Employee Mortgage Grant Program offers eligible school employee members $7,500 to be used toward a down payment or closing costs on a California home purchase.
SchoolsFirst FCU said the program was created in response to growing affordability challenges facing teachers, instructional aides and classified school staff, many of whom can afford monthly mortgage payments but struggle to save enough for upfront homebuying expenses.
Who Qualifies
According to the credit union, the program is available to school employees who have not owned a home within the past three years. SchoolsFirst FCU said the eligibility requirements are intended to extend beyond traditional first-time homebuyers and include educators rebuilding financially after divorce, longtime renters and individuals who previously sold homes.
Funds for the program are limited and will be distributed on a first-come, first-served basis, the credit union said.
SchoolsFirst FCU said housing affordability has increasingly become a recruitment and retention issue for California school districts, with some educators commuting long distances, remaining renters indefinitely or leaving the profession because of housing costs.
The credit union said the grant program can be paired with its School Employee Mortgage offering to help reduce barriers to homeownership in high-cost housing markets.
Minding the Gap
Andrea Blais, senior vice president of real estate lending at SchoolsFirst FCU, said the program is designed to address the gap between affordability on paper and the cash needed to complete a home purchase.
According to the credit union, the grant may help educators accelerate home purchases that could otherwise take years of additional savings, while allowing them to establish roots in the communities where they work.
