Below Market Rate Housing in San Francisco (Lotttery)

The San Francisco Below Market Rate ("BMR") Inclusionary Housing Program requires developers to sell 15% of units in new, private developments at a "below-market-rate" price that is affordable to low to moderate income households. The program is administered by the Mayor’s Office of Housing (known as "MOH") and currently includes over 750 ownership units. At least 100 new units to become available each year.

To get into a BMR an applicant is placed into a lottery and there are no guarantee!

Program Highlights:

How the BMR Units are Priced?

Most BMR units are priced to be affordable to median income households spending no more than 33% of their income on housing expenses. We price the units to include condominium association fees, property taxes, the current interest rate, and we assume a 10% down payment from the buyer.

Maximum Income

The majority of projects will be available to households with a combined income of no more than 100% of median income, although some will be available to households whose income is at 80% or 120% of median income. The amounts are adjusted on an annual basis. Our office will update these income maximums between March and May of each year.

100% of Median Income for the City and County of San Francisco 2008

*
A one person household can make no more than $58,050
*
A two person household can make no more than $66,300
*
A three person household can make no more than $74,600
*
A four person household can make no more than $82,900
*
A five person household can make no more than $89,550


For more information please visit the following website: San Francisco BMR

Credit Problems? You can still get a mortgage!

Worried that you can’t qualify for a home loan due to lack of credit?

Did you know that some lenders will approve your loan even if you have NO FICO SCORE?!

Yes NO FICO score. Work with your mortgage professional to gather documentation to submit “alternative credit” to the lender. This is done by simply getting letters from companies and/or individuals such as your auto insurance company, PG&E company, cell phone company, cable provider, or your landlord. Have them type a letter on a company letter head that simply states you have been a customer for at least a year, you are in good standing, you have paid “x” amount on-time for the past year (2 years is even better!) and their information for reference, Signed and dated. DONE! This will be submitted to the credit bureaus as alternative credit and added as a credit supplement. So if credit issues are stopping you from buying in this great real estate market…. Get off the fence and contact me today to guide you through the process of home ownership.

NEW Loan Program - .5% (half percent) down payment

There is NEW Loan Program available to buyers. The program only requires .5% (Half Percent) down payment. This program is utilized as two loans. The rate today (Rates are subject to change) would be 5.5% on the first loan and 8% on the second loan. No FICO score required. Full documentation of income, assists and debt are required by the lender. If you would like more information on this program contact me today! (415) 336-8191.

3R Report San Francisco - What is it?

3R Means Report of Residential Building Record. San Francisco keeps a record from the 1900's that allows buyers to see the history of a property.

**NOTE** Some records were lost in 1906 (Earthquake) and are ONLY as valid as the information given and the individual inputting the information into the computer.

What is a Residential Building?

A residential building is a building or a portion of a building containing one or
more legal dwelling units. Hotels or motels containing 30 or more guest rooms are not
considered residential buildings. Therefore, a Report of Residential Building Record (3R) is not needed.

WHAT IS A REPORT OF RESIDENTIAL BUILDING RECORD (3R REPORT)?

A 3R contains the following information about
a residential building:

- Address of the building including
condominium or unit number if an

- Block and Lot

- Present authorized occupancy or use

- If the property is classified as a
Condominium
- If the building contain any Residential Hotel
Guest Rooms

- Zoning district

- Building Code Occupancy Classification

- Expiration date for non-conforming use

- Building construction date

- Original occupancy or use

- Building permit application history and


status of building permit:

N = Unknown
I = Issued
X = Expired
C = Completed

- Franchise Tax Board lien
- Abatement case on the property
- Number of residential structures on the lot
- If energy inspection has been done and
proof of compliance has been issued The above information will be shown on the
report if available through the Department of Building Inspection microfilm records. In many cases, submittal of additional records from other city agencies such as the
Assessor’s Office and SF Water Department will be required for the completion and/or
revision/update of a 3R. Please note that a 3R does not list the electrical or plumbing permit history, cancelled or withdrawn building permit applications and any
building permits taken for the commercial portion of the building.

WHEN DO I NEED A 3R?

A 3R is needed prior to the sale or exchange of any residential building; except for the first sale or exchange of a newly constructed residential building within one year of the date of the Certificate of Final Completion of the construction of the building.

It shall be unlawful for the owner and/
or representative of a residential building
to sell or exchange without providing the
buyer a 3R.

See 2007 San Francisco Housing Code,
Section 351 (a).

HOW DO I OBTAIN A 3R?

The owner or authorized agent (person licensed by the State of California to sell
property, trustee or power of attorney) may request a 3R by filing out an application
form. Forms are available at the Public Information Counter located on the 1st floor of 1660 Mission Street or on our website at http://www.sfgov.org/dbi under “Forms and Checklists.” You may also request to have the application form mailed or faxed to you by calling (415)558-6081.

You may request 3R in person or mail your application form and payment to:

Department of Building Inspection
Customer Service Division
1660 Mission Street
San Francisco, CA 94103
Attn: 3R

Buying can save you $241,359 over 30 years!

***The Following calculations are based off of paying $3,000 in rent per month. Purchasing a home for $500,000 with 3.5% down payment. Each individual calculations may be different. For a specific rent vs own scenario please contact me today! (415) 336.8191*** Rent vs. Buy Analysis		Rent	Buy
Rent and fees		$1,273,127
Mortgage payments			$854,500
Property insurance	+		$6,644
Property taxes	+		$365,414
Maintenance	+		$12,000
Opportunity cost (tied-up equity)	+		$1,583,431
Tax savings (interest/taxes)	-		$136,296
Appreciation	-		$1,660,971
Total cost	=	$1,273,127	$1,024,720
Present value at inflation		$760,973	$519,614
Difference			$241,359

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Year	Rent & Fees	Mortgage Payment	Insurance, Taxes & Maintenance	Opportunity Cost	Tax Savings	Appreciation	Cost of Buying
1	$36600	$28483	$6000	$3038	$6502	$25000	$6020
2	36966	28483	6280	5122	6414	26250	7222
3	37336	28483	6574	7307	6323	27562	8480
4	37709	28483	6883	9598	6227	28941	9796
5	38086	28483	7207	12000	6128	30388	11174
6	38467	28483	7547	14517	6024	31907	12616
7	38852	28483	7905	17157	5916	33502	14126
8	39240	28483	8280	19925	5804	35178	15706
9	39633	28483	8674	22826	5687	36936	17360
10	40029	28483	9087	25868	5564	38783	19091
11	40429	28483	9522	29057	5437	40722	20903
12	40833	28483	9978	32401	5304	42758	22800
13	41242	28483	10457	35907	5165	44896	24785
14	41654	28483	10960	39583	5021	47141	26863
15	42071	28483	11488	43436	4870	49498	29039
16	42491	28483	12042	47477	4713	51973	31316
17	42916	28483	12624	51714	4550	54572	33699
18	43346	28483	13235	56156	4379	57300	36195
19	43779	28483	13877	60813	4201	60165	38807
20	44217	28483	14551	65696	4016	63174	41541
21	44659	28483	15258	70816	3823	66332	44403
22	45106	28483	16001	76185	3621	69649	47399
23	45557	28483	16781	81814	3411	73132	50536
24	46012	28483	17601	87716	3192	76788	53820
25	46472	28483	18461	93905	2964	80627	57257
26	46937	28483	19364	100394	2726	84659	60856
27	47406	28483	20312	107198	2478	88892	64624
28	47880	28483	21307	114333	2219	93336	68568
29	48359	28483	22353	121814	1949	98003	72697
30	48843	28483	23450	129658	1668	102903	77020