The City of Santa Monica is accepting applications for loans under its TORCA Shared Appreciation Loan Program. Under this Program, the City may make Shared Appreciation Loans to low- and moderate-income households, to assist them to buy condominiums in buildings which have been converted under TORCA (Tenant Ownership Rights Charter Amendment).
Loans are available for up to $110,000, depending on your household size, the size of the condominium, the purchase price, and your income. Under this loan program, the City is repaid its principal and a share of the appreciation of your home at the time of resale. No monthly payments are required.
In order to be eligible for this program, you must meet household income limits described in the Program Guidelines. In addition, you must currently live in the unit that you are interested in buying, and meet other program guidelines.
These loans are designed to be used together with a separate loan from a bank, savings and loan or other lender (also known as first mortgage lender). You may seek such a loan from any lender you wish; however, terms of these loans are subject to approval by the City, and adjustable rate loans with negative amortization will not be allowed.