The $6,000 maximum an IDA can contribute toward buying a home doesn't go too far in the Bay Area, where the median price of a new or used condo or single-family home in May was $660,000, according to DataQuick Information Systems.
Also, IDAs that receive federal funding can only be provided to those with very low incomes. The income cap is $20,000 for an individual and $40,000 for a family of four at the time of enrollment. Most Bay Area nonprofits that offer IDAs receive federal funding, so the income restrictions apply here.
Friday, July 20, 2007
IDAs can propel you into Business Ownership
This article in the Oakland Tribune last week by Eve Mitchell, titled "IDAs can propel you into home ownership," actually makes the point that, in the Bay Area, IDAs probably won't allow you to own a home.
But the article goes on to suggest other ways to make that down payment happen, including pooling IDA funds with family members, and pursuing low-interest loan programs.
It's an interesting read. Have a look.