GSFA Celebrates 30 Years Paving a Path to Homeownership in California

Golden State Finance Authority (GSFA) celebrates 30 years paving a path to homeownership for lowand-moderate income California households, having helped over 85,000 individuals and families to purchase a home and provided more than $660 million in down payment and closing cost assistance. Join us as we showcase our beginning, our mission, and the many achievements of the past three decades.

GOLDEN STATE FINANCE AUTHORITY’S BEGINNING

GSFA was organized as a Joint Powers Authority (JPA) in 1993 by the Rural County Representatives of California, under the original name California Rural Home Mortgage Finance

Authority and represented 18 counties in California. As the JPA expanded its membership across the state, the name was changed to Golden State Finance Authority in February 2015.

Today membership includes 56 counties and hundreds of cities across California with financial assistance programs throughout the state.

Our vision to address housing affordability and the commitment of an innovative and missiondriven team over the span of three decades, hails a proven champion for affordable and responsible homeownership and economic development in California.

85,000 Individuals and Families Helped $660 Million in Down Payment and Closing Cost Assistance Provided

Why Homeownership Matters

Research compellingly supports that homeownership leads to positive social and economic outcomes for families, communities, and the country. The National Association of REALTORS® Research Division reviewed various studies on homeownership and concluded in their December 2016 paper “Social Benefits of Homeownership and Stable Housing,” that “Homeownership boosts the educational performance of children, induces higher participation in civic and volunteering activity, improves health care outcomes, lowers crime rates and lessens welfare dependency.” z Promotes Civic Engagement z Yields Better Physical and Psychological Health z Reduces Crime

MAKING AN IMPACT – CHANGING LIVES

“One of my favorite roles is when I receive letters or get to interview new homeowners who want to share their appreciation for the down payment assistance from GSFA,” said Carolyn Sunseri, GSFA Director of Marketing and Stakeholder Relations. “For many people, they don’t believe that down payment assistance is a reality. Or they think that because of some challenge they have faced in their life or their finances, they don’t think homeownership is a possibility. It brings me such joy to hear how proud they are to now own their own home.”

1. A COUPLE RETURNING TO THE HOUSING MARKET AFTER FINANCIAL HARDSHIP

Greg and Christine Jefferson faced financial hardship during the great recession in 2009, ultimately losing their first home and filing for bankruptcy. A few years later, they were ready and wanting to own a home again, but with a fixed income as retirees, the prospect of saving up for the down payment seemed daunting. “It was horrible”,” said Christine. “We never even thought, we just figured we’re older now, we will just rent, we gotta live somewhere we will just rent a house. We had just resigned that homeownership was just out of our reach.” After seven years of renting, they learned that it only takes three years after a bankruptcy for someone to be able to apply for a mortgage again. Excited, they contacted a lender to get started, but ran into a problem coming up with the money for a down payment.

Homeownership Benefits: z Brings Stability to Neighborhoods z Has a Positive Impact on Educational Achievement

“At the time we had a “pre’ approved” loan from our lender. We had looked at several homes and finally settled on and submitted offers on them. It was at that point that although we had a “Pre Approval” amount from the lender it did not include the “Down Payment’ which turned out to be substantial as both of us are retired and living on a fixed income,” said Greg Jefferson. “Next entered our “Angels” in the form of The “Golden State Finance Authority”, said Greg.

In 2017, GSFA furnished the Jefferson’s with a gift of 3.5% of their loan amount to cover the required down payment on their new home purchase, making homeownership possible again.

“There is a story in the Bible where Jesus healed 10 sick people. Only one came back to say thanks. I know that GSFA is not Jesus but you were Jesus to us on that day!!” said Greg.

2. A MOTHER DETERMINED TO SEE HER SPECIAL NEEDS SON THRIVE AT HOME

As a single mom, Melanie Christian watched her severely disabled son become more and more depressed, afraid and hopeless living in a group home environment. She began to pray for a solution that would allow her to care for him at home, manage his medical issues, schooling and behavior.

“I was living in a room with roommates after placing my son with disabilities into a group home. It was the hardest thing I have ever done. I was grieved and sad and overwhelmed by the separation, but I was also dealing with so much stress that I couldn’t take care of him alone anymore,” said Melanie. “I had a great job as an interpreter for the deaf. However, living in the bay area was difficult to afford even with a good salary. I needed to be in a place that I could afford and that would allow me to feel financial relief on a minimal income so that I could stay home more and take care of my son. I had been looking in several areas as I worked on my credit and took care of my finances.”

She heard about down payment assistance from GSFA from her loan officer, who was familiar with her situation and “her heart,” she said. In 2017, she bought a home for her family.

“She had so much compassion for my story and for Lukas. She worked so hard to help us in every possible way to get the loan and all the help available. She assured me I would be able to handle the closing costs with the help of your assistance,” said Melanie. “I am more than grateful. I prayed specifically for this. I did not want to seek help from my family in obtaining this loan for my new home. I knew God would provide. He did that through this assistance. Thank you!”

3. A DREAM COME TRUE FOR AN AFRICAN AMERICAN MAN FROM THE DETROIT PROJECTS

Real estate is a larger factor in net worth. According to the Federal Reserve 2019 Survey of Consumer Finances, someone who owns a home has a median net worth of $255,000 versus a median net worth of $6,300 for someone who does not. But the U.S. Census Bureau also reported that the homeownership rates for Black, Hispanic and other non-white ethnicities falls far below those of white households.

For the past three years, GSFA has engaged in a concentrated marketing and outreach campaign to bring education to underserved communities about down payment resources for homebuyers, with the goal to improve the homeownership rates of non-white households and help them build financial security through homeownership. The impact on individuals and families who once thought homeownership was out of reach is palpable, as noted by Marvin Randolph who purchased a home in 2021 with financial assistance from GSFA.

“I would have never believed that I could ever buy a condo. I love having this 3-bedroom, 3 bath home with 1,821 sq ft on a 2,911 sq ft lot. I thank Golden State Finance Authority Platinum Down Payment Assistance Program for their help to offset my down payment. I felt that I had attained the American Dream, which I had heard about, but never believe that I could accomplish, being a black man born and raised in the projects in Detroit,” said Marvin Randolph.

Financing For Energy Efficiency And Energy Storage

In 2010, GSFA expanded its operations into the provision of energy efficiency financing programs for residential and commercial properties. These programs were designed to help property owners improve energy costs, reduce the environmental impact of energy use and demand, and boost California’s economy through job creation. GSFA has participated in financing over

36,000 residential and commercial energy efficiency projects, totaling over $1 billion.

Ten years later, GSFA expanded its services even further, becoming a conduit for developers and contractors to access rebates for the installation of energy storage technology at both residential and commercial facilities. By providing bridge financing between grant approval and reimbursement, the financial hurdles for qualifying residents would be lightened, resulting in getting services to those who need it the most as efficiently as possible.

“Providing the best products and services possible while developing strong relationships with business partners that make our endeavors viable is the heart of our organization. At times this means juggling challenging financial markets and shifting priorities as the real estate market fluctuates.

I am proud to be a part of an organization that continues to innovate and evolve to improve the lives of so many.”

- Craig Ferguson, GSFA Deputy Director

Economic Development Projects With A Focus On Rural California

The agency’s impact on California’s economy over the past 30 years, and especially that of rural California, extends well beyond establishing affordable homeownership solutions. GSFA is now involved in a variety of economic development projects indirectly related to housing that provide transformative services to local communities and meet the needs of California’s growing population.

z Broadband Grant Funding for Rural California Counties z Volunteer Efforts with Charitable Organization z Emergency Disaster Assistance to Forest Fire Impacted Communitie z Loan Fund for County Infrastructure Projects

In the last few years, GSFA provided over $3.5 million in emergency disaster assistance to address the impact of forest fires on California residents. These funds were provided to assist residents with temporary housing as well as rebuilding or obtaining future long-term residences. The agency has also invested millions in broadband deployment, provided millions to advance wildfire resilience efforts, and established a one-of-a-kind revolving loan fund to assist counties with implementing infrastructure projects.

“All of these investments are designed to help rural California thrive. These milestone achievements would not be possible without the direction of our Board and the dedication of our amazing staff. I congratulate them all for their expertise and long-term commitment that has been integral to GSFA’s success.”

- Patrick Blacklock, GSFA Executive Director

z Partnership with USDA to Provide Down Payment Assistance Gifts

Enhance Curb Appeal

First impressions matter, especially when it comes to selling a house. The exterior of your property creates the initial perception for potential buyers, so it’s crucial to enhance its curb appeal. A well-maintained and visually appealing exterior can draw more interest and increase the likelihood of potential buyers exploring the interior.

Some simple yet effective ways to improve curb appeal include:

●Landscaping: Ensure your lawn is wellmanicured, plant flowers, trim bushes, and remove any clutter.