Bay Area Affordable Homeownership Alliance, Inc.

Occupancy of Home

BAAHA

​First Lender Approval

Eligible BMR applicants must secure a 1st mortgage loan approval form a BAAHA certified 1st mortgage Lender.  A BAAHA certified 1st mortgage lender must be able to approve and fund their first loan in conjunction with the City’s BMR Program.  BAAHA can direct applicants to Certified 1st lenders. 

Eligible applicants must secure 1st lender approval prior to proceeding forward with securing BMR Program Approval.  Eligible applicants will be required to:

• Find a lender who is currently Certified, or can be Certified by BAAHA to finance a City of Millbrae BMR purchase.  If an eligible applicant does not have a 1st lender in mind; BAAHA can direct them to Certified lenders that have extensive experience originating BMR purchase loans, and meet City lender approval requirements.
  
• Secure 1st lender approval.  An eligible applicant may only proceed forward to enter into a purchase contract and securing a City BMR final Program approval after securing a first loan approval to purchase the BMR.​
  

Purchase Contract and Close of Escrow

Buyers applying for the WISH Program to purchase the one bedroom 1388 Broadway BMR must meet WISH Program eligibility requirements including (and are not limited to):

• Buyer/household must be a first time homebuyer that has not been on title or owned a real estate property in the past three years (from date of application)
• May not have a household income (adjusted for household size) that exceeds:

City Program Approval

Back to Top

Program participants may be disqualified from purchasing the BMR if their housing cost ratio is either below the minimum or over the maximum ratio allowances.

A housing ratio is the percentage relationship between total monthly costs to own the property in relation to the gross monthly household income that the City and/or first lender apply towards the housing ratio calculation.  Monthly housing costs include the principal and interest portion of the mortgage payment, property taxes, property and mortgage insurance, and home owners’ association fees (HOA).  The housing ratio is calculated by dividing the total housing costs by the gross monthly household income.  The City and 1st lender derive the gross household monthly income applied towards the ratio calculation.  Gross household income includes the household’s total income prior to all deductions from their payroll earnings.  Program eligible households may not have a floor housing ratio that falls below 28% (lowest allowed) nor exceed the maximum housing ratio of 45% (highest allowed).  ​

Program Application

A BMR application must be submitted by the household prior to viewing the property.  The BMR application must be submitted by the applicant and cannot be submitted by an applicant’s real estate agent and/or lender.  Program eligible applicants are required to visit and view the property prior to entering into a purchase contract.  Do not disturb the current occupants.

The following steps must be taken to purchase the Millbrae 1388 Broadway BMR:

• Read all the information provided on this webpage.  Be certain to understand the restrictions, requirements, and procedures to apply to participate in the Millbrae 1388 Broadway BMR program.  Questions regarding property and program information provided in this webpage must be directed by email to BAAHA at:  info@myhomegateway.com
  
• Download, fill out, and submit a BAAHA Program Application. Questions regarding the application must be directed by email to BAAHA at: info@myhomegateway.com
  
• ​​BAAHA screens all Program applications to determine applicant’s BMR Program eligibility​
  
• Eligible BMR Program applicants will be invited to view the property
  
• Eligible applicants will be required to secure 1st loan approval from a BAAHA certified 1st mortgage lender
  
• Upon securing 1st loan approval, BAAHA will complete underwriting the file to be submitted to the City for BMR Program Approval
  
• The eligible Program and 1st loan approved applicant will be invited to enter into a purchase contract, and undergo all required steps to purchase and close the BMR transaction.  The 1st lender loan approval, Program approval, and purchase process to close the transaction may take between sixty to seventy-five days (or more).​

Your Next Step

• The property transfers ownership/title – including renting out the property
  
• The property is refinanced with a cash out loan

BMR PROGRAM  APPLICATION

First Come First Served

Located in gated Park Broadway community.   In unit laundry, one bedroom with walk-in closet and one bath.  Kitchen has ample counter space and a breakfast bar.  Laminate wood floors throughout the unit.  Underground garage with one deeded parking space, and a separate storage room.  HOA amenities include an in-ground spa, exercise room, community room, and BBQ area.  Steps away from downtown Millbrae and close to 101/280, BART, CalTrain, and SFO.  Virtual 3D photo tour of the property is scheduled to be available on this website sometime in August.

Viewing the Property

The household must demonstrate financial capacity to purchase the BMR. This will include:

• A minimum 3% down payment ($15,540) is required.  All funds must be in a bank, trust, retirement, or investment accounts (no mattress money/cash is allowed).  The buyer should also have approximately $13,000 for closing costs and reserves.  Accordingly, a household should have access to approximately $30,000 in liquid funds to consider purchasing this property.  Reserve requirements may be held in accessible retirement accounts (401K, 403B, etc.).  Gifted funds may be provided by first and second degree relatives.  All down payment, reserve, and gift funds must be sourced and maintained in institutional accounts.  
  
• Minimum FICO score of 640 for all non-dependent household members required to be on title.  Alternative documentation will be considered for households with no credit.
  
• The cost of owning the home in combination with your current monthly personal debt service cannot exceed 45% of your gross earnings.
  

Prospective homebuyers interested in purchasing the BMR should immediately submit an Application  to BAAHA.

A BMR application must be submitted by the household prior to viewing the property.  The BMR application must be submitted by the applicant and cannot be submitted by an applicant’s real estate agent and/or lender. 

Detailed application instructions are included as part of BAAHA’s application package.  Be certain to read and follow the instructions. Incomplete applications missing required information will not be processed. Inaccurate or false information provided in a Program Application will disqualify the applicant from securing final BMR Program approval to purchase the BMR.

BAAHA reviews the Application and provides applicants a preliminary determination regarding eligibility to participate in securing Program Approval and commencing with the purchase of the BMR property.  Applicants will have an opportunity to appeal an ineligible determination for reconsideration. Applicants that secure a preliminary eligibility determination will be required to go through a comprehensive Program approval underwriting process.

​Click this link to download a PDF copy of the BMR Program Application, which includes comprehensive instructions. 

City of Millbrae

Below Market Rate

Home Ownership Opportunity

1388 Broadway, ​Millbrae / Park Broadway Complex 

​​1 Bedroom 1 Bathroom Condominium
660 Square Feet (per tax records) and one assigned Garage Space
Sales Price:  $498,000 - Sale Pending

$30,000 Down Payment Subsidy/Grant available for eligible buyers

​Current monthly HOA fee $457

​No Lottery – Property and Subsidy available on first come first served basis​

Ownership of the BMR home requires that a household’s gross combined income may not exceed 120% of San Mateo County’s Median Income, adjusted for household size.  Gross income includes the household’s total income prior to all deductions from their payroll earnings. The City will determine net income for self-employed individuals by reviewing and reconciling past tax returns, bank statements, and profit and loss statements.  Gross maximum household incomes are based on household size and cannot be greater than the amounts listed below:

Program Preferences

​​Property Description

Below Market Rate (BMR) homeownership comes with restrictions and responsibilities that BMR owners must adhere to. BMR ownership Restrictions commence on the date of purchase and will be in place for a forty-five (45) year term. Restrictions include:

• The BMR must be sold at an affordable resale price that the City assigns at the time of the resale.
  
• The BMR must be sold to an eligible buyer whom the City must approve.
  
• There are refinance guidelines and restrictions. All refinances must be approved by the City.
  
• The property must be maintained in good condition at all times.
  
• Restrictions disallow the property from being rented out.
  
• There are guidelines and restrictions in passing title to an heir and any other non-BMR Program approved individual(s). The City must approve any transfer in title.
  

To learn more about BMR home ownership, please click on this link: https://www.myhomegateway.org/what-is-a-bmr-.html

A HUD approved homebuyer education course certificate is not required to submit an Application.  However, all adult household members on title must have secured a certificate of completion within the past twelve months prior to close of escrow.  Press this link to access sources to secure and complete your approved education requirements.  BAAHA encourages applicants to conduct their own search for HUD approved homebuyer education courses on the internet.  A Certificate is not required to apply for the program.​

Applications will be processed and eligibility determinations and purchase contracts will be established and derived on a first come first served basis.  

Questions and More Information

Questions and requests for additional information must be submitted in writing by emailing BAAHA at info@myhomegateway.com.  Make certain to state that you are inquiring about the Millbrae BMR and provide us with your phone number.  BAAHA  has a strict policy that communications and questions are documented and directed to BAAHA by email at info@myhomegateway.com. 

HUD-Approved Homebuyer Education

Maximum Household Income

Real Estate Agents

The Purchase Process

1388 Broadway, Millbrae / Park Broadway Complex      

Upon securing 1st loan and City Program approval, the applicant will be required to submit a purchase contract.  Once a purchase contract is ratified (signed by seller and buyer), it will take approximately 30 to 45 days to close the purchase escrow and secure ownership to the BMR home.

BAAHA will be providing additional detailed instructions to eligible applicants as they enter various stages of the Program Approval and Property Purchase process.

Above depicted household income limits are not the same as the income limits required to participate in the purchase of the Millbrae BMR, and only apply for WISH Program eligibility

​Upon reviewing your BMR Program Application, BAAHA will notify if you may be eligible to participate in the WISH Program.  If so, BAAHA will notify you and provide instructions on the next steps you will be required to take to access BAAHA funds.  BAAHA will also notify you if WISH funds are available at that time.

The City of Millbrae (City) contracts the Bay Area Affordable Homeownership Alliance (BAAHA www.myhomegateway.org), to administer the sale of the 1388 Broadway BMR.  BAAHA’s administrative duties include, and are not limited to: BMR lottery application screening, managing the lottery, overseeing property sales activities, overseeing City BMR Program approval underwriting, and escrow related activities.  Additional questions related to the sale of this BMR should be directed to BAAHA by email at info@myhomegateway.com.  

Below Market Rate (BMR) Homeownership

The minimum household size allowed to purchase the property is one (1) person and the maximum household size is three (3) people.  All non-minor household members who are not dependents must be on title when the property is purchased.  Qualifying dependents must be designated on 2023 federal tax returns.  Qualifying household size influences qualifying household income.   Applicants must identify all household members that will be living in the BMR on their program application.   A spouse may not be a dependent.  All household members that are 18 years of age or older are classified as non-dependents, unless they are full time students.  Full time students claimed as dependents may not be older than 24 years of age.  Current school transcripts will be requested for all 18- to 24-year-old household members that are claimed as dependents.

1.  Determine if you are interested in purchasing the 1388 Broadway, Millbrae BMR   

• Read all the information provided prior to taking your next steps.  Be certain you understand the restrictions, guidelines, and procedures required to become a BMR owner.
  
• Be certain you are interested in buying a BMR.  Understand the implications of owning a BMR property.  Click this link to get an overview of BMR ownership.  
  
• Determine if you are interested in this specific property.  BAAHA suggests you drive by the neighborhood. 
  

2.   Submit a BAAHA Program Application –  You can obtain a Program Application by downloading a PDF copy by pressing this link, or by requesting an application by email at info@myhomegateway.com.  Make certain to state in the email that the application is for the Millbrae BMR.  Applications must be filled out in their entirety and signed. Incomplete applications will not be accepted. Upon completing the review of your application, BAAHA will issue you a preliminary eligibility and preference determination and will invite your household to view the property.  We urge that applicants immediately submit their application so that BAAHA has time to process your application and preference status. Applications will be processed and eligibility determinations and purchase contracts will be established and derived on a first come first served basis.  

Financial Capacity

The property is listed on the MLS by Home Quest Realty (DRE 00661978).  The seller will pay up to a 2% sales commission to the buyer’s agents.  Real estate agents must submit a copy of the buyer agent agreement with the purchase contract to secure buyer’s agent compensation from the seller.  The property will only be shown to buyers who have submitted a BAAHA Millbrae BMR Program Application, and have been deemed Program eligible by BAAHA to participate in the BMR purchase.  The BMR property is available on a first come first served basis.  Real estate agents should contact Home Quest Realty at info@hquestrealty.com for additional information.

Financial Subsidies

BAAHA PROGRAM APPLICATION

​First Come First Served

Household Size

Program Eligibility Requirements

In case of multiple eligible applications, preference will be given to households who are first time homebuyers and live and/or work in Millbrae.  It is not a requirement for applicants to live and or work in Millbrae and to be first time homebuyers.  However, the BMR owner must maintain full time occupancy in the BMR, and meet household size and above stated BMR financial purchase requirements.​

The property may not be purchased as a rental property.  The owner(s) of the home must be full time residents who occupy the home as their primary home and occupy the home for 10 months of any calendar year.

Eligible first time homebuyers may be eligible to receive up to $30,000 in subsidy from the Federal Home Loan Bank (FHLB) WISH Program.  WISH is a hybrid loan and grant subsidy program.  Limited funds are available for this Program.  Program features include:

• The amount of subsidy provided is equal to four times the amount the household contributes towards their down payment, with a maximum $30,000 funding cap.  Accordingly, a household contributing $7,500 towards their down payment would receive a subsidy of $30,000 to purchase their home.
• The WISH subsidy is forgiven by 1/5 of the subsidy amount each year over a five-year duration.  The loan is totally forgiven after five years.  The household must reside as a full time resident during the five years of ownership.
• There is no interest charged on the loan, and no payments are required.  Within the loan’s five-year term, if any of the following events occur the owner will be required to pay back the prorated loan balance for the remaining term of the loan.  Repayment of the loan balance will be required if any of the following occur:

Applicants must meet the following eligibility requirements to purchase the City's Below Market Rate home.

Housing Costs and Ratio Requirements

Upon securing first lender approval, BAAHA and the City will conduct a thorough underwriting and analysis to determine the applicant’s BMR Program eligibility.  Program eligibility will be based on the applicant fulfilling and meeting the above referenced Program guidelines.  For verification and reconciliation purposes, households will be required to provide supporting documentation to BAAHA, including and not limited to copies of:

• Up to two months of most recent bank and investment/retirement account statements
  
• Two years of filed and signed tax returns (2023 and 2022)
  
• Payroll information, inclusive of W-2s, two or more most recent paycheck stubs from all non-dependent household members, and verification of employment
  
• Forms of identification which verify your current address of residency