(California Homebuyer's Downpayment Assistance Program)
[With FHA First Loans Only]
FOR VALUE RECEIVED, the undersigned, ________________________________________________
(the “Borrower”), hereby promises to pay to the order of California Housing
Finance Agency, a public instrumentality and a political subdivision of the State of California, or holder (the
“Lender”), as further provided herein, a principal amount equal to _______________________________________
with simple interest at the rate of Three and One Quarter Percent (3.250%) per annum on the unpaid principal
balance from the date of this Note, until paid. The obligation of the Borrower with respect to this Promissory Note
(the “Note”) is secured by that certain deed of trust entitled “Permanent Deed of Trust with Assignment of Rents,
Security Agreement and Fixture Filing, (California Homebuyer’s Downpayment Assistance Program) [With FHA
First Loans Only]” (the “Deed of Trust”), and executed by the Borrower contemporaneously herewith.
The Borrower's Obligation. This Note evidences the obligation of the Borrower to the Lender for
the repayment of funds loaned to finance the purchase of that certain real property (the "Property") described in the
Deed of Trust.
Owner Occupancy Representation. At the time of the making of this Note, Borrower represents
and warrants that he/she intends to occupy the property as his/her primary residence.
Repayment of Loan Principal and Interest. This is a deferred payment obligation. The Borrower
shall repay to the Lender the principal, interest and any other amounts due under this Note on the earliest of the
The First note and deed of trust on the Property is paid in full or reaches its maturity date,
whichever occurs first;
The First note and deed of trust on the Property is refinanced; or
The First note and deed of trust on the Property becomes due and payable for any reason.
Acceleration of Payment. The principal amount of this Note, together with any then outstanding
accrued interest thereon, shall at the election of CalHFA become immediately due and payable upon the occurrence
of any of the following events:
In the event of a default under the terms of this Note or the Deed of Trust securing this
In the event of a default under the terms of any superior note or deed of trust on the
Place and Manner of Payment. All amounts due and payable under this Note are payable at such
place or places as the Lender may designate to the Borrower in writing from time to time.
Application of Payments. All payments received on account of this Note shall be first applied to
accrued interest, and the remainder shall be applied to the reduction of principal.
Attorney's Fees. The Borrower hereby agrees to pay all costs and expenses, including reasonable
attorney's fees, which may be incurred by the Lender in the enforcement of this Note.