SIMI VALLEY : Council OKs Plan to Aid Home Buyers

Trying to put more renters into houses of their own, the Simi Valley City Council has approved a $510,000 program for first-time home buyers.

Under an agreement with Pacific Mortgage Inc. of Thousand Oaks, qualified buyers would be able to reduce their mortgage payments by about $130 each month. The program is geared to low- and middle-income families who have not been able to save enough money to buy their own homes.

“The benefits are that some of our young people will be able to buy their home,” Councilwoman Sandi Webb said. “The down side, I suppose, is that it’s not quite as fair for those of us who bought cheaper starter homes.”

The program could begin as soon as next month, with a $150,000 limit on home loans, officials said.

Most of the money for the program--$400,000--was provided by state officials, but $110,000 will come from city Redevelopment Agency funds, said Diane Jones, Simi Valley’s director of environmental services.

Jones said the $400,000 in state housing funds should be made available to the city within two months.

Because of the relatively small amount of cash available for the program, only a limited number of applicants will qualify, city officials said.