(The Center Square) – The California Senate passed a contentious bill to allow for undocumented immigrants to use the state’s zero-down, zero-interest home “loans” program despite national backlash following coverage of the bill’s looming passage.
With 23 votes for and 11 votes against — including all nine Republicans and Democratic State Sens. Catherine Blakespear, D-Encinitas, and Dave Min, D-Irvine — the bill narrowly passed the 21 vote majority threshold in the Senate.
California’s Dream for All Shared Appreciation Loans program allows applicants to secure “loans” of up to $150,000 or 20% of the home’s purchase price — or, about what a typical down payment is — with zero down payment on this state “loan,” and no payments. In exchange, the state receives the original loan amount plus 20% of the appreciated gain when the home is refinanced, sold, or transferred.
In the last fiscal year, the state allocated $255 million for the program for 1,700 lucky “winners” of an application lottery. KCRA reports that the California Department of Finance confirmed this year, legislators did not appropriate any money for the program, meaning this bill allowing undocumented immigrants to apply would only apply in future years when additional funds are provided. With the state narrowly balancing a $47 billion deficit this year, the state may not be able to allocate funding to this program for some time.
It’s not clear what happens if a family decides to hold on to a home as there are no provisions on how long a property can be held for, which means certain kinds of trusts could potentially allow the loan to not be paid back. Democrats argued those applying for the funds have to work to qualify for mortgages and are thus paying taxes, while Republicans argued the program, which ran out of funds in 11 days, is already overcrowded.
“With many legal residents not able to afford a home, should we really be giving free cash to illegal immigrants? Every dollar that goes to an illegal immigrant is one less dollar available to legal residents including veterans, teachers, and families,” said California Senate Minority Leader Brian Jones, R-San Diego, in a statement. “California already spends $5 billion per year on free healthcare for illegal immigrants—will it ever be enough for Democrats’ political agendas?”
AB 1840, which has now passed both the California Senate and Assembly, must now pass back again in the Assembly with the Senate’s amendments before the end of the legislative session on Aug. 31 before going to California Gov. Gavin Newsom’s desk for approval.
“California already spends $5 billion per year on free healthcare for illegal immigrants—will it ever be enough for Democrats’ political agendas?”
I very much believe if Cackles wins that will be it for this country.
What appreciation in value are they talking about? With illegals getting these houses basically for free and living in them payment free, I can only imagine the sorry state the homes will be in within 30 days. I’m sure the responsible home owners living around them will just be ecstatic
you are correct sir.
ALL the while, MILITARY VETS and citizens go homeless..
Supported by the US Taxpaers to bail out the failed in the next 2008 type housing crisis they create……Time to cut off ALL California federal funding NOW.
AND NEVER again, bail them out.
“The California Senate passed a contentious bill to allow for undocumented (illegal) immigrants to use the state’s zero-down, zero-interest home “loans” “
More proof that the Traitorous, destructive, unethical, dishonest, immoral, demonic Democrat Party hates our U.S. citizens and loves and supports any illegal immigrant.
It called he Kamala state of the hate of the union message. Just look wha they have aleady done just o California, the poster child of mental and moral dysfunction that they plan ot bring ot the rest of the nattion. Zero down, zero paymentts, soonleads to Zero homes being built. The $25 K they plan to take out of our taxpaying pockets will just increase the prices paid, and the realtor profits received, with the political crime families getting their percent back to them under the table as usual, most used to finance more democrat candidates for more financial destruction while it is only the upper political class who getts richer.
SINCE the citizenry of CA VOTED FOR THEM,i say they get what they deserve.
Illegals are not California citizens. Only citizens of the state should get to use state programs. The Supreme Court should step in and stop this.
SHOULD is the operative word..
Unfortunately they’ve ruled in the past, ILLEGALS DO COUNT for the census and the like.. SO i can see these cowards in the scotus, ruling similarly now, if a case got to their desk.
our nation is fastly becoming a dumpster fire of epic porportions.
Hey Californians, if it’s not legal to hire illegals how are they going to repay any “loan”? They’re NOT. YOU ARE!
The program doesn’t require any payments. The “loan” is supposed to be paid when the property is sold. That’s after these illegal freeloaders have destroyed its value
SINCE when have illegals cared to pay back ONE DIME OF WHAT WE GIVE THEM>
California continues to vote for people who support these outrageous programs that are ruining their state. Kamala is California – better get ready for this far, far left leadership to continue and spread if she is elected. Unbelievable.
Proof to me that being a demon-rat, ROTS their brain!
Do well to get them employment. Note: housing a social service and will probably keep healthcare cost down. Remember, stiff sanctions on their government contributes to some forced to leave. Whoever gets in POTUS could maybe start road back to normalizing torn relationships.