FRIENDS OF THE LACY HISTORIC NEIGHBORHOOD-2011

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and for the Homebuyer to agree that the Property may only be marketed and sold and re-sold (or otherwise transferred in whole or in part) to other qualified Moderate Income Households at an Affordable Housing Cost for a forty-five (45) year period conforming to Health & Safety Code Section 33000, et seq., in particular Section 33334.2, et seq. (the "Program"). The Agency has elected, pursuant to Health and Safety Code Section 33334.3(f)(1)(B) to permit sales of the Property prior to the expiration of the forty-five year period for a price in excess of an Affordable Housing Cost pursuant to an adopted program which protects the Agency's investment of moneys from the Low and Moderate Income Housing Fund, through a schedule of equity sharing that permits retention by the Homebuyer of a portion of those excess proceeds. G. The Homebuyer requires financial assistance to purchase the Property and would not be able to purchase the Property without such assistance. The Homebuyer is a person or family whose income is less than Moderate Income, as such term is defined by California Health & Safety Code Section 50093. H. The Homebuyer represents and warrants to the Agency that the Homebuyer and the Homebuyer's immediate family/household members intend to reside in the Property as their principal residence at all times during the period of the Homebuyer's ownership of the Property. 1. The Agency wishes to lend and the Homebuyer wishes to borrow from the Agency funds in the form of a forty-five (45) year loan (the "Homebuyer Assistance Loan") secured by a subordinate lien deed of trust to assist the Homebuyer to pay a portion of the purchase price, down payment, and/or closing costs necessary to buy the Property pursuant to the Program and subject to the terms and conditions set forth herein. The principal balance of the Homebuyer Assistance Loan will be forgiven in the event that the Homebuyer (including its permitted assignees and transferees) has complied with all of the terns and conditions of this Agreement during the Affordability Period. J. For a period (the "Affordability Period") commencing upon the date on which the Homebuyer acquires fee title to the Property (the "Homebuyer Assistance Loan Date") and terminating on the forty-fifth (45th) anniversary thereof (the "Affordability Period Termination Date"), the Property may only be transferred to another eligible, qualified Moderate Income Household at an Affordable Housing Cost ("Eligible Persons and Families"). Homebuyer may, in Homebuyer's sole discretion, opt to transfer the Property at a price in excess of an Affordable Housing Cost during the Affordability Period pursuant to Section Lf. hereof, upon payment of an equity sharing amount to the Agency hereunder. NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein, the Parties hereto agree as follows: 1. Homebuyer Assistance Loan; Promissory Note. 1.1 Homebuyer Assistance Loan. The Agency loans to the Homebuyer and the Homebuyer borrows from the Agency the amount of Dollars ($ l (the "Homebuyer Assistance Loan Amount"), subject to the conditions and restrictions set forth herein and those set forth in the Promissory Note, Agency Deed of Trust, Notice of Affordable Restrictions, Affordable Housing Resale Restriction, and Disclosure ATTACHMENT NO. 11-2 Form of Homebuyer Loan Agreement DOCSOG 1400673x141200272-0001