First-Time Home Buyer Programs in California
California offers 2 programs to help first-time home buyers with down payment assistance, closing cost help, and below-market interest rates. Down payment assistance is available in this state.
State-Sponsored Programs
CalHFA MyHome Assistance Program
Deferred-payment junior loan for down payment
California Dream For All
Shared appreciation loan for first-generation buyers
Benefit
Up to 20% of purchase price
Income Limit
Up to 150% of area median income
More Info
Visit Program Website →Federal Programs Available in California
FHA Loans
Federal Housing Administration loans require as little as 3.5% down payment with a 580+ credit score. The FHA loan limit in California is $1,149,825.
California FHA Loan Limit: $1,149,825
VA Loans
Available to veterans, active military, and eligible surviving spouses. VA loans require no down payment, no PMI, and often have the best interest rates. No loan limit for borrowers with full entitlement.
USDA Loans
Available in eligible rural and suburban areas of California. No down payment required. Income limits apply based on the county and household size. Check the USDA eligibility map to see if your target area qualifies.
Conventional 97
Fannie Mae and Freddie Mac offer conventional loans with just 3% down for first-time buyers. Requires a 620+ credit score. PMI is required until you reach 20% equity.
How to Qualify
- ✓You must not have owned a home in the past 3 years to qualify as a “first-time buyer” for most programs
- ✓Complete a HUD-approved homebuyer education course (required for many programs)
- ✓Meet the income limits for your specific county in California
- ✓The home must be your primary residence
- ✓Meet minimum credit score requirements (typically 620+ for state programs, 580+ for FHA)
