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CALIFORNIA DREAM FOR ALL

20% Down Payment Assistance with Shared Appreciation Loan from CalHFA

*IMPORTANT UPDATE

January 18, 2024: CalHFA published the official program guidelines for the 2024 Dream for All Shared Appreciation Loan Program. A summary of the new program guidelines is below. We can now review your eligibility for the program and issue preapprovals while we wait for the CalHFA registration and lottery system to be published. 

Program Highlights:

  • Borrower receives 20% or $150,000 (whichever is less) in down payment assistance from CalHFA

  • Assistance can be used for down payment and/or closing costs:

    • Example 1: 20% for down payment, no assistance for closing costs

    • Example 2: 17% for down payment + 3% for closing costs = 20% in total assistance​

  • 1:1 growth in equity share with CalHFA applies on the property

    • Example 1: 20% in assistance received = 20% equity share

    • Example 2: 10% in assistance received = 10% equity share

  • Assistance funds must be repaid in the future when the home is sold, refinanced, or at the end of your 30-year loan term

    • There is a one-time exception to refinance without triggering repayment​

  • Maximum additional down payment contribution from the borrower is 5%

  • Interest rates for the program are set by CalHFA and change daily (rates for the DFA will not be published until the program is available)

  • 2-1, 1-1, and 1-0 temporary rate buydowns are permitted

 

Eligibility:

  • Borrower(s) must be a first-time homebuyer (not owned a home in the past 3 years)​

  • At least one applicant must be a California resident

  • At least one borrower must be a First-Generational Homebuyer

    • Cannot have owned or been on title on a home in the past 7 years​

    • To the best of the homebuyer's knowledge whose parents do not have ownership interest in a home in the United States

  • Borrower(s) gross income must be below the limit for the county the home is purchased in: 2024 CalHFA Dream for All Income Limits

  • Maximum DTI (debt-to-income ratio) is 45-50% 

  • Minimum credit score of 660-680​

  • Conventional only (no FHA options)

Example Loan Scenarios:

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Informational Video:

Want to see if you qualify?

Our team will reach out as soon as possible.

 WHAT CAN I AFFORD? 

 

Use our mortgage calculators to see current mortgage rates and determine your monthly payment.

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