California Down Payment Assistance in 2026: Programs Most Buyers Don't Know About
CalHFA's Dream for All, local city grants, and FHFA programs can cover thousands in down payment costs. Here's what's available and who qualifies.
By Shasta Greene · March 10, 2026 · 6 min read
One of the most persistent myths in California real estate is that you need a 20% down payment to buy a home. The reality: there are multiple programs — state, county, and city-level — that can significantly reduce what you need to bring to the table. Here's a current breakdown of what's available in 2026.
CalHFA Dream For All: Shared Appreciation
California's flagship assistance program provides a loan of up to 20% of the purchase price (max $150K) to cover your down payment. You repay the original loan amount plus 20% of the appreciation when you sell or refinance. For buyers who plan to hold long-term, this can be an excellent wealth-building tool — you get into the market with minimal cash down while the state shares in your upside.
MyHome Assistance Program
Another CalHFA product, MyHome provides a deferred-payment subordinate loan of up to 3.5% of the purchase price for down payment and/or closing costs. The loan is only due when the home is sold, refinanced, or paid off — meaning no monthly payment.
Orange County Housing Finance Trust Programs
OC has its own county-level initiatives through the Housing Finance Trust, which periodically releases targeted assistance for low-to-moderate income buyers. Availability changes quarterly — worth checking current program status.
FHA Loans: Still One of the Best First-Time Buyer Tools
FHA financing allows down payments as low as 3.5% with a credit score of 580+. While FHA has mortgage insurance requirements, it remains one of the most accessible paths for buyers without large cash reserves. In OC's price environment, FHA loans are capped at $1,149,825 in 2026 — which covers most entry-level single-family homes and condos.
- Minimum 3.5% down with 580+ credit score
- Maximum loan: $1,149,825 in Orange County (2026 limit)
- MIP (Mortgage Insurance Premium) required regardless of down payment
- Can be combined with CalHFA down payment assistance in some cases
Shasta Greene is an Orange County, California real estate advisor and REALTOR®, DRE #02174153.