Buying your first home in California can feel overwhelming — especially with home prices among the highest in the nation. The good news: California has more first-time homebuyer programs than almost any other state, and many buyers are leaving significant money on the table by not knowing they exist. Here’s a complete overview of what’s available in 2026.
What Qualifies You as a “First-Time Homebuyer”?
Most programs define a first-time buyer as someone who has not owned a primary residence in the past three years. This means even if you’ve owned a home before, you may still qualify after a three-year gap. Some programs have broader eligibility criteria, so it’s worth checking even if you think you might not qualify.
CalHFA Programs: California’s Primary First-Time Buyer Resource
The California Housing Finance Agency (CalHFA) offers several programs designed to help first-time buyers:
CalHFA Conventional Loan
A 30-year fixed-rate conventional loan with competitive interest rates, available to first-time buyers who meet income limits. Income limits vary by county — in Marin County, limits are higher to account for the local cost of living.
CalHFA FHA Loan
An FHA-insured 30-year fixed-rate mortgage through CalHFA, typically paired with down payment assistance. Requires a minimum 660 credit score when combined with a CalHFA down payment assistance program.
MyHome Assistance Program
A deferred-payment junior loan of up to 3.5% of the purchase price or appraised value (whichever is less), used for down payment or closing costs. Repayment is deferred until the home is sold, refinanced, or the first mortgage is paid off. This is one of the most widely used CalHFA programs.
CalHFA Dream For All Shared Appreciation Loan
When available (the program has had limited funding rounds), this program provides up to 20% of the purchase price as a down payment loan. In exchange, CalHFA shares in a portion of the home’s future appreciation. It’s a powerful tool for buyers who need a large down payment boost.
Federal Programs for First-Time Buyers
FHA Loans
As low as 3.5% down with a 580 credit score. FHA loans are backed by the federal government and available through most lenders. They’re often paired with California down payment assistance programs.
USDA Loans
Zero-down-payment loans for eligible rural areas. Some parts of California qualify — primarily inland and rural communities. If you’re considering a purchase outside major metro areas, USDA is worth investigating.
VA Loans
For veterans and active-duty service members, VA loans offer zero down payment, no mortgage insurance, and competitive rates. This is one of the most powerful homebuying benefits available.
Local and County Programs
Many California counties and cities offer their own first-time buyer assistance programs, often in addition to CalHFA programs. Marin County’s program, for example, has provided down payment assistance to local buyers for years. These programs are frequently income-limited and have limited funding, so acting quickly when they open is important.
Mortgage Credit Certificate (MCC)
An MCC allows first-time buyers to convert a portion of their mortgage interest into a federal tax credit — up to $2,000 per year for as long as you live in the home. This reduces your effective cost of homeownership and can also improve your qualifying income for the mortgage itself.
Income and Purchase Price Limits
Most California first-time buyer programs have income and purchase price limits. These vary by county and are updated annually. In high-cost Bay Area counties, the limits are significantly higher than in inland California. Your loan advisor can check current limits for your specific county and situation.
How to Access These Programs
First-time buyer programs are accessed through approved lenders — you can’t apply directly to CalHFA or most local programs. DiVita Home Finance is experienced with California’s first-time buyer programs and can walk you through which options you qualify for.
Ready to find out what programs you’re eligible for? Apply online or contact our team — we’ll help you maximize your benefits as a California first-time buyer.
