I’m Michael DiVita — DRE #01372066 | NMLS #241655, DiVita Home Finance (DRE #01818285 | NMLS #323700), Tiburon, CA. I’ve been in California mortgage lending since 2000 and founded DiVita Home Finance in 2007. Call (800) 239-1103.
The CalHFA Dream For All Shared Appreciation Loan is California’s most powerful down payment assistance program — and one of the least understood. It can provide up to 20% of the home’s purchase price (capped at $150,000 in most program rounds) as a down payment, with no monthly payment required. Here’s everything you need to know about how it works, who qualifies, and how to apply before the next lottery round opens.
What Is the CalHFA Dream For All Shared Appreciation Loan?
The Dream For All program is a shared appreciation loan — a second mortgage with no monthly payments and no interest. Instead of paying interest, you agree to share a percentage of your home’s future appreciation with CalHFA when you sell, refinance, or pay off the first mortgage.
Here’s how the sharing works: if CalHFA provides 20% of the purchase price as the down payment, you share 20% of the home’s appreciation with CalHFA when you exit. The share percentage equals the loan percentage.
Simple Example
| Your Home | |
|---|---|
| Purchase price | $700,000 |
| Dream For All loan (20%) | $140,000 |
| Your first mortgage | $560,000 |
| Your down payment from savings | $0 |
| Sale price 7 years later | $900,000 |
| Appreciation | $200,000 |
| CalHFA’s share (20%) | $40,000 |
| You repay CalHFA at sale | $140,000 + $40,000 = $180,000 |
| Your net equity after repayment | $900K − $560K mortgage − $180K CalHFA = $160,000 |
2026 Program Details
| Feature | Details |
|---|---|
| Maximum assistance | 20% of purchase price, up to $150,000 |
| Monthly payment | None — deferred until sale/refinance/payoff |
| Interest rate | 0% — no interest, only appreciation share |
| Appreciation share | Equals the loan percentage (e.g., 20% loan = 20% of appreciation) |
| Program structure | Lottery-based; opens in limited rounds |
| First-time buyer required? | Yes — must be a first-time homebuyer (no ownership in past 3 years) |
| Homebuyer education | Required — 8-hour course before closing |
| Must be paired with | CalHFA first mortgage (conventional or FHA) |
Who Qualifies for Dream For All?
First-Time Homebuyer Status
You must be a first-time homebuyer, defined as someone who has not owned a primary residence in the past three years. This means divorced individuals who owned a home years ago, or people who owned a home a decade ago, may still qualify.
Income Limits
Income limits vary by county and household size. In high-cost Bay Area counties, the limits are significantly higher than in inland counties:
| County | 1–2 Person Household | 3+ Person Household |
|---|---|---|
| San Francisco, San Mateo | ~$300,000 | ~$350,000+ |
| Alameda, Contra Costa | ~$260,000 | ~$300,000 |
| Marin | ~$280,000 | ~$320,000 |
| Los Angeles | ~$215,000 | ~$245,000 |
| San Diego | ~$210,000 | ~$240,000 |
| Sacramento | ~$175,000 | ~$200,000 |
Note: Income limits are updated each program round. Confirm current limits with a CalHFA-approved lender.
Credit Score Requirements
Minimum 660 credit score for conventional first mortgage; 640 for FHA first mortgage.
How the Lottery Works
Step 1 — Lottery registration opens: CalHFA announces a registration window, typically lasting a few days to a week. All eligible applicants register during this window — there’s no advantage to registering on day 1 vs. day 5.
Step 2 — Vouchers awarded: CalHFA randomly selects applicants from the pool and issues vouchers. In 2024, the program was oversubscribed by more than 20:1 — over 180,000 registrations for 6,566 vouchers.
Step 3 — Voucher valid for 90 days: If selected, you have 90 days to get into contract on a home and close with a CalHFA first mortgage. Being fully pre-approved before the lottery opens is critical.
Step 4 — Close with CalHFA lender: Your lender submits the Dream For All loan file alongside your first mortgage. Both close simultaneously.
Dream For All vs. Other CalHFA Programs
| Program | Max Assistance | Repayment Trigger | Appreciation Share | Availability |
|---|---|---|---|---|
| Dream For All | 20% / $150,000 | Sale, refi, or payoff | Yes (equals loan %) | Lottery rounds only |
| MyHome Assistance | 3.5% of purchase price | Sale, refi, or payoff | No | Ongoing |
| School Teacher Program | $10,000 deferred | Sale, refi, or payoff | No | Ongoing (limited counties) |
Is Shared Appreciation Worth It?
In California’s historically appreciating market, sharing some upside with CalHFA in exchange for buying now almost always outperforms waiting to save a full down payment. The opportunity cost of waiting — rent paid, appreciation missed — typically far exceeds the appreciation share.
Frequently Asked Questions
What is the CalHFA Dream For All Shared Appreciation Loan?
It’s a California state program that provides up to 20% of the home purchase price (maximum $150,000) as a zero-interest, deferred second mortgage to help first-time buyers with the down payment. In exchange, CalHFA receives a proportionate share of the home’s appreciation when it’s sold, refinanced, or the first mortgage is paid off.
When does the Dream For All lottery open in 2026?
CalHFA announces rounds with limited notice — historically 1–3 times per year. The best way to be ready is to get pre-approved with a CalHFA lender now so you can register the moment a round opens. Contact DiVita Home Finance to get your CalHFA pre-approval completed in advance.
Do I have to pay back the Dream For All loan?
Yes, but not with monthly payments. The loan is repaid when you sell your home, refinance your first mortgage, or pay it off. You repay the original loan amount plus CalHFA’s share of appreciation. If your home does not appreciate, you only repay the original principal — there’s no negative equity penalty from the Dream For All loan itself.
Can I use Dream For All with an FHA loan?
Yes. The Dream For All loan can be paired with a CalHFA FHA first mortgage, which allows a lower credit score (640 minimum) and a lower down payment on the first mortgage. The combined program can dramatically reduce how much cash you need at closing.
What if I don’t win the Dream For All lottery?
CalHFA’s MyHome Assistance program is available year-round and provides up to 3.5% of the purchase price as a deferred junior loan with no appreciation share. On a $700K home, that’s $24,500 — not as large as Dream For All, but meaningful and always available as a backup plan.
How to Apply for Dream For All
The most important step is getting pre-approved with a CalHFA-approved lender before the lottery opens. When a round is announced, you typically have only a few days to register — there’s no time to start the pre-approval process after the announcement.
DiVita Home Finance is a CalHFA-approved lender serving buyers across California — from the East Bay and San Francisco to Los Angeles and Marin County. We’ll get your pre-approval ready now so you’re positioned the moment the next round opens.
Talk to Michael Directly
DiVita Home Finance | Tiburon, CA | In lending since 2000, founded DiVita Home Finance in 2007. Michael DiVita DRE #01372066 | NMLS #241655. Company DRE #01818285 | NMLS #323700.
💬 Text: (310) 849-9124
