California’s Dream For All program is set to relaunch on February 24, offering eligible first-time homebuyers up to $150,000 in down payment assistance through a lottery system.
The California Housing Finance Authority (CalHFA) will allocate approximately $200 million in this third round of the program, which specifically targets first-generation homebuyers – those whose parents have never owned a home or did not own one at the time of their death.
“As these homeowners begin to repay their loans, the funds are reinvested into the program to create a cycle that will continue far into the future, planting the seeds of generational wealth to help keep the California dream alive,” Tony Sertich, director of CalHFA, said in a statement.
The program, which will accept applications from February 24 through March 16, requires that at least one borrower be a first-generation homebuyer and a California resident. All applicants must be first-time homebuyers, meaning they haven’t owned a home in the past three years.
Successful applicants can receive up to 20% of a home’s purchase price (maximum $150,000) to assist with down payment and closing costs. Unlike traditional loans, there are no monthly payments on the assistance amount. Instead, when homeowners eventually sell or refinance, they must repay the original loan amount plus 15% to 20% of the home’s appreciated value.
For Fullerton native and Anaheim-based occupational therapist Deborah Jang, 30, the program made homeownership possible. “If it wasn’t for this program, I don’t think we could have even bought a home,” Jang told the Orange County Register. She and her husband used a $140,000 Dream for All loan in 2024 to purchase a $700,000 condominium in Anaheim Hills.
To apply, potential homebuyers must obtain a pre-approval letter from an approved lender and complete a Dream For All education course. Applicants should also gather identification documents such as passports or driver’s licenses.
Income limits vary by county, and interested applicants can check their eligibility on the CalHFA website. The program is not first-come, first-served – winners will be selected through a random lottery drawing.
The Dream For All program has proven extremely popular in previous rounds. In 2024, the program’s $300 million in funding was allocated in less than two weeks, helping over 2,000 applicants. In total, the program has assisted approximately 4,100 borrowers with nearly $550 million in its first two years.
While mortgage lender Rajat Jetley praises the program’s benefits, he notes it’s “a drop in the bucket” for a state of 40 million people facing a severe housing affordability crisis. “Is it a good program? Absolutely. In terms of solving the housing crisis, the supply side would be the side that they should really be targeting,” Jetley said.
For more information or to apply, visit the CalHFA website or call 877-922-5432. Instructions are available in Spanish, Vietnamese, Chinese, Korean, and Tagalog upon request.
Recent Comments