What Is CalHFA, and How Can First-Time Buyers in Los Angeles County Use Its Down Payment Programs?

CalHFA, the California Housing Finance Agency, is the state's own mortgage lender, and its two main down payment programs can cover most or all of what a first-time buyer needs to get into a home. The MyHome Assistance Program is a deferred-payment second loan worth up to 3.5% of the purchase price on an FHA loan or 3% on a conventional loan, with no fixed dollar cap, while the Dream For All Shared Appreciation Loan can cover up to 20% of the purchase price, capped at $150,000, in exchange for a share of the home's future appreciation. Both require pairing with a CalHFA first mortgage, household income within CalHFA's limits for the county of purchase, and completion of an approved homebuyer education course. For Los Angeles County in 2026, the income limit for CalHFA's Government and Conventional programs is $214,000.

What Is CalHFA and What Loans Does It Offer?

CalHFA is a state agency that funds mortgages and down payment assistance for California homebuyers, working through a network of approved private lenders rather than lending directly to the public. Its core first-mortgage products include CalHFA FHA and CalHFA Conventional loans, each of which can be paired with a junior loan for down payment or closing costs. CalHFA doesn't set its own appraisal or underwriting standards from scratch—it generally follows FHA or Fannie Mae guidelines for the first mortgage, then layers its own assistance programs and income limits on top. Because CalHFA loans are originated through approved lenders, the specific rate and terms a buyer gets will vary by lender, daily market pricing, and the buyer's credit profile, so comparing quotes from more than one CalHFA-approved loan officer is worth the effort.

How Does the MyHome Assistance Program Work?

MyHome is a deferred-payment junior loan, meaning the buyer makes no monthly payments on it while they own and occupy the home. On a CalHFA FHA first mortgage, MyHome can provide up to 3.5% of the purchase price or appraised value, whichever is less; on a CalHFA Conventional first mortgage, the cap is 3%. There's no fixed dollar ceiling—the amount scales with the price of the home, so a $600,000 purchase could draw roughly $21,000 under the FHA version. At least one occupying borrower must be a true first-time homebuyer, meaning no ownership interest in a primary residence in the past three years, and that same borrower must complete an approved homebuyer education course. The home must be a primary residence—non-occupant co-borrowers aren't allowed—and eligible property types include single-family homes, approved condos and PUDs, and manufactured housing.

What Is the Dream For All Shared Appreciation Loan?

Dream For All pairs with a CalHFA Dream For All Conventional first mortgage and can cover up to 20% of the purchase price for a down payment and/or closing costs, not to exceed $150,000. Instead of monthly payments or accruing interest, the buyer repays the original loan amount plus a share of the home's appreciation when the home is sold, transferred, or the first mortgage is paid off—20% of any appreciation for most borrowers, reduced to 15% for those at or below 80% of the area median income. At least one borrower must be a first-generation homebuyer and a current California resident, and all borrowers must be first-time homebuyers. Access runs through a voucher system: eligible buyers register, and vouchers are issued by randomized drawing rather than first-come, first-served, with unsuccessful applicants placed on a waitlist and notified if a voucher later opens up.

What Are the Income and Eligibility Requirements for Los Angeles County Buyers?

For Los Angeles County, the 2026 income limit for CalHFA's Government and Conventional first-mortgage and subordinate-loan programs is $214,000 in combined household income—a limit set separately from, and generally higher than, many other county-level affordable housing caps buyers may have encountered elsewhere. Dream For All uses its own, separate income limit table, so a household that qualifies for MyHome under the Government/Conventional limit isn't automatically within range for Dream For All. Every occupying borrower's income counts toward the household total, and because CalHFA updates these figures periodically, it's worth confirming the current limit with a CalHFA-approved loan officer before assuming a given household qualifies. Beyond income, both programs require the property to be a primary residence in Los Angeles County and the buyer to complete homebuyer education through an eligible counseling provider.

How Should First-Time Buyers Decide Between CalHFA Programs?

Buyers who can qualify for Dream For All and are willing to share a slice of future appreciation get access to the larger assistance amount, which matters most in a county where a 20% down payment can otherwise be out of reach; but the voucher lottery means approval isn't guaranteed or fast, so it shouldn't be the only plan for a buyer on a timeline. MyHome's percentage-based cap is smaller, but it's deferred rather than appreciation-shared, and it doesn't depend on winning a voucher drawing, which makes it the more predictable option for buyers who need to move on a specific schedule. Some buyers combine CalHFA assistance with other local or employer-based down payment programs where allowed, so it's worth asking a CalHFA-approved lender which combinations are permitted before assuming any two programs can be stacked.

Frequently Asked Questions

How much down payment assistance does CalHFA's MyHome program provide?
Up to 3.5% of the purchase price or appraised value (whichever is less) on a CalHFA FHA loan, or up to 3% on a CalHFA Conventional loan, with no fixed dollar cap—the amount scales with the home's price.

Is the Dream For All loan first-come, first-served?
No. Eligible buyers register for a voucher, and vouchers are issued by randomized drawing. Buyers who aren't selected are placed on a waitlist and notified if a voucher becomes available.

What's the income limit to qualify for CalHFA programs in Los Angeles County?
For 2026, the limit for CalHFA's Government and Conventional first-mortgage and subordinate-loan programs is $214,000 in combined household income. Dream For All has its own separate income limit.

Do I have to pay back CalHFA down payment assistance?
Yes, eventually. MyHome is a deferred loan repaid when the home is sold, refinanced, or the first mortgage is paid off. Dream For All works similarly but adds a share of the home's appreciation to the repayment instead of charging interest.

Updated for October 2026.