/vince-rossi/Vincent_Rossi_-_Logo_-_White-ea962.png "Vincent Rossi Logo White"){kind=logo}
For most first-time buyers in California, the biggest obstacle to homeownership is not the monthly payment. It is coming up with the down payment and closing costs. According to the California Association of REALTORS® (C.A.R.), the statewide median price of an existing single-family home reached $916,750 in the second quarter of 2026, and only 19% of California households could afford to buy a median-priced home.
The good news is that California, the federal government, and many local communities offer programs designed specifically to close that gap. Some provide low-interest or deferred loans, others offer forgivable assistance, and a few can cover a large share of your down payment. Here is what first-time buyers should know about the options available today.
You may qualify even if you have owned a home before. Under the definition used by the California Housing Finance Agency (CalHFA), a first-time homebuyer is someone who has not owned and lived in their own home, or lived in a home owned by a spouse, in the past three years. If you sold a home five years ago and have rented since, many programs will treat you as a first-time buyer again.
Most assistance programs also share a few common requirements:
CalHFA is the state's affordable housing lender, and it is usually the first place California buyers should look. CalHFA does not lend directly; you apply through one of its approved loan officers, who can pair a CalHFA first mortgage (FHA, VA, USDA, or conventional) with its assistance programs.
MyHome Assistance Program. MyHome is CalHFA's main down payment and closing cost program. It provides a deferred-payment junior loan of up to 3.5% of the purchase price or appraised value with an FHA first mortgage, or up to 3% with a conventional first mortgage. Because it is a “silent second,” you make no monthly payments on it until you sell, refinance, or pay off your home.
Zero Interest Program (ZIP). CalHFA's CalPLUS loans combine a first mortgage with ZIP, a zero-interest deferred loan that helps cover closing costs.
California Dream For All. This shared appreciation program is CalHFA's largest form of assistance, offering up to 20% of the purchase price (up to $150,000) for down payment or closing costs. It is designed for first-generation homebuyers, generally meaning neither you nor your parents currently own a home. Instead of interest, you repay the original amount plus a share of your home's appreciation when you sell or refinance. Funding is awarded through a randomized drawing, and the most recent application window closed in March 2026, so watch for announcements about future rounds.
GSFA Platinum. The Golden State Finance Authority (GSFA), a California public agency, offers the Platinum program, which provides down payment and closing cost assistance of up to 5.5% of the mortgage amount. A key advantage is that GSFA's assistance is not limited to first-time buyers, so it can help repeat buyers too. Assistance can come as a deferred second loan or a gift, depending on the option, and it works with FHA, VA, USDA, and conventional loans.
VA home loans. If you are a veteran, service member, or eligible surviving spouse, a VA-backed loan may be the most powerful option of all. According to the U.S. Department of Veterans Affairs, nearly 90% of VA-backed loans are made with no down payment.
FHA and USDA loans. FHA loans allow down payments as low as 3.5% and are commonly paired with CalHFA's MyHome assistance. USDA loans offer 100% financing for eligible homes in designated rural areas, which can include some outlying communities in Northern California.
Many California cities and counties run their own down payment programs, and some offer far more than statewide options. For buyers in Contra Costa and Alameda counties, one standout is the Home Access Program from Housing Trust Silicon Valley, funded through the state's CalHome program. Key details include:
Program funding, income limits, and application windows change often, so check current availability before making an offer. The Consumer Financial Protection Bureau recommends contacting a HUD-approved housing counseling agency to find programs in your area. Many of these agencies also offer the homebuyer education courses that assistance programs require.
1. Take a homebuyer education course early. Nearly every program requires one, and completing it before you shop keeps you from losing time later.
2. Talk to a lender approved for the programs you want. Not every lender offers CalHFA, GSFA, or local assistance, so ask directly and get preapproved with the program in mind.
3. Check income limits and funding status. Limits vary by county and household size, and some programs open in limited windows or run out of funds.
4. Factor the assistance into your offer. Some programs require extra paperwork or approval time, which your agent should plan around in your contract timeline.
5. Understand what you will owe later. Know whether your assistance is a grant, a deferred loan, a forgivable loan, or a shared appreciation loan, and what happens when you sell or refinance.
For a step-by-step look at the whole process, read our First-Time Homebuyer Guide for the East Bay. If you are still deciding where to buy, our comparisons of Walnut Creek vs. Pleasant Hill and our guide to living in Concord can help you find a community that fits your budget.
California's home prices are high, but a lack of savings does not have to keep you renting forever. Between CalHFA's deferred loans, GSFA's assistance, VA benefits, and local programs like Home Access, many first-time buyers can cover a large share of their upfront costs. The key is knowing which programs you qualify for and building them into your plan from the start.
The Vincent Rossi Real Estate Group helps first-time buyers across Walnut Creek, Concord, Pleasant Hill, Clayton, Martinez, and the rest of the East Bay connect with assistance-friendly lenders, structure strong offers that work with down payment programs, and navigate every step from preapproval to closing. Book a consultation to talk through your options.