Buying a home
First-Time Home Buyer Programs in California and the Sacramento Region
The help that exists for first-time buyers in California and the Sacramento region, and what to do first.
What help is there for first-time home buyers in California?
Help comes from a few places, and many buyers combine them:
- Low down payment loans, such as FHA, VA and USDA loans, plus conventional loans with smaller down payments.
- State programs through the California Housing Finance Agency, called CalHFA.
- Local programs through housing agencies, cities and counties, when funding is open.
- Gift funds from family.
- Seller credits toward closing costs, negotiated in your offer.
Programs have income limits, price limits and rules that change. Some open and close with funding. We check what's open when you're ready instead of promising a program up front.
What CalHFA programs are available?
CalHFA works through approved lenders. Its homebuyer programs page (checked October 22, 2026) lists:
- First mortgages: CalHFA FHA, VA, USDA and Conventional loans, plus CalPLUS FHA and CalPLUS Conventional, which pair with the Zero Interest Program (ZIP) for closing costs, and CalPLUS Access versions, which pair with MyAccess for down payment or closing costs.
- MyHome Assistance Program: a deferred-payment junior loan for down payment or closing costs, capped at the lesser of 3.5% of the price or appraised value with FHA, or 3% with conventional.
- Dream For All Shared Appreciation Loan: down payment or closing cost help for first-generation homebuyers, used with the Dream For All Conventional first mortgage. You repay it along with a share of the home's appreciation.
Dream For All has run in funding rounds with set application windows. Ask us whether a round is open. Our first-time buyer loans page covers how these fit with your first mortgage.
Are there local first-time buyer programs in Sacramento?
The Sacramento Housing and Redevelopment Agency (SHRA) serves the City and County of Sacramento. Its homebuyer resources page (checked October 22, 2026) lists a PLHA First-Time Homebuyer Mortgage Assistance Program and a CalHome First Time Homebuyer Program for low-income buyers. It also lists new affordable homes for sale in some subdivisions.
SHRA says its programs "open and close frequently due to the availability of funding" and posts a weekly funding update. For its Mortgage Credit Certificate program, SHRA's page says that due to the depletion of funds, it cannot assist until further notice.
Programs in Placer, El Dorado and Yolo counties, and in individual cities, change over time too. We check what's open for the city you're buying in when you're ready.
Which loans work well for first-time buyers?
The right loan depends on your savings, your credit and the home. Common choices:
- FHA loans, insured by the Federal Housing Administration, with more flexible qualifying standards.
- Conventional loans, which can allow a small down payment with mortgage insurance.
- VA loans for eligible veterans, service members and some surviving spouses. See VA and military buyers.
- USDA loans for eligible homes in qualifying rural areas, with income limits.
Our mortgage insurance page explains the monthly cost that often comes with a smaller down payment.
Do you need a homebuyer education course?
Many programs require one. For CalHFA, its homebuyer programs page (checked October 22, 2026) says the eHome eight-hour online course is the only online course it accepts. It also accepts live in-person or virtual education through NeighborWorks America or a HUD-approved housing counseling agency. Local programs like SHRA's have their own education rules.
Take the course early. It's useful even if you don't use a program, and finishing it before you shop keeps it from holding up your closing.
Can family help with your down payment?
Yes, in most loan programs. Lenders want a gift letter that says the money is a gift, not a loan, and a paper trail showing it moved from the giver's account to yours.
Plan the timing. Moving money in a rush right before closing can slow your loan. Our down payment and gift funds page lists what lenders ask for.
What does a first-time buyer need to know about costs besides the down payment?
Plan for closing costs, prepaid property tax and insurance, moving, and a cushion for repairs in your first year. Our closing costs page explains what's in that number, and the mortgage calculator shows a monthly payment with tax and insurance.
Check for Mello-Roos and HOA dues on any home you like. They change the monthly cost more than many buyers expect.
What should a first-time buyer do first?
- Look at your credit and your savings. Our pages on credit scores and debt-to-income explain what lenders weigh.
- Get a full pre-approval. A person reviews your income, assets and credit and checks which programs you may qualify for. See getting pre-approved.
- Take the homebuyer course if your program needs one.
- Choose your price range from the monthly payment you're comfortable with, not only the maximum you're approved for.
- Start touring. Read our offer guide before you find the one.
Our first-time buyers page covers the whole path.
How do you get started as a first-time buyer?
Maggie B. Hopkins is a mortgage broker and real estate broker, so she can check your loan and program options and help you find the home on one plan. You're always free to bring your own lender.
Send us a note or call Maggie's cell at (916) 549-3131. You can also download the free buyer guide.
Frequently Asked Questions
Does CalHFA help with a down payment?
Yes. CalHFA's MyHome Assistance Program is a deferred-payment junior loan capped at the lesser of 3.5% of price or appraised value with FHA, or 3% with conventional. Income limits, price limits and education rules apply.
Is Dream For All open right now?
It has run in funding rounds with set application windows. Ask us, and we'll check CalHFA's current status when you're ready to buy.
Does Sacramento have a first-time buyer program?
SHRA lists PLHA and CalHome first-time buyer programs for low-income buyers and says programs open and close with funding. We check what's open when you apply.
Can I still get a Mortgage Credit Certificate in Sacramento?
SHRA's page says that due to the depletion of funds it cannot assist with its MCC program until further notice. We'll tell you if that changes.
Which homebuyer course does CalHFA accept?
CalHFA accepts the eHome eight-hour online course, or live in-person or virtual education through NeighborWorks America or a HUD-approved housing counseling agency.
Can my parents give me money for a down payment?
Usually yes. Lenders want a gift letter and a clear paper trail showing the money moved from their account to yours.
Do I have to use your lending to buy with you?
No. You can use any lender you like. We'd like the chance to quote your loan so you can compare.
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