Stewardship Capital

California Down Payment Assistance Programs

Saving for a down payment is the hardest part for many buyers. California has several programs that may help. Each one is run by a third party with its own rules. This page explains the main programs and what kinds of help they offer.

What is down payment assistance?

Down payment assistance, or DPA, is help that covers part of the money a buyer needs at closing. It might help with the down payment, closing costs or both. DPA does not come from Stewardship Capital. It comes from state agencies, nonprofits and lenders. Each program has its own eligibility rules, income limits and county rules. Funding can run out, and the rules change. Stephen confirms current terms on every file.

What kinds of down payment help exist?

What is a grant?

A grant is money that generally does not have to be repaid, as long as the program rules are met. Some grants come with conditions, such as staying in the home for a set time.

What is a second lien?

A second lien is a second loan on the home. It sits behind the main mortgage. Some are deferred, which means no payment until a later event such as a sale or refinance. Others may require payments. Read the terms closely.

What is a forgivable loan?

A forgivable loan is a loan that is wiped away over time if you stay in the home and follow the rules. If you sell or refinance early, some or all of it may have to be repaid.

Which California programs should I know about?

What is CalHFA?

CalHFA is the California Housing Finance Agency, a state agency. It offers first mortgages and help with down payments or closing costs for eligible first-time and other buyers. Its programs, rules and funding change over time.

What is GSFA Platinum?

The Golden State Finance Authority runs GSFA programs, including Platinum. It offers help with down payments through different structures, and it is used with certain loan types.

What is the Chenoa Fund?

The Chenoa Fund is a down payment assistance program often paired with FHA loans. Its availability and rules depend on the program in place at the time.

What are HomeReady and Home Possible?

HomeReady is from Fannie Mae and Home Possible is from Freddie Mac. They are low-down-payment conventional loans for eligible buyers, and they have income rules tied to the area. They are not DPA by themselves, but they can allow help from other sources. See the program rules for the current details.

Who qualifies?

It depends on the program. Common checks include whether you are a first-time buyer, your household income, the home's county and price, your credit, and the type of loan. Many programs also ask you to finish a homebuyer education course. A program can also be tied to a specific loan type, so the loan and the assistance must be chosen together.

What should I ask about any assistance program?

  • Is it a grant, a second lien or a forgivable loan?
  • What happens if I sell or refinance?
  • Is there a class I must take?
  • Which loan types can it be used with?
  • Is funding open right now?

Written answers from the program matter more than a quick summary. Stephen confirms current terms before you rely on them.

How do I start?

Talk with Stephen before you shop. He can tell you which programs may fit, which are open and what the process looks like. Realtors can help by sharing early with buyers that DPA may exist. Please remember that no program is guaranteed. Read our Buy a Home page, check loan limits by county and ask about the seller credit and buydown calculator to see how seller credits may work. Our seller concession limits page explains limits on seller credits.

Common questions

Is down payment assistance free money?

Not always. A grant generally does not need to be repaid. A second lien or forgivable loan may need to be repaid in some cases. Read the terms of each program.

Does Stewardship Capital give the assistance?

No. These are third-party programs. Stephen helps you see which may fit and confirms current terms.

Can I use more than one program?

Sometimes, but not always. Programs have rules about stacking. Stephen checks this on your file.

Do the programs change?

Yes. Funding, rules and eligibility change, and funds can run out. Always confirm the current terms before you plan around a program.

Want to talk it through?

Stephen is happy to answer questions and look at your situation. There is no pressure and no cost to ask.

Contact Stephen

This is not a quote, a commitment to lend or an offer of credit. Stephen Chakerian, NMLS #2193331 | Stewardship Capital, a team of Barrett Financial Group, L.L.C., NMLS #181106 | Equal Housing Opportunity.