Vidya Sethuraman
India Post News Service
Even as housing costs soar amid California’s affordability crisis, would-be first-generation homebuyers have a new way to reach the American dream. The California Housing Finance Agency (CalHFA) is rolling out the Dream For All shared appreciation loan program for qualified Californians to help would-be buyers meet down payment and/or closing costs on home mortgages.
CalHFA explains that the “Dream Homes Shared Growth Loan Program” is a state-supported down payment grant program that provides eligible first-time homebuyers with substantial interest-free loans to cover their down payment and part of the closing costs. The loan is shared with the state government based on the increase in property value when the homeowner sells or refinances in the future. The application window for 2026 will be open from February 24th to March 16th, and it is expected to help approximately 1,500 to 2,000 families successfully enter the housing market, explained CalHFA Information Officer Eric Johnson at a Thursday, January 29 American Community Media briefing.
During the meeting, Johnson pointed out, the core goal of the program is not only to help individuals complete home purchases, but also to bridge the wealth gap between generations. “For many immigrant and minority families, owning their first home is often the starting point for accumulating wealth across generations; it’s a pivotal moment that changes their lives.” Many potential buyers actually have stable incomes and good credit, but are often forced out of the market due to excessively high down payment requirements. The Dream For All program does indeed lower the barrier to entry in practice, giving buyers more negotiating leverage in a highly competitive market.
As the application deadline approaches, CalHFA reiterated that the “Dream Home for All” program is not a one-size-fits-all solution, but for many families, it represents a rare window of opportunity.
Also Read: California’s Zoning Laws at Heart of Housing Crisis
