Definition
CalHFA's flagship down payment assistance program. Provides a deferred-payment junior loan of up to 3.5% of the purchase price (paired with an FHA first mortgage) or up to 3% (paired with a CalHFA conventional first mortgage) to cover down payment and/or closing costs. No monthly payments; the loan becomes due when the first mortgage is paid off, refinanced, or the home is sold.
Related Down Payment Assistance Terms
A CalHFA shared appreciation loan providing up to 20% of a home's purchase price toward the down payment. No monthly payments are required on the assistance, but when the home is sold or refinanced, the borrower repays the original amount plus a share of any appreciation in the home's value. Subject to program funding availability and reopens periodically.
A CalHFA down payment assistance program offering up to 10% of the purchase price with no monthly payments and no interest, forgiven in full if the borrower remains in the home as their primary residence for 5 years. Targeted at lower-income first-time buyers and paired with a CalHFA first mortgage.
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