First-time home buyer programs in California - every real option, explained.
California has more first-time buyer help than almost any state: low-down-payment loans, state down payment assistance, and zero-down programs. The hard part is knowing which ones you actually qualify for. This page lays out every real option and points you to the details.
The programs at a glance
Each of these has its own full guide on this site - start with whichever sounds closest to your situation:
Who counts as a first-time buyer
Here's the surprise: in most programs, a "first-time home buyer" is anyone who hasn't owned a home in the last three years. Owned a home five years ago? You likely qualify again.
That definition applies to:
- CalHFA first mortgages and the MyHome assistance program
- Most local and city-level down payment assistance
- Fannie Mae HomeReady and Freddie Mac Home Possible income-based pricing
FHA and standard conventional loans have no first-time requirement at all - they're just the most common tools first-timers use.
How to choose: a simple decision path
Work through these questions in order:
- Eligible for VA or USDA? Start there - zero down beats everything else. VA details · USDA details
- Credit under 620? FHA is your path - 580 qualifies with 3.5% down. Full FHA requirements
- Short on the down payment? CalHFA MyHome can cover the FHA down payment as a deferred junior loan. How CalHFA works
- 620+ credit with some savings? Compare 3% conventional against FHA - conventional mortgage insurance cancels later, FHA's usually doesn't. Conventional options
Then check 2026 county loan limits to confirm your price range fits the program.
The catch: income and price caps
Most assistance programs cap both your household income and the home's price, and the caps vary by county. Sacramento-area caps are generally more generous than the Bay Area but tighter than buyers expect - this is where most self-research goes wrong.
A few rules of thumb for the Sacramento metro:
- CalHFA income limits are county-specific and change annually - check the current figure before ruling yourself out (or in).
- Some programs are first-come, first-served and run out of funds mid-year. Timing matters.
- Stacking is allowed: FHA first mortgage + CalHFA down payment help + seller credits toward closing costs is a common combination.
Your next steps
- Run your numbers. The affordability calculator shows what a lender will likely approve; the payment calculator shows the real monthly cost with Sacramento taxes and insurance.
- Read the step-by-step. The Sacramento first-time buyer guide walks the whole process from first conversation to keys.
- Talk it through. Program eligibility depends on details a webpage can't check - income structure, credit history, gift funds, the specific property. That's a 15-minute call, and it's free.
Frequently asked questions
Does California have a first-time home buyer program?+
Several. CalHFA offers below-market first mortgages plus the MyHome down payment assistance loan, and programs like Dream For All have offered shared-appreciation help. On top of that, FHA, VA, USDA, and 3%-down conventional loans all serve first-time buyers.
What credit score do I need for first-time buyer programs in California?+
FHA accepts 580 with 3.5% down (500 with 10% down). CalHFA and most conventional programs look for 620-660+. Higher scores mean better pricing across every program.
Can I combine down payment assistance with an FHA loan?+
Yes - this is the most common combination for California first-timers. CalHFA MyHome can cover the entire 3.5% FHA down payment as a deferred second loan with no monthly payment.
How much do I need saved to buy my first home in Sacramento?+
With assistance, sometimes almost nothing: FHA + CalHFA + seller credits can bring cash-to-close close to zero. Without assistance, plan on 3.5% down plus 2-3% in closing costs - roughly $25,000 on a $450,000 home.
Do I qualify if I owned a home years ago?+
Probably. Most programs define a first-time buyer as someone who hasn't owned a home in the past three years.