California offers real help with your down payment and closing costs — often as a deferred second loan with no monthly payment. Here's how CalHFA works, who qualifies, and how to stack it with your rebate.
California offers down payment and closing-cost assistance for eligible buyers, mostly through CalHFA. It pairs a first mortgage with a subordinate loan for your down payment — often deferred, meaning no monthly payment until you sell or refinance. Eligibility generally requires first-time buyer status (no ownership in three years), county income limits, a homebuyer education course, and an approved lender. Assistance can stack with a buyer rebate to lower both your upfront cash and closing costs.
California offers real down payment and closing-cost assistance for eligible buyers — most of it through CalHFA, the state's housing finance agency. Much of it comes as a deferred second loan you don't pay monthly.
If the down payment is what's standing between you and a home, this is the page to read. Assistance can shrink or even cover your upfront cash, and it can pair with a buyer rebate to lower your closing costs too. Programs and amounts change, so treat this as a map and confirm current terms with your lender. First-time buyer? Start with the first-time buyer guide.
CalHFA pairs a first mortgage (conventional, FHA, or others) with optional assistance for your down payment and closing costs. The assistance is typically structured as a subordinate (second) loan — often deferred, meaning no monthly payment on it, repaid when you sell, refinance, or pay off the home. The exact programs shift over time, but the model stays consistent: a main loan plus help getting in the door.
| Piece | What it does |
|---|---|
| First mortgage | Your main home loan (conventional/FHA) |
| Down payment assistance | Subordinate loan toward your down payment |
| Closing-cost help | Assistance toward closing costs, where offered |
| Deferred repayment | Often no monthly payment on the assistance |
Program names and details change. Confirm what's currently available and the exact repayment terms with an approved lender.
Eligibility generally comes down to a few things:
Here's the combination that changes the math for first-time buyers: use down payment assistance to reduce your upfront cash, then apply your buyer rebate (up to 1% of the price) as a closing-cost credit to cut what you bring at closing. One lowers the down payment hurdle; the other lowers closing costs. Together they can make a purchase possible that felt out of reach. We'll coordinate both with your lender.
Confirm first-time status, county income limits, and residency.
Complete an approved education course — often required.
Get pre-approved through a CalHFA-approved lender like iLoanCA.
We coordinate the rebate as a closing-cost credit alongside assistance.
Assistance plus rebate lower your money to close.
We'll check your eligibility, connect you with an approved lender, and stack assistance with your rebate to lower your cash to close.
Disclaimer: Portfolio Home Realty is a licensed California real estate brokerage (DRE #02232009) serving Los Angeles County and Orange County. The buyer rebate is a portion of the buyer-side commission returned to eligible buyers at closing and is generally up to 1% of the purchase price, subject to lender approval and the seller offering buyer-agent compensation. Dollar figures on this page are illustrative estimates, not guarantees. This page is general information, not legal, tax, or lending advice — consult your CPA, attorney, or lender about your situation. Equal Housing Opportunity.