California Dream For All: A New Shared Appreciation Loan Program for First-Time Homebuyers

Learn About a New Program to Support California First-Time Homebuyers

Are you a first-time homebuyer working to save a down payment for your dream home? Well, there’s good news for you! California has recently launched a new program called the Dream For All Shared Appreciation Loan. Keep reading to learn more about this program, including how it works and how it can benefit you.

What is California Dream For All Shared Appreciation Loan?

As a new initiative offered by the state government, the California Dream For All Shared Appreciation Loan program provides first-time homebuyers with down payment assistance of up to 20% of their home’s purchase price in the form of a shared appreciation loan. The best part is that you don’t have to repay the loan until the home is sold or refinanced.

How Does California Dream For All Program Work?

To participate in the program, you must be a first-time homebuyer and meet certain income and credit score requirements. You must also complete an approved homebuying and education course before receiving the loan for your down payment and closing costs. This loan is not interest-bearing, so there will be no monthly payments or accumulating interest to worry about except for those associated with your first mortgage.

When the time comes for you to sell or refinance your home, you will have to repay the loan. You will owe the state of California the initial loan amount plus a percentage of the home’s appreciated value. This percentage is calculated based on the initial loan amount, the time you owned the house, and your Area Media Income (AMI).

Explore the Benefits of California Dream For All Program

There are several benefits of this new first-time homebuyer program. One of the most significant benefits is that it helps buyers put together enough money for a down payment or closing costs. Many first-time homebuyers find this initial payment challenging and something they must save for many years. In addition, this program helps make homeownership more accessible to individuals who may not otherwise be able to afford it.

Another benefit is that the loan is not interest-bearing, meaning buyers won’t have to worry about making monthly payments or accumulating interest on the shared appreciation loan. This benefit also helps to keep homeownership costs down for first-time buyers.

Additionally, the shared appreciation aspect of the loan program can be a benefit. For example, if your home goes up in value during your ownership, you will have to repay the loan plus a percentage of that increase. However, if your home does not appreciate or the value depreciates, you will not owe more than the initial loan amount.

Getting Started

The California Dream For All Shared Appreciation Loan program is an excellent opportunity for first-time homebuyers in California to achieve their dream of homeownership. If you are interested in learning more about this new program, please contact us for more information.

Leave a Comment

Your email address will not be published. Required fields are marked *


This information is deemed reliable but not guaranteed. You should rely on this information only to decide whether or not to further investigate a particular property. BEFORE MAKING ANY OTHER DECISION, YOU SHOULD PERSONALLY INVESTIGATE THE FACTS (e.g. square footage and lot size) with the assistance of an appropriate professional. You may use this information only to identify properties you may be interested in investigating further. All uses except for personal, non-commercial use in accordance with the foregoing purpose are prohibited. Redistribution or copying of this information, any photographs or video tours is strictly prohibited. This information is derived from the Internet Data Exchange (IDX) service provided by San Diego MLS. Displayed property listings may be held by a brokerage firm other than the broker and/or agent responsible for this display. The information and any photographs and video tours and the compilation from which they are derived are protected by copyright. Compilation © 2023 San Diego MLS.

Scroll to Top