2026 CalHFA Dream For All Program: Get Ready Now Before Registration Opens
I’m sooo excited to share that the Dream For All program is officially coming back in 2026! This CalHFA program helps first-generation, first-time California homebuyers with one of the biggest barriers to homeownership—the down payment. It’s one of the most popular housing programs in the state, and since it’s funded through limited state resources, buyers who want a shot at it need to start preparing now.
What Is the CalHFA Dream For All Program?
The Dream For All Shared Appreciation Loan is a down payment assistance program that works hand-in-hand with the Dream For All Conventional first mortgage. It offers up to 20% of your home’s purchase price (not to exceed $150,000) that you can use for your down payment and/or closing costs. Unlike a traditional loan, this program doesn’t require monthly payments on that assistance amount. Instead, when you sell or transfer your home, you’ll repay the original loan amount plus a share of your home’s appreciation. For most buyers, that means lower monthly payments and a chance to get into a home sooner while still building equity over time.
Who Qualifies for the 2026 Dream For All Program
To qualify, all borrowers must be first-time homebuyers and at least one borrower must be a first-generation homebuyer. You must also be a current California resident and meet CalHFA’s income limits for the county where you’re buying. To make sure you’re eligible, you’ll apply through a CalHFA-approved lender (like me!)—CalHFA doesn’t take applications directly. You’ll also need to occupy the property as your primary residence and complete CalHFA’s required homebuyer education course.
How the Lottery and Voucher System Works
The Dream For All program uses a randomized lottery system to distribute funds. Homebuyers must register for a voucher when the application portal opens, which is expected in early 2026. Once registration closes, CalHFA will conduct a drawing to select participants who will receive vouchers for the program. It’s not first-come, first-served, so being prepared early is key. The last round was overwhelmed with demand, and funding went fast—so if you want a shot at being selected, you’ll want your pre-approval, income documents, and paperwork ready to go before registration opens.
What “First-Time” and “First-Generation” Really Mean
CalHFA defines a first-time homebuyer as someone who hasn’t owned and occupied a home in the last three years and hasn’t lived in a home owned by a spouse during that time. That means even if you owned a home years ago, you may still qualify!
A first-generation homebuyer is defined as someone who hasn’t been on title, had ownership interest, or been on a mortgage for a home in the U.S. in the last seven years, and whose parents don’t currently own a home (or didn’t at the time of their passing). Individuals who have been in foster or institutional care also qualify as first-generation buyers.
Homebuyer Education Requirement
CalHFA requires all first-time buyers using one of its programs to complete homebuyer education and counseling. Only one borrower per household needs to complete the course. The accepted online course is eHome’s 8-hour class ($100) which includes a one-on-one counseling session. You can also complete it live or virtually through NeighborWorks America or any HUD-approved housing counseling agency (fees vary). This education ensures you fully understand the process, responsibilities, and benefits of homeownership—so you can feel confident from day one.
How Shared Appreciation Works (and Why It’s Still Worth It!)
The shared appreciation structure means that when you sell your home, you’ll repay your original assistance amount plus a portion of your home’s appreciation. For example, if you received a 20% down payment loan, you’ll pay back that amount plus 20% of your home’s appreciation when you sell. For buyers earning 80% or less of the area median income (AMI), that shared appreciation portion is reduced to 15%. While it may sound complex, it allows many Californians to purchase homes years sooner than they could on their own—making it one of the best paths to building long-term wealth.
How to Prepare Now Before Registration Opens
Start preparing now so you’re ready to go when voucher registration opens! To get ready, gather your CalHFA-approved lender pre-approval letter, a valid government ID, and documentation to verify your first-generation status (like your birth certificate or foster care records, if applicable). It’s also smart to review your credit, budget for closing costs, and take your homebuyer education course early. I can help guide you through each step so that when the portal opens in early 2026, you’re positioned to move fast.
Ready to Get Started? Let’s Make 2026 the Year You Become a Homeowner
Funding for the Dream For All program is limited, and the lottery system fills up fast. Getting pre-approved now means you’ll have everything lined up when registration opens. Don’t wait until the last minute—let’s make sure you’re ready to apply as soon as CalHFA releases details! 👉 Apply Now to get pre-approved for the 2026 Dream For All program, or 📞 Contact Cindy to start planning your homeownership journey today.
