How it works
MyHome is CalHFA's continuous, reservation-based down-payment-assistance program. It predates Dream For All and remains the workhorse for low-to-moderate-income California first-time buyers who either miss the Dream For All lottery windows or don't qualify for that program's tighter income limits.
Structurally, MyHome is a silent second lien. CalHFA funds up to 3% (on conventional first mortgages) or 3.5% (on FHA first mortgages) of the purchase price. The borrower makes no monthly payment on the MyHome loan — it sits behind the first mortgage, accruing simple interest at a fixed rate set by CalHFA. The loan is due in full at sale, refinance, transfer of title, or 30-year maturity.
MyHome is typically stacked with CalHFA's Zero Interest Program (ZIP) for closing costs and the Mortgage Credit Certificate (MCC) for ongoing federal tax benefit. This four-way stack — CalPLUS FHA first mortgage + MyHome DPA + ZIP closing costs + MCC tax credit — is the classic CalHFA play for a first-time buyer under 80% of county AMI.
Unlike Dream For All, MyHome does not share in appreciation. The borrower repays only principal plus accrued simple interest. For buyers planning a long hold in a market with strong appreciation, this makes MyHome the better math over a 15-30 year horizon despite the lower assistance amount.
Who it's for
First-time California buyers with low-to-moderate income who can qualify for a CalHFA FHA or Conventional first mortgage and need just the down payment handled.
Eligibility at a glance
- First-time buyer?
- Yes
- FTB definition
- Has not owned and occupied a primary residence in the past 3 years. Spouse's occupancy counts. Waived in federally designated targeted areas.
- Minimum FICO
- 660
- Maximum DTI
- 45%
- Income limit
- Household income at or below CalHFA county-specific limits — generally 80% of area median income for the standard MyHome, with higher limits in high-cost counties. Check current chart at calhfa.ca.gov.
- Homebuyer education
- 8-hour HUD-approved homebuyer education required for all occupying borrowers before loan closing.
- Minimum borrower contribution
- None — MyHome can cover the full down payment.
Repayment terms
Silent second mortgage deferred for 30 years or until sale, refinance, or transfer of title. 1% simple interest accrues annually on the principal. Full principal plus accrued interest due at sale, refinance, payoff of first, or cessation of owner-occupancy.
Term
30 years
Interest
1.00%
Due at
Sale, refinance, payoff of first mortgage, or 30-year maturity
Property rules
- Eligible property types
- Single-family residence, Condo, PUD, Manufactured (HUD)
- Maximum purchase price
- CalHFA sales price limits — approximately $970K-$1.5M depending on county.
- Owner-occupancy required
- 30 years
Layering & first mortgage options
Works with these first mortgages: CalHFA FHA, CalPLUS FHA, CalHFA Conventional, CalPLUS Conventional
MyHome + ZIP + CalPLUS FHA + MCC is a common stack for low-income first-time buyers. Dream For All replaces MyHome and cannot be layered.
Cannot combine with
How to apply
Process: Reservation through a CalHFA-approved lender at the time of first-mortgage lock. Borrower does not apply to CalHFA directly.
Funding cycle: Continuous — no lottery.
Typical timeline: 30-45 days from reservation to close.
Things that trip borrowers up
- Deferred interest accrues at 1% simple — over 30 years, a $20K MyHome accrues $6K of interest. Smaller drag than many borrowers assume, but needs to be disclosed.
- The 3.5% is calculated on the LESSER of sales price or appraised value. If appraisal comes in low, the DPA shrinks and the borrower covers the gap.
- Credit minimum is 700 when MyHome is layered on FHA (not 660). Check the government-loan matrix before pre-approving.
- Non-occupant co-borrowers NOT allowed on any CalHFA program — including MyHome.
- CalHFA will not resubordinate on refi unless borrower is in an approved loss-mitigation program. Borrowers refinancing in year 5 often owe the full 3.5% + 5 years of 1% simple interest.
- Gift funds + MyHome + seller concessions together can trip FHA stacking limits — cap at 6% seller concession total.
Frequently asked questions
- Do I have to pay back MyHome if I sell in 5 years?
- Yes. At sale, refinance, or transfer of title, the full MyHome loan plus accrued simple interest is due. On a $20K MyHome at 3% simple interest, you'd owe ~$23K after 5 years.
- Can I combine MyHome with Dream For All?
- No. Dream For All replaces MyHome. Most borrowers pick one based on county, income, and first-generation status.
- What's the difference between MyHome and a regular down payment gift?
- A gift is non-repayable; MyHome is a loan. But unlike a gift, MyHome doesn't require a donor, and because it's deferred, it doesn't affect your monthly payment ratios. Gifts must typically be documented and sourced — MyHome is already a pre-approved down payment source for CalHFA first mortgages.