October 15, 2026 · By Michele Milota, Loan Officer
Saving for a down payment is one of the biggest hurdles for first-time homebuyers in Sacramento, Elk Grove and across California. The good news: a range of down payment assistance (DPA) programs may help cover part of your down payment or closing costs.
What is down payment assistance?
DPA is money offered to qualifying buyers, typically as a grant, a deferred-payment second loan, or a forgivable loan. It is usually paired with a first mortgage such as FHA or conventional.
Common types of programs in California
- State programs – the California Housing Finance Agency (CalHFA) offers first mortgage and down payment assistance programs for eligible buyers.
- Local and county programs – some cities and counties, including in the Sacramento region, periodically offer their own assistance.
- Lender and grant programs – some programs offer grants toward closing costs for eligible borrowers.
Who may qualify?
Requirements vary, but often include income limits, purchase price limits, minimum credit score, owner-occupancy, and completing a homebuyer education course. "First-time buyer" often means you haven't owned a home in the past three years.
Things to consider
- Some assistance must be repaid when you sell, refinance or pay off the loan.
- Funding can be limited and programs can change or close.
- Combining programs takes coordination, so start early.
How to get started
- Review your budget and credit.
- Talk with a loan officer about which programs you may be eligible for.
- Complete any required homebuyer education.
- Get pre-approved before making offers.
Program availability and eligibility are subject to change. Contact me to review current options for your situation.
This article is for general information only and is not a commitment to lend. All loans are subject to credit approval and program guidelines.