CalHFA Dream For All Closed for 2026: What CA First-Time Buyers Can Do Now

Dream For All: A Powerful Tool, Now Closed

California's most generous down payment assistance program — the CalHFA Dream For All Shared Appreciation Loan — closed its application portal on March 16, 2026. If you missed it, you're not alone. The program received overwhelming demand and exhausted its available funds quickly, as it has every year since launching.

For context: Dream For All offered first-generation homebuyers up to 20% of the purchase price — up to $150,000 — as a shared appreciation loan toward their down payment and closing costs. The 2025–26 State Budget allocated $300 million to the program, funding approximately 2,000 households statewide. It's a shared appreciation loan, meaning when you sell or refinance, you repay the original loan amount plus a percentage of the home's appreciation. Not free money — but an incredibly powerful tool for buyers who have income to qualify for a mortgage but can't easily save a large down payment.

If you want to be ready when it reopens: Get on the CalHFA notification list at calhfa.ca.gov now, and get pre-approved so you can act quickly when the portal opens again.

But closing Dream For All doesn't close the door on California first-time buyers. Here's what's still available.

CalHFA MyHome Assistance Program

The MyHome program offers a deferred-payment junior loan of up to 3.5% of the purchase price to help with down payment and/or closing costs. Unlike Dream For All, MyHome has more consistent availability throughout the year.

MyHome is paired with a CalHFA first mortgage and deferred until you sell, refinance, or pay off your first mortgage — meaning no monthly payments on the assistance portion. For a $380,000 home, that's up to $13,300 in assistance toward your down payment and closing costs.

FHA Loans: 3.5% Down with Competitive Rates

FHA loans require only 3.5% down for borrowers with a 640+ credit score (10% down if your score is between 580–639). As of mid-April 2026, FHA 30-year fixed purchase rates are averaging approximately 5.375% — among the most favorable entry points in the past two years.

For a $380,000 purchase with 3.5% down:

• Down payment: $13,300
• Loan amount: $366,700
• Estimated monthly principal & interest at 5.375%: approximately $2,053

That's a number many Bakersfield buyers can work with, especially when combined with MyHome or local down payment assistance grants. Payment estimates are for illustrative purposes only; actual payment will vary based on credit, lender, and loan terms.

VA Loans: No Down Payment for Veterans

If you've served in the military, VA loans require no down payment and no private mortgage insurance (PMI). For eligible veterans, active-duty servicemembers, and surviving spouses, this is one of the most powerful paths to homeownership available.

VA 30-year fixed purchase rates are averaging approximately 5.625% as of mid-April 2026. Kern County has a strong veteran community — if you've served, make sure you're using every benefit you've earned.

VA loans are guaranteed by the Department of Veterans Affairs. Eligibility and entitlement requirements apply. Contact us to verify your eligibility.

USDA Rural Development Loans

Parts of Kern County outside Bakersfield proper may qualify for USDA Rural Development loans, which also offer no down payment and competitive rates for eligible borrowers. Eligibility is based on property location and household income limits. Contact us to verify whether your target area and income qualify.

Get Your Credit Ready

For buyers who aren't quite ready, a few months of focused credit work can significantly change your loan options:

• Pay down revolving balances. Keeping credit card utilization under 30% meaningfully improves your score.
• Dispute errors. Pull your free report at AnnualCreditReport.com and challenge any inaccuracies.
• Don't open new credit. New inquiries temporarily lower your score — avoid new cards or loans while preparing to buy.
• Build a 6-month payment streak. On-time payments are the single biggest factor in your credit score.

Moving from a 600 to a 640 credit score can unlock FHA's 3.5% down option and meaningfully improve your interest rate.

The Bottom Line for Bakersfield First-Time Buyers

Dream For All being closed for 2026 is disappointing. But between FHA financing, CalHFA MyHome DPA, VA loans, and USDA options, there are multiple real paths to homeownership in Bakersfield — especially with rates near their lowest levels since early 2025.

The first step is a free pre-approval conversation so you know exactly where you stand and which programs you qualify for.

Questions about which program fits your situation? Contact Omar — we'll walk through every option that works for your income, credit, and down payment goals. You can also use our mortgage calculators to estimate monthly payments across different loan programs.