The following chart is provided as a summary of the basic qualifying features of California’s most popular down payment assistance programs. These programs are available for responsible California home buyers who struggle to save for a down payment. Buy a home with as little money out of pocket as possible. More details of each program is provided below.
UPDATED August 2021
| Program Name | County Served | Minimum Credit Score | Maximum Income Amount |
|---|---|---|---|
| GSFA Platinum Program | All Counties | 640 | Based on County |
| GSFA Conventional Loans | 640 | Based on County |
|
| GSFA Government Loans | 640 | Based on County |
GOLDEN STATE FINANCE AUTHORITY (GSFA) PLATINUM PROGRAM
GOLDEN STATE FINANCE AUTHORITY (GSFA)
PLATINUM PROGRAM
California’s Golden State Finance Authority (GSFA) created the Platinum Program, which provides low-to-moderate income California homebuyers with down payment and/or closing cost assistance to help them achieve their goals of purchasing a home.
The program has been updated to offer a greater variety of opportunities to California home buyers, with options under this program including different down payment amounts, higher maximum loan amounts and income limits, and diverse qualifying criteria.
Program Highlights:
- There isn’t a minimum amount to close. This down payment assistance can potentially cover all down payment and closing costs.
- No first time home buyer requirement for most of the subprograms.
- Maximum loan amount is $548,250.
- The assistance money received is a silent second mortgage that carries no interest, no payment, and is forgiven monthly over the first three years of home ownership. The lien is completely forgiven after you stay in the home for three years without refinancing. The purpose of the silent second mortgage is to provide stability and ensure the ongoing success of the program.
General Qualifications:
- Borrower must occupy the property as primary residency.
- Must fall under program’s income limits.
- Credit score of 640.
- Maximum Debt-to-income ratio is 50%.
GOLDEN STATE FINANCE AUTHORITY (GSFA) CONVENTIONAL LOAN PROGRAMS
Conventional loans are a great option to pair with down payment assistance, since this will allow you to remove private mortgage insurance from loans with less than 20% down.
Program Qualifications:
- Down payment assistance options up to 5% of First Mortgage Loan amount.
- Down payment assistance for Second Mortgage Loan is forgivable after 3 years.
- Minimum credit score is 640
- Maximum Debt-to-income ratio is 50% (with FICOs 680+).
- Income limits: At or below 80% of the areas Median Income (AMI).
Program Highlights:
- Down payment assistance options up to 5% of First Mortgage Loan amount.
- Down payment assistance for Second Mortgage Loan is forgivable after 3 years.
GOLDEN STATE FINANCE AUTHORITY (GSFA) FHA, VA, USDA LOAN PROGRAMS
Government loan programs can be a great option because they usually have easier qualifying requirements. Three common government loan programs are FHA, USDA, and VA.
VA and USDA loans are two popular government loan programs that offer 100% financing. Since there is no down payment requirement, assistance money from the program is instead used to cover closing costs. As such, you can buy your home with little to no money out of pocket. Home Plus VA and USDA Loan Programs are great California zero down loan programs that are offered anywhere in California.
FHA loans with down payment assistance in California are popular because of their flexibility and other benefits. They still have many advantages that make them attractive to California first time homebuyers. The Home Plus FHA loan program is offered anywhere in California.
Program Highlights:
- Up to 5.00% of the Total First Mortgage Loan amount.
- Rate of Second Mortgage is 0%.
- If using an FHA loan with Home Plus, the maximum loan amount depends on the FHA loan limits in your county.
Program Qualifications:
- Lenders are required to submit documentation of a buyer’s eligibility within five days of loan reservation.
- Borrower must occupy house as primary residency.
- FHA minimum credit score: 660.
- VA and USDA minimum credit score: 640.
- FHA maximum Debt-to-income ratio: 45% (50% with FICO 680+).
OTHER RESOURCES
California Department of Housing
California Housing Finance Agency (CalHFA)
California Home Buyer Concierge Service
Free buyer concierge service for California home buyers that connects you with real estate professionals who will protect your interests.
