Down Payment Help for Sacramento Homebuyers: Programs That Can Make Buying a Home Easier

Saving for a home in California is tough. In fact, California is the hardest state in the country to save for a down payment.

According to Consumer Affairs data from October 2025, it would take the average California resident over 25 years to save up a 10% down payment on a typical home.

But there's good news for people hoping to buy a home in Sacramento. Several programs exist to help first-time buyers with down payments and other upfront costs. Here's a simple breakdown of the options available.

Why Down Payment Help Matters

In Sacramento, the typical home sells for around $480,000 (as of May 2026). A traditional 20% down payment on that home would be nearly $100,000. That doesn't even include closing costs, inspection fees, and other expenses.

For most people, saving that much money isn't realistic. That's where down payment assistance programs come in.

Programs Available to Sacramento Homebuyers

1. Dream For All Shared Appreciation Loan (CalHFA)

This program, run by the California Housing Finance Agency (CalHFA), offers up to 20% of the home's purchase price to help cover down payment and closing costs.

Who can apply:

• At least one buyer must be a first-generation homebuyer (meaning their parents never owned a home)
• At least one buyer must currently live in California
• Sacramento buyers must earn $191,000 or less per year
• You must work with a CalHFA-approved lender
• You need a pre-approval letter before applying

Applications opened on February 24. When buyers pay back these loans, the money goes back into the program to help future homebuyers.

2. MyHome Assistance Program (CalHFA)

This program offers a loan to help with down payment or closing costs. The best part? You don't have to make payments right away. Payments are put on hold until you sell your home, refinance, or pay off your main mortgage.

How much you can get:

• Up to 3.5% of the home's price if you use an FHA loan
• Up to 3% if you use a conventional loan

Who can apply:

• Must be a first-time homebuyer (haven't owned a home in the past 3 years)
• Must live in the home as your main residence
• Must complete a homebuyer education course
• Sacramento buyers must earn $239,000 or less per year
• The home must be a single-family house or approved condo

You'll need to apply through a CalHFA-approved lender and have documents ready like pay stubs, bank statements, and tax returns.

3. Zero Interest Program – ZIP (CalHFA)

This program helps cover closing costs, which are often an unexpected expense for first-time buyers.

Key details:

• Offers 2% or 3% of your main loan amount
• Zero percent interest – you won't pay extra on this loan
• Payments are put on hold for the life of your main mortgage
• Can be combined with the MyHome Assistance Program to cover both down payment and closing costs

The same requirements as MyHome apply: Sacramento buyers must earn $239,000 or less and work with a CalHFA-approved lender.

4. WISH Program (Sacramento Credit Union)

Sacramento Credit Union partners with the Federal Home Loan Bank of San Francisco to offer the Workforce Initiative Subsidy for Homeownership (WISH) Program.

This program gives you $4 for every $1 you save (up to $32,837 in 2026) to help with down payment and closing costs.

Who can apply:

• Must be a first-time homebuyer
• Household income must be at or below 80% of the area's median income
• Must live in the home as your main residence
• Must complete a homebuyer education course
• Your savings or gift money can count toward your contribution, but other grants don't count

Bonus: The grant may be completely forgiven after you live in the home for five years straight.

Act Now – These Programs Won't Last Forever

Funding for these programs can run out, and the rules can change. If any of these options sound like a good fit, reach out to a CalHFA-approved lender or Sacramento Credit Union to find out if you qualify.

Buying a home in Sacramento is challenging, but with the right help, it's possible to make it happen much sooner than 25 years from now.

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Find out if you're eligible for housing support here!