Buyer Money Guide
Last educational update: October 13, 2026 at 12:32 AM PDT
References are partially verified, pending or overdue. They are not presented as current.
Sam Urban is a California REALTOR®, not a mortgage loan originator. This is education, not a quote, credit application or tax, legal or investment advice. Examples are hypothetical; confirm rates, costs, funding and eligibility with the appropriate professional.
Down payment assistance (DPA) can reduce the cash a buyer needs at closing, but it is not automatic grant money and it does not guarantee loan approval. Programs may use a deferred second loan, a forgivable loan, a shared-appreciation loan, or another structure. Eligibility, funding, property rules, lender approval, and program availability must be confirmed before a buyer relies on the assistance.
CalHFA lists first-mortgage programs and subordinate assistance. Its page describes silent seconds whose payments are deferred until the home is sold, refinanced, or paid in full. For the MyHome program, CalHFA currently describes assistance of up to the lesser of 3.5% of the purchase price or appraised value with a government loan, and up to the lesser of 3% with a conventional loan. Those are program terms, not a promise that a particular buyer will qualify or that funds will be available on a future date.
CalHFA says applicants must use an approved lender; each program can have different income limits, credit and loan requirements, and occupancy rules. The home generally must be the buyer's primary residence, and eligible borrowers must complete required homebuyer education. MyHome requires first-time-homebuyer status under CalHFA's definition. Read the current program page and have the lender confirm the exact terms before writing an offer.
Assistance can affect the transaction beyond the amount due at closing. Ask whether the assistance is repayable, when repayment is triggered, whether interest or shared appreciation applies, and whether it can be combined with the proposed first mortgage. A lender must also review the source and timing of funds, the appraisal, the borrower's income and assets, debts, credit history, and the property's condition. Conventional, FHA, VA, USDA, and investor financing are not interchangeable. For a rental or DSCR loan, underwriting is lender- and product-specific; do not assume owner-occupant DPA applies or that any universal debt-service, reserve, down-payment, or credit threshold exists.
For a home in Lancaster, Palmdale, the Antelope Valley, Santa Clarita, or unincorporated Los Angeles County, check the current city or county housing department, any agency administering the program, and the buyer's lender. Ask whether the address is inside the program's jurisdiction, whether funds are open, whether a waitlist or lottery applies, and whether income, purchase-price, household, education, resale, or occupancy restrictions apply. Availability is unverified until the administering agency confirms it in writing.
Assume, for illustration only, a $500,000 purchase and a hypothetical 3% assistance amount: $500,000 × 0.03 = $15,000. This is not a current rate, award, or eligibility result. It does not calculate closing costs, prepaid items, lender fees, taxes, insurance, repayment, or any required buyer contribution. The lender's Loan Estimate and the program administrator's disclosure control.
Give the lender the property address, income and asset documents, and the program name. Request a written eligibility and funding-status review. Sam Urban is a California REALTOR, not a mortgage loan originator; he can provide real-estate education and local context, while the approved lender or housing counselor must explain loan terms and qualification. This is general education, not legal, tax, mortgage, or financial advice.
Palmdale’s official DPA page currently states pre-applications are closed. Its published income table is dated April 2025, so do not reuse those limits as current. Follow the city’s interest-list instructions and obtain new limits before applying.
Santa Clarita says it is not currently operating a first-time-homebuyer program and points residents to CalHFA and LACDA.
LACDA HOP describes deferred second loans with shared appreciation, not free grants. Only participating lenders submit applications. Its posted participating-city list does not include incorporated Lancaster, Palmdale or Santa Clarita. Unincorporated Los Angeles County addresses may be eligible, subject to confirmation using the county address tool and LACDA. A Santa Clarita mailing address does not establish jurisdiction. Funding and current address eligibility remain unverified until the agency confirms them.
CalHFA MyHome lists deferred junior-loan terms and requires an approved lender. A published program description is not a funding reservation or an approval.
Antelope Valley and Santa Clarita buyers should verify jurisdiction and funding at the address level. A program advertised statewide may have local administration, limited funds, a waitlist, or property and household restrictions. No AV, SCV, or Los Angeles County program was treated as currently available without an administering-agency confirmation.
Compare the assistance's repayment and occupancy terms with the proposed mortgage. Treat every amount and availability statement as subject to current program rules, lender underwriting, and written confirmation.
Some information or programs need additional confirmation. Funding, approval and eligibility are not guaranteed; consult the sources and a licensed lender.
A mortgage pre-approval can help you shop within a realistic range and show a seller that a lender is tentatively willing to finance you. It is not a guaranteed loan, a final underwriting decision, or a promise of a rate.
Closing costs are the upfront expenses for getting a mortgage and transferring a home to you. They are separate from your down payment, and the amount depends on the loan, property, location, services, and contract. Use your lender's Loan Estimate—not a rule of thumb—as the starting point for planning cash to close.
A lender's maximum approval is not the same as a payment that fits your life. This guide is general education for California buyers—not a loan approval, rate quote, tax opinion, or promise of assistance.
Sam can help with your real estate plans and local context, and coordinate a conversation with a mortgage professional. Only a licensed lender evaluates loans, rates and eligibility.