The Complete Guide for Inland Empire & Riverside County Buyers
Quick Answer — What Is the California Dream For All Program?
The California Dream For All Shared Appreciation Loan is a state-backed down payment assistance program administered by the California Housing Finance Agency (CalHFA). It gives qualifying first-time, first-generation homebuyers up to 20% of the home purchase price, capped at $150,000 to use toward their down payment or closing costs. In return, when the home is sold or transferred, the buyer repays the original assistance amount plus a proportionate share of the home’s appreciation. The 2026 application window is February 24 – March 16, 2026. Riverside County buyers may earn up to $164,000 in combined household income and still qualify.
⏰Application Window Closes March 16, 2026 at 5:00 p.m. PST.
The portal opened February 24, 2026. Don’t wait this is a lottery, not first-come-first-served, but your application must be submitted before the deadline to be entered.
👉 Apply Now at CalHFA.ca.gov/dream
If you’ve been dreaming of owning a home in Lake Elsinore, Riverside County, or anywhere in the Inland Empire but feel like the down payment is the one thing standing between you and the keys this is the program you need to know about right now.
California’s Dream For All Shared Appreciation Loan just reopened for its 2026 round, and with the application window closing on March 16, 2026, time is short. At Legacy Homes Realty, we help buyers across the Inland Empire navigate this process every day. We’ve put together this complete, plain-English guide so you know exactly what the program is, whether you qualify, how to apply, and what to expect.
📋 Dream For All 2026 — At a Glance
- Program Name: California Dream For All Shared Appreciation Loan
- Administered by: California Housing Finance Agency (CalHFA)
- Assistance Amount: Up to 20% of purchase price, max $150,000
- Use: Down payment and/or closing costs
- 2026 Funding: $150 million – $200 million available (state budget allocated $300M total)
- Selection Method: Randomized lottery drawing not first-come-first-served
- Application Window: February 24 – March 16, 2026 at 5:00 p.m. PST
- Riverside County Income Limit: $164,000 combined household income
- Minimum Credit Score: 660
- Repayment: When you sell, transfer, or refinance original amount + share of appreciation
- Monthly Savings: Program saves the average buyer ~$1,200/month (California Forward, 2022)
- Official Source: CalHFA.ca.gov/dream
What Is the California Dream For All Program?
The California Dream For All Shared Appreciation Loan is exactly what it sounds like: a loan that helps Californians make their dream of homeownership real. It was created by the state legislature, funded through the California state budget, and is run by the California Housing Finance Agency (CalHFA) a self-supporting state agency that has helped more than 233,000 California families buy a home since 1975, financing over $43.5 billion in first mortgages.
The program pairs with a CalHFA Dream For All Conventional first mortgage, and the assistance loan covers up to 20% of the purchase price (capped at $150,000) so buyers can make a larger down payment often eliminating the need for private mortgage insurance (PMI) entirely and reducing their monthly payment significantly.
Here’s the trade-off, and it’s an important one to understand: this is a shared appreciation loan. CalHFA isn’t giving you the money for free. When you eventually sell your home, refinance, or reach the end of your 30-year loan term, you repay the original assistance amount plus a proportionate share of your home’s appreciation. For example, if CalHFA contributed 20% of your purchase price, you repay 20% of the amount plus 20% of the home’s appreciation over time. Buyers at or below 80% of the Area Median Income (AMI) qualify for a reduced repayment share of just 15%.
The key insight? You don’t make monthly payments on this assistance loan. It lets you get into a home years earlier, build equity that is mostly yours, and save dramatically on monthly costs while doing it. According to a 2022 report by California Forward for the California State Treasurer’s Office, the program saves the average homebuyer approximately $1,200 per month compared to buying without it.
Do You Qualify? Eligibility Requirements Explained
CalHFA has a specific set of requirements for the Dream For All program. Here’s what every borrower needs to know, especially if you’re buying in Riverside County, Lake Elsinore, or the broader Inland Empire.
✅ First-Time Homebuyer
All borrowers on the loan must be first-time homebuyers, meaning you have not owned a home in the past three years.
✅ First-Generation Buyer
At least one borrower must be a first-generation homebuyer, meaning your parents do not currently have an ownership interest in a home in the United States. Foster care alumni may also qualify.
✅ California Resident
At least one borrower must be a current resident of California and intend to occupy the purchased home as a primary residence.
✅ Income Limits
Combined household income must not exceed the CalHFA limit for the county where you’re purchasing. For Riverside County, the limit is $164,000. San Bernardino County is also $164,000.
✅ Credit Score
A minimum credit score of 660 is required to participate in the Dream For All program.
✅ Homebuyer Education
At least one borrower must complete a CalHFA-approved homebuyer education and counseling course before closing.
Inland Empire — Your Regional Pool
CalHFA divides California into nine regions for the lottery. If you live in Lake Elsinore or anywhere in Riverside County, your application goes into the Inland Empire region, which includes Imperial, Riverside, and San Bernardino Counties. This means you’re competing with a regional pool not statewide giving every corner of California a fair shot.
At least 10% of total funding is reserved for applicants living in a Qualified Census Tract, per Governor Newsom’s direction, to ensure equitable distribution across underserved communities.
How to Apply for Dream For All: Step-by-Step
CalHFA does not lend money directly to consumers. You must work through a CalHFA-approved lender. Here is the full process, as outlined on the official CalHFA website at calhfa.ca.gov/dream:
- Check Your Eligibility
Confirm you meet all requirements: first-time buyer, first-generation buyer, California resident, income under $164,000 (Riverside County), credit score 660+. - Connect With a CalHFA-Approved Lender
Talk to a lender who is specifically approved and offering the Dream For All program. You cannot apply without a lender involved. CalHFA maintains a directory of approved lenders at their website. - Secure Your DFA Pre-Approval Letter
Work with your loan officer to get a California Dream For All (DFA) Lender Pre-Approval Letter. You need this letter before you can register for a voucher. - Complete the Free Dream For All Education Course
Take the free, 1-hour online California Dream For All education course available at calhfa.ca.gov which explains how shared appreciation works and how it affects your mortgage repayment. You also need to complete the broader CalHFA homebuyer education course (eHome’s 8-hour online course for $100, or in-person through NeighborWorks America or a HUD-approved agency). - Gather Your Documents
Prepare the following before registering:- Government-issued photo ID (passport, driver’s license, state ID, military ID, permanent residence card, visa, or employment authorization document)
- Proof of current California address (utility bill, cell phone bill, insurance bill, voter registration, or car registration)
- Parent information (to verify first-generation status)
- Foster care documentation (if applicable)
- Your DFA Pre-Approval Letter from your lender
- Submit Your Application in the Portal
Between February 24 – March 16, 2026, create an account in CalHFA’s DFA Pre-registration Portal and submit your voucher application. Only one application per household. Duplicate applications will be disqualified. - Wait for the Lottery Drawing
After March 16, CalHFA conducts the randomized selection process. You will be notified by email of your status. - Shop for a Home (90 Days)
If selected, voucher recipients have 90 days to find a home, enter a purchase contract, and have their lender reserve the DFA loan in CalHFA’s system before the voucher expires.
Ready to Apply for Dream For All?
The portal is open right now. Don’t miss the March 16 deadline. Apply directly at CalHFA’s official site or contact our team we can connect you with a CalHFA-approved lender today.Apply at CalHFA.ca.gov →Contact Legacy Homes Realty
Understanding Shared Appreciation: What You Repay & When
The shared appreciation model is what makes this program different from a traditional grant. Here’s a simple breakdown so there are no surprises:
Imagine you purchase a $500,000 home in Lake Elsinore. CalHFA contributes 20% that’s $100,000 toward your down payment. Years later, you sell the home for $700,000. Your home appreciated by $200,000. You repay CalHFA the original $100,000 plus 20% of the $200,000 appreciation another $40,000. Total repayment: $140,000. You keep the remaining $160,000 in appreciation (plus whatever equity you built through your mortgage payments). That’s still a significant win.
For buyers at or below 80% of the Area Median Income, the repayment share drops to 15% instead of 20%, making the deal even better.
There is one exception that does not trigger repayment: a one-time refinance. After that, any future refinance or sale will trigger repayment. Assistance funds cannot be used to pay off borrower debt, and borrowers cannot receive any cash back from the shared appreciation loan.
Why This Program Matters Right Now in Lake Elsinore & Riverside County
Homeownership in the Inland Empire has never been easy for first-generation buyers. Home prices in Lake Elsinore, Menifee, Perris, and surrounding cities have climbed significantly over the last decade, and saving a 20% down payment on a $450,000–$600,000 home that’s $90,000–$120,000 in cash is simply out of reach for most working families, even those with solid incomes.
That’s exactly the problem Dream For All was built to solve. With a maximum income limit of $164,000 for Riverside County households, this program reaches working-class and middle-class families alike nurses, teachers, firefighters, warehouse workers, small business owners the backbone of the Inland Empire.
The program’s track record speaks for itself. Since its launch, CalHFA has helped more than 6,800 California families buy their first home in a single fiscal year, and over 1,700 of those used Dream For All down payment assistance. When the first round launched in 2023, $300 million in funding ran out in just 11 days. The 2026 round uses a lottery to prevent that chaos but it also means every eligible family in Riverside County deserves to enter, even if you think you don’t have a shot.
“The California Dream For All program has already helped thousands of Californians buy their first home. As these homeowners begin to repay their loans, the funds are reinvested into the program to create a cycle that will continue far into the future, planting the seeds of generational wealth to help keep the California dream alive.”
— Tony Sertich, CalHFA Executive Director
Source: CalHFA Press Release, January 16, 2026
Learn More: Official CalHFA Video Resources
CalHFA has produced several free educational videos to help you understand the program before you apply. We recommend watching all of them. They are available on the CalHFA Dream For All Resources page.
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How to Use the Dream For All Shared Appreciation Loan
Learn how the DFA loan works as down payment and closing cost assistance. (3:01)Watch on CalHFA.ca.gov →
▶️
CA Dream For All: What You Can Do Now to Get Ready
Step-by-step prep guide for the application process. (3:13)Watch on CalHFA.ca.gov →
▶️
First-Time vs. First-Generation Homebuyer — What’s the Difference?
Explains eligibility definitions in detail. (3:47)Watch on CalHFA.ca.gov →
▶️
Which CalHFA Down Payment Programs Could Benefit You?
Overview of all CalHFA DPA options. (3:58)Watch on CalHFA.ca.gov →
📽️ All videos are free and hosted on the official CalHFA website. View the complete video library at calhfa.ca.gov/dream/resources.
Frequently Asked Questions
Is Dream For All first-come-first-served?
No. Unlike the 2023 pilot round that ran out of money in 11 days, CalHFA now uses a randomized lottery. Every eligible applicant who submits a complete application before March 16, 2026, is entered into the drawing equally. You have just as much chance applying on day one as on day 20.
My parents own a home, do I still qualify?
It depends. The first-generation requirement is that your parents do not currently have an ownership interest in a home in the United States to the best of your knowledge. If your parents sold their home, passed away, or never owned one, you may still qualify. Former foster youth are also eligible under an exception. CalHFA verifies this information, and fraudulent applications can be referred to the California Department of Justice.
What happens if I’m selected in the lottery?
You receive a conditional approval and have 90 days to shop for a home, sign a purchase contract, and have your CalHFA-approved lender reserve the DFA loan in CalHFA’s system. If you don’t find a home in time, the voucher expires.
Do I have to make monthly payments on the Dream For All assistance?
No. There are no monthly payments on the shared appreciation loan. You repay the original amount plus a share of appreciation only when you sell, transfer the home, or refinance (with one exception for a single refinance allowed without triggering repayment).
Can I combine Dream For All with other CalHFA programs?
The Dream For All Shared Appreciation Loan cannot be combined with CalHFA’s MyHome Assistance Program. It must be paired with the Dream For All Conventional first mortgage. Your lender can walk you through what combinations are allowed.
What is the minimum down payment contribution from the buyer?
The program requires a minimum cumulative loan-to-value ratio of 95%, meaning the borrower may contribute up to 5% of their own funds toward the down payment. The maximum additional borrower-funded down payment contribution is capped at 5%.
What is the 2026 income limit for Riverside County?
The current income limit for Riverside County is $164,000 in combined household gross income. San Bernardino County shares the same limit at $164,000.
How much funding is available in 2026?
CalHFA expects to make between $150 million and $200 million available in 2026, out of the $300 million allocated by the 2025-26 State Budget. This is expected to help approximately 2,000 additional households, including some buyers previously on the waitlist.
📌 Sources & Official Resources
All program information is sourced from the California Housing Finance Agency (CalHFA), the official state agency administering this program. Legacy Homes Realty gives full credit to CalHFA for the program details referenced in this article.
• California Dream For All — Official Program Page (calhfa.ca.gov/dream)
• Dream For All Resources & Videos
• 2025/2026 Dream For All Income Limits (PDF)
• CalHFA Press Release — January 16, 2026
• CalHFA Phone: 877-9-CalHFA (877-922-5432)
Call Us today at 951-314-4251, we work with local CalHFA-approved lenders to help you get pre-approved.
Buying a Home in Lake Elsinore or the Inland Empire?
Our team at Legacy Homes Realty knows Riverside County inside and out. We can help you understand your Dream For All eligibility, connect you with a CalHFA-approved lender, and guide you every step of the way from voucher to closing.Apply at CalHFA.ca.gov →Talk to Our Team
Disclaimer: Legacy Homes Realty is a real estate brokerage serving Lake Elsinore, Riverside County, and the Inland Empire. We are not CalHFA, nor a lender. This blog post is for informational purposes only and is based on publicly available information from the California Housing Finance Agency. Program details, income limits, and availability are subject to change. Always verify current requirements at calhfa.ca.gov/dream or with a CalHFA-approved lender.
© 2026 Legacy Homes Realty — Lake Elsinore, CA | Serving Riverside County & the Inland Empire
Information credited to: California Housing Finance Agency (CalHFA) | calhfa.ca.gov/dream
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