Dream for All Down Payment Program Reopens Feb. 24 for FirstGen Buyers Payment Program

By Anne To | Contributing Writer | California Local News Fellow

Tiffany Duvernay-Smith went from “homelessness to homeowner” after she became a recipient of the Dream For All (DFA) program. 

“I broke through the barriers … about credit score, about having money to put down,” Duverynay-Smith said during a Dream For All Media Briefing. “Whatever you think the barriers are not being able to afford to live in South LA and having to commute. Whatever the doubts are, I just really believe that if there’s a house with your name on it, nothing can stop you.” 

The DFA application is set to open on Feb. 24 and close on March 16. The program provides the opportunity for first-generation homebuyers to get up to 20% – no more than $150,000 – in down payment assistance. 

Duverynay-Smith said that she was able to work on her credit through the help of the program and got it up to a 771. 

The DFA application is set to open on Feb. 24 and close on March 16. The program provides the opportunity for first-generation homebuyers to get up to 20% – no more than $150,000 – in down there payment assistance. 

According to the 2020 U.S. Census, only 7.9% of homeowners in the United States is Black.  

“ Many groups, specifically the black community have been completely shut out of the housing market, both explicitly – through federal and state and local laws and regulations – and implicitly – you may have seen the real estate appraisers that were systematically undervaluing black homes for resale,” said Eric Johnson, an information officer with the California Finance Housing Agency (CalHFA) during the briefing. There’s lots of things that we need to do to try to rectify some of that historical discrimination, and that’s one of the things that we’re trying to do with this program.”  

Homeownership within the Black community has dropped from 2010 to 2023, according to Neighborhood Data for Social Change (NDSC), a USC project tracking data across L.A. County neighborhoods. NDSC reported that only 31% of Black residents own the residences they live in within the county. 

“Black Californians continue to face some of the widest home ownership gaps in the state rooted in generations of redlining, discrimination, unequal access to wealth, and building opportunities,” California Black Media Executive Director Regina Brown Wilson said during the briefing. “Dream For All addresses, one of the most persistent barriers to home ownership. This down payment program will help in prioritizing first-generation home buyers and make it a reality that reflects the lived experience for many black families.” 

DFA was passed in 2021 and has since helped 3,000 applicants become first-time homeowners, according to Johnson. He said that the loan program plans to assist another 1,500 individuals in purchasing their first home with the next round of applications. 

“There’s a lot of people in California who’ve got steady jobs, good income, good credit scores, but haven’t been able to save up to five, sometimes six figures, you need to make a down payment on a house” Johnson said. That’s what Dream for All is all about. The legislature has dedicated hundreds of millions of dollars to this program to really make sure that we can help a lot of people.”  

The loan is only repaid when the home that was purchased is sold, transferred, or the first mortgage is paid in full. 

Johnson said when the DFA program first launched, applications were processed on a first-come first-served basis, but the selection process for this year will be randomized. This allows anyone to have the opportunity to qualify no matter when they submit their application. 

To qualify for the program, the applicants must be a California resident and not have owned a residence in at least seven years. Their parents must also not currently own a residence. There are also income limits that vary based on the county. 

Johnson recommended speaking to a CalHFA approved lender to learn more details about the program, adding that people should start as soon as they can to prepare for when the applications open near the end of the month. 

Documents required for the application include: 

• A California Dream For All (DFA) Lender Pre-Approval Letter 

• A government ID 

• Foster care documentation (if applicable) 

The application also requires information for both parents of the applicant including:  

• Name 

• Date of birth 

• Date of death (if applicable) 

• Current address 

• Proof of parent relationship 

More information can be found on https://www.calhfa.ca.gov/dream/.