One of the most common things I hear from people who want to buy a home in Redding is some version of this: “We’d love to, but we’re just not sure we can pull together the down payment.” It’s an honest concern, and it’s usually the single biggest thing standing between a renter and a set of house keys.
Here’s what a lot of folks in Shasta County don’t realize: California has several programs built specifically to help with that hurdle. They aren’t scams, they aren’t too good to be true, and they’re not just for people with no money. They’re state-backed programs designed to get responsible buyers into homes.
I want to walk through the main ones as they stand in 2026, so you know what’s out there before you decide you can’t afford to buy. Some of this help is more available than people assume.
The down payment might be smaller than you think
Let’s start with the numbers, because the fear is usually bigger than the reality. As of mid-2026, the median home price in Redding is right around $400,000, and across Shasta County it’s closer to $380,000 (source: local MLS data and Redfin, spring 2026).
A lot of buyers assume they need 20% down, which on a $400,000 home would be $80,000. That’s a scary number. But most first-time buyers don’t put down anywhere near that. FHA loans allow as little as 3.5% down, and many conventional loans go as low as 3%. On a $400,000 home, 3.5% is $14,000 — still real money, but a very different mountain to climb.
And here’s the key point: the programs below exist to help cover that down payment and, in some cases, your closing costs too. Stack them the right way and some buyers get in with very little cash out of pocket.
MyHome Assistance: help with the down payment
The workhorse of California’s down payment programs is the MyHome Assistance Program, run by the California Housing Finance Agency (CalHFA).
MyHome gives you a deferred-payment junior loan worth up to 3.5% of the purchase price on an FHA loan, or up to 3% on a conventional loan. On that $400,000 home, that’s roughly $12,000 to $14,000 toward your down payment or closing costs.
The word “deferred” is what makes this so useful. CalHFA calls these “silent seconds” — you don’t make monthly payments on the assistance. You pay it back only when you sell the home, refinance, or pay off the mortgage. So it doesn’t raise your monthly payment. It just quietly sits behind your main loan until the day you move on.
To qualify, you generally need to be a first-time homebuyer, meet CalHFA’s income limits for Shasta County, and complete a homebuyer education course (more on that at the end). MyHome is usually available year-round, subject to state funding, which makes it one of the more dependable options.
CalPLUS and ZIP: help with the closing costs
Down payment is one piece. Closing costs — the lender fees, title, escrow, and prepaid items — are the other, and they can run several thousand dollars on top of your down payment.
That’s where CalPLUS comes in. CalPLUS is a CalHFA first mortgage (available in both FHA and conventional flavors) that carries a slightly higher interest rate than the standard version. In exchange, it comes bundled with the Zero Interest Program, or ZIP — a deferred loan, at zero percent interest, that covers your closing costs, typically in the range of 2% to 3% of the loan amount.
The trade-off is straightforward: you accept a somewhat higher rate on your main loan, and in return a big chunk of your upfront cash need disappears. For a buyer who has enough income to comfortably handle the monthly payment but is short on cash to close, that can be exactly the right swap.
The real power move is stacking. CalPLUS FHA can be combined with both MyHome and ZIP — down payment help and closing cost help together. Done right, some buyers walk into a home with close to zero out of pocket. It’s not the fit for everyone, but it’s worth running the math with a lender.
Dream For All: the big one, with a catch
You may have heard about California Dream For All. It’s the headline-grabber, and for good reason: it’s a shared appreciation loan that provides up to 20% of the purchase price — as much as $150,000 — toward your down payment and closing costs.
The “shared appreciation” part is the catch, and it’s important to understand it. Instead of charging interest, the program shares in a portion of your home’s future appreciation when you sell or refinance. So if your home grows in value, you pay back the original assistance plus a share of that gain. It’s a genuine leg up, but it’s not free money, and you want to go in with eyes open.
Dream For All also has real strings attached. At least one borrower has to be a first-generation homebuyer (meaning your parents didn’t own a home), all borrowers must be first-time buyers, and you have to meet income limits. On top of that, the funding is limited and released in rounds. The application portal closed in March 2026, and a new round of vouchers was released in May 2026 — so availability comes and goes.
My honest take: Dream For All is worth chasing if you qualify, but because the funding is limited and competitive, don’t hang your entire plan on it. Line up MyHome and CalPLUS as your reliable backup.
A special note for teachers and school staff
Shasta County runs on its schools, and there’s a program built just for the people who staff them. The Extra Credit Teacher Home Purchase Program (ECTP) is for teachers, administrators, school district employees, and staff at any California K-12 public school, including charter and county schools.
If you’re a first-time buyer who works in our schools, ECTP offers a deferred junior loan of at least $7,500, or 3.5% of the sale price, whichever is greater. It’s a meaningful thank-you to the folks who show up for our kids every day, and a lot of eligible employees have no idea it exists.
How to actually get started
Here’s the part that trips people up: you don’t apply for these programs directly with the state. You work with a CalHFA-approved lender, who packages the assistance together with your main mortgage. A good local lender will know which combination fits your situation.
Two things to do first. One, take the homebuyer education course — CalHFA requires it, and it’s genuinely useful. You can do it online through eHome’s eight-hour course or in person through a HUD-approved counseling agency. Two, check the current income limits for Shasta County on CalHFA’s website, because they update periodically and vary by county and household size.
If you’re not sure where to start, that’s exactly what I’m here for. I work with lenders across Redding who handle these programs all the time, and I’m happy to point you toward the right one and help you figure out which mix of assistance makes sense before you ever tour a home.
Buying your first place in Shasta County is more doable than a lot of people believe. Sometimes it just takes knowing the help is there.
Program details reflect CalHFA guidelines as of mid-2026 and can change; verify current terms and income limits at calhfa.ca.gov. Home price figures from local MLS data and Redfin, spring 2026.
If you’re thinking about buying and want a straight answer about your options, reach out anytime — 530-953-1100 · jcreteam.com/contact · [email protected]
About Justin Cartwright — Justin Cartwright is a third-generation Shasta County resident and licensed REALTOR® with Waterman Real Estate in Redding, CA. He and the JCRE Team specialize in helping buyers and sellers navigate the Redding and greater Shasta County market with honest guidance and genuine care. DRE License #02093872 · Waterman Real Estate, 1760 Churn Creek Rd, Redding, CA 96002 · 530-953-1100.
