CalHFA has executed agreement for employer-funded shared‑appreciation pilot for down‑payment assistance

CalHFA said it has secured a partner and is finalizing program details for an employer‑funded shared‑appreciation down‑payment pilot.

Ellen Martin, CalHFA’s director of homeownership programs, told the New Opportunities Committee that the pilot would model the benefit on CalHFA’s Dream for All shared‑appreciation loan and that the external partner would fund the down‑payment assistance while CalHFA would administer origination and servicing. "We have executed a funding and implementation agreement with a potential new program partner," Martin said.

Context: CalHFA’s single‑family programs mainly provide down‑payment and closing‑cost assistance to low‑ and moderate‑income first‑time buyers and generally recycle funds rather than rely on recurring general fund appropriations. Martin noted the agency has experimented with forgivable loans, shared‑appreciation instruments and taxable mortgage revenue bonds in recent years.

Pilot design and goals: Staff are finalizing program guidelines, parameters and requirements and expect to publish details and a formal announcement soon. Martin said if the pilot succeeds it could pave the way for similar employer partnerships statewide.

Supply constraint acknowledged: Martin emphasized that down‑payment assistance is constrained by the inventory of entry‑level homes and that staff will explore ways to combine demand‑side assistance with supply‑side measures, partnerships with local governments and targeted subsidy programs to increase impact.

Next steps: CalHFA will complete guideline development, finalize the partner announcement and present the new strategic plan to the board next month, where officials plan further discussion of program calibration and supply‑focused strategies.