5 Steps to Take Before Applying for Dream For All

Dream For All is California's most competitive down payment assistance program. When the registration portal opens, thousands of buyers rush to register — and the ones who succeed aren't just lucky. They're prepared. They've already completed five critical steps that position them to register immediately, get selected, and close on a home before the voucher expires. Here's exactly what to do, in order, before the next Dream For All cycle opens.

Step 1: Get Pre-Approved With a CalHFA-Approved Lender

This is the most important step and the one most buyers skip or rush. Pre-approval is not the same as pre-qualification. Pre-qualification is a rough estimate based on self-reported income. Pre-approval means a lender has pulled your credit, verified your income through pay stubs and tax returns, and issued a conditional approval letter. Dream For All requires your lender to be on CalHFA's approved list — not every lender is. In the Antelope Valley, we work with lenders who have closed 50+ CalHFA loans and can issue pre-approval within 5-7 business days.

Step 2: Check and Improve Your Credit Score

CalHFA's minimum credit score for most Dream For All-eligible first mortgages is 660. If your score is below 660, you have work to do — but it's fixable. Start by pulling your free credit reports from annualcreditreport.com. Dispute any errors (incorrect balances, accounts that aren't yours, late payments that were actually on time). Pay down credit card balances below 30% of their limits. Do not open new credit accounts or close existing ones. Most buyers can improve their score by 30-50 points in 60-90 days with targeted actions. If your score is below 600, allow 4-6 months for improvement.

Step 3: Gather Your Documentation

• 2 years of federal tax returns (all pages, all schedules)
• 2 most recent pay stubs covering 30 days of income
• 2 months of bank statements (all pages, all accounts)
• Valid government-issued ID (driver's license, passport, or consular ID)
• Social Security Number or ITIN
• If self-employed: 2 years of tax returns plus profit & loss statement
• If receiving alimony/child support: court order and proof of receipt for 6+ months
• First-generation homebuyer affidavit (if applicable)
• Homebuyer education course certificate (HUD-certified)

Step 4: Complete a Homebuyer Education Course

CalHFA requires all Dream For All applicants to complete a HUD-certified homebuyer education course. This can be done online through providers like eHome America, Framework, or Housing Action Council. The course costs $50-$100 and takes approximately 6-8 hours. You'll receive a certificate upon completion that your lender includes in your Dream For All application. Don't leave this for the last minute — complete it now so it's ready when the portal opens. The course covers budgeting, the mortgage process, responsibilities of homeownership, and how to avoid predatory lending — valuable knowledge for any first-time buyer.

Step 5: Understand the Shared Appreciation Terms

Dream For All is not a grant. It's a shared appreciation loan. This means when you sell, refinance, or pay off your first mortgage, you repay CalHFA the original loan amount plus their proportional share of your home's appreciation. If CalHFA provided 20% of your purchase price and your home appreciated $100,000, CalHFA receives 20% of that appreciation ($20,000) plus the original loan. Understand this math before you apply — it's a fair trade for most buyers who would otherwise have no path to homeownership, but you should know exactly what you're agreeing to.

Your Dream For All Readiness Checklist

Don't Wait — Start Your 5 Steps Today

Every step on this list can be started right now. The buyers who win with Dream For All are the ones who prepared weeks or months in advance — not the ones who scrambled after the portal opened. Call Elizabeth Huerta at De Tu Lado Casas — (661) 537-5099 — and she'll walk you through each step, connect you with a CalHFA-approved lender, and make sure you're lottery-ready before the registration window opens. Free consultation, bilingual service, and a team that's helped 57+ families buy homes in the Antelope Valley.