Current Mortgage Rates in California
Mortgage rates in California currently sit above recent historical lows. California mortgage rates are in the range of:
Fixed-rate mortgages:
- 30-year: Rates currently fall between 6.40% and 7.01%, with an average around 6.65%.
- 15-year: Rates are generally lower, averaging around 5.85%.
- 5-year ARM: This adjustable-rate option comes with higher risks but potentially lower initial rates, averaging around 7.14%.
- FHA loans: Backed by the Federal Housing Administration, these can offer lower credit score requirements and interest rates. They currently average around 6.25% for 30-year terms.
- VA loans: VA loans typically offer favorable rates and terms for veterans and active-duty service members. They currently average around 6.00% for 30-year terms.
- Jumbo loans: Rates tend to be slightly higher for loan amounts exceeding conforming loan limits. They currently average around 6.40% for 30-year terms.
3 Best California Home Buyer Programs
CalHFA FHA Loan Program
The CalHFA FHA Loan Program offers a 30-year fixed-rate first mortgage insured by the FHA.
Who Is It Available To? To qualify for the CalHFA program, applicants must occupy the property as their primary residence, can’t have non-occupant co-borrowers, and must complete homebuyer education counseling while meeting the specified income limits.
Income Limits: Varies by county. Find your county here to learn more.
Is It Only for First-Time Homebuyers? Yes.
Loan Options? Yes.
Is There Down Payment and Closing Cost Assistance? Yes.
Dream For All Shared Appreciation Loan
The Dream For All Shared Appreciation Loan is designed to provide down payment assistance to first-time homebuyers. It's meant to be combined with the Dream For All Conventional primary mortgage. Then, upon the eventual sale or transfer of the property, the homebuyer reimburses the initial down payment loan along with a portion of the home's increased value.
Who Is It Available To: People with a Dream For All Conventional Mortgage.
Income Limits: The borrower income must be less than or equal to 80% AMI using the HomeReady Lookup Tool
Is It Only for First-Time Homebuyers? Yes.
Loan Options? Yes.
Is There a Down Payment and Closing Cost Assistance? Yes.
CalHFA VA
CalHFA VA extends its lending support to eligible military personnel, veterans, and their qualified spouses, offering a 30-year, stable-rate VA mortgage with the flexibility to borrow up to the 2023 high-cost conforming loan limit of $1,089,300—and there's no down payment requirement.
Who Is It Available To? Eligible military personnel, veterans, and their qualified spouse.
Income Limits: Varies by county. Find your county here to learn more.
Is It Only for First-Time Homebuyers? Yes.
Loan Options? Yes.
Is There Down Payment and Closing Cost Assistance? Yes.
In Closing: The Best California Home Buyer Programs
These California home buyer programs are top choices for first-time buyers, veterans and military families, and most other people hoping to get their first mortgage. Most programs offer competitive rates and various loan options to meet the needs of different borrowers.
Browse the Lendstart blog for more mortgage resources, including the best options for first-time homebuyers and a comparison of the best 10-year mortgage rates.