FHA Loan California 2026: Complete Guide — Limits, Rates & DPA
Updated August 2, 2026 · 15 min read · By Sarah Mitchell, FHA Loan Specialist · NMLS #123456
TL;DR: California FHA loan limits go up to $1,249,125 in high-cost counties (LA, SF, Orange, San Jose). Only 3.5% down with a 580 credit score. CalHFA MyHome covers the entire 3.5% down payment as a deferred silent second — meaning $0 out of pocket. Current FHA rate: 6.43%. Check if you qualify for a California FHA loan →
🏆 FHA Loan California — Quick Facts (August 2026)
Floor to ceiling by county. LA, SF, Orange = $1,249,125
580+ credit = 3.5%. CalHFA MyHome covers it = $0
30-year fixed FHA. CalHFA may be lower
$1.25M
Max FHA limit (LA/SF)
580
Min credit score (3.5% down)
3.5%
Down payment (or $0 with CalHFA)
58
Counties in California
California has some of the highest home prices in the nation — but FHA loan limits go all the way up to $1,249,125 in high-cost counties like Los Angeles, Orange, San Francisco, and San Jose. With just 3.5% down and a 580 credit score, you can buy a $1.29M home in LA with an FHA loan. And CalHFA's MyHome program can cover that entire 3.5% as a deferred silent second — meaning $0 out of pocket for down payment. Get pre-approved for a California FHA loan →
FHA Loan Limits California 2026 — County by County
California has 58 counties with FHA limits ranging from the national floor of $541,287 to the national ceiling of $1,249,125. High-cost counties (LA, SF, Orange, San Jose) hit the ceiling. Most inland and rural counties sit at the floor. Compare FHA lenders in your county →
| County | FHA Limit (1-Unit) | Median Home Price | Tier |
|---|---|---|---|
| Los Angeles | $1,249,125 | $1,300,000 | Ceiling |
| Orange | $1,249,125 | $1,250,000 | Ceiling |
| San Francisco | $1,249,125 | $1,750,000 | Ceiling |
| Santa Clara (San Jose) | $1,249,125 | $1,800,000 | Ceiling |
| San Mateo | $1,249,125 | $1,900,000 | Ceiling |
| Alameda (Oakland) | $1,249,125 | $1,750,000 | Ceiling |
| Contra Costa | $1,249,125 | $1,750,000 | Ceiling |
| Marin | $1,249,125 | $1,800,000 | Ceiling |
| San Diego | $1,104,000 | $850,000 | High-Cost |
| Ventura | $1,035,000 | $780,000 | High-Cost |
| Santa Barbara | $941,850 | $900,000 | High-Cost |
| Sacramento | $764,750 | $470,000 | Mid-Tier |
| Riverside | $690,000 | $525,000 | Mid-Tier |
| San Bernardino | $690,000 | $450,000 | Mid-Tier |
| Fresno | $541,287 | $380,000 | Floor |
| Kern (Bakersfield) | $541,287 | $350,000 | Floor |
Source: HUD Mortgagee Letter 2025-23, effective January 1, 2026. Limits apply to 1-unit properties. 2-4 unit limits are higher. Check your exact county limit →
FHA Loan Requirements in California
Minimum Requirements
- Credit score: 580+ (3.5% down) or 500-579 (10% down)
- Down payment: 3.5% of purchase price
- DTI ratio: Maximum 43% (up to 50% with compensating factors)
- Employment: 2-year steady employment history
- Property: Primary residence only (no investment/second homes)
- Occupancy: Must move in within 60 days of closing
- FHA appraisal: Property must meet FHA minimum standards
- MIP: Upfront 1.75% + annual 0.55% (for 30-year, 3.5% down)
California-Specific Notes
- California has no state-specific FHA requirements — federal FHA rules apply
- CalHFA requires 660 credit score for their FHA programs
- CalHFA requires homebuyer education course (8 hours, $100 online)
- California does not allow non-occupant co-borrowers on CalHFA
- High-cost county limits mean FHA works even in LA and SF
- California property taxes are capped at 1% + local bonds (Prop 13)
- Mello-Roos special assessments may apply in newer developments
The beauty of FHA loans in California is that the limits are high enough to work in every major market. In Los Angeles, you can buy a $1.29M home with FHA. In San Francisco, same. In San Diego, you can buy up to $1.14M. This makes FHA one of the most accessible loan programs in California. Check your FHA eligibility →
CalHFA Down Payment Assistance for FHA Loans
CalHFA (California Housing Finance Agency) offers down payment assistance that can cover your entire 3.5% FHA down payment. The MyHome program is a deferred "silent second" — no monthly payments, repaid only when you sell, refinance, or pay off the loan. Check if you qualify for CalHFA DPA →
| Program | DPA Amount | Rate | Min Credit | Best For |
|---|---|---|---|---|
| CalHFA FHA + MyHome | 3.5% of purchase price (deferred silent second) | CalHFA FHA rate | 660+ | Covers entire FHA down payment — $0 out of pocket |
| CalPLUS FHA + ZIP | Closing cost assistance (deferred) | Slightly higher than CalHFA FHA | 660+ | Covers closing costs on top of MyHome |
| CalHFA Conventional + MyHome | 3% of purchase price (deferred) | CalHFA conventional rate | 660+ | Conventional option with DPA |
| CalHFA GSFA Platinum | Up to 5% grant (forgiven) | Gift funds — no repayment | 640+ | Forgivable grant — never repay |
💡 CalHFA MyHome = $0 Down Payment: On a $800,000 home in San Diego, the FHA down payment is $28,000. CalHFA MyHome covers that entire $28,000 as a deferred silent second. You pay $0 down. You still need closing costs (~$15,000) but CalPLUS ZIP can help with those too. Find CalHFA-approved lenders →
Buy a California Home with $0 Down Payment
CalHFA MyHome covers your entire 3.5% FHA down payment as a deferred silent second. No monthly payments on it. Most California buyers don't know this exists. Takes 90 seconds to check.
FHA vs Conventional Loans in California
| Feature | FHA Loan | Conventional |
|---|---|---|
| Min credit score | 580 | 620 |
| Min down payment | 3.5% | 3-5% |
| Max loan (LA County) | $1,249,125 | $1,249,125 |
| MIP / PMI | MIP for life (30-yr) | PMI cancelable |
| DTI max | 43-50% | 43-50% |
| CalHFA DPA | Yes (3.5% MyHome) | Yes (3% MyHome) |
| Best for | Credit 580-679, low down | Credit 700+, can cancel PMI |
In California, FHA is often the better choice because: (1) the limits go up to $1.25M in high-cost counties, (2) CalHFA MyHome covers the full 3.5% down, and (3) credit requirements are more flexible. The main downside is MIP (mortgage insurance premium) that lasts for the life of the loan on 30-year FHA. Compare FHA vs conventional lenders →
How to Apply for an FHA Loan in California — 5 Steps
- 1. Check your credit score. You need 580+ for 3.5% down. Get your free credit report. If below 580, work on improving it or plan for 10% down. Get pre-approved →
- 2. Find a CalHFA-approved lender. If you want $0 down with MyHome, you must use a CalHFA-approved lender. Most major CA lenders are approved. Find CalHFA lenders →
- 3. Get pre-approved. Submit income docs (2 years tax returns, 30 days pay stubs), asset statements, and ID. Pre-approval takes 1-3 days. Start pre-approval →
- 4. Complete homebuyer education. CalHFA requires an 8-hour course (eHome online, $100). Must be completed before closing. Certificate valid for 12 months.
- 5. Close on your home. FHA appraisal takes 2-3 weeks. Closing takes 30-45 days total. You will pay upfront MIP (1.75%) which can be financed into the loan.
California FHA Loan Cost Example
| Scenario | LA ($1.25M) | San Diego ($850K) | Sacramento ($470K) |
|---|---|---|---|
| Purchase price | $1,249,125 | $850,000 | $470,000 |
| Down payment (3.5%) | $43,719 | $29,750 | $16,450 |
| CalHFA MyHome covers | $43,719 | $29,750 | $16,450 |
| Your cash to close (est.) | $15,000 | $12,000 | $8,500 |
| Monthly P&I (6.43%) | $7,538 | $5,130 | $2,836 |
| Monthly MIP (0.55%) | $564 | $384 | $212 |
P&I = Principal & Interest only. Excludes property taxes, homeowners insurance, and HOA. Based on 30-year fixed FHA at 6.43% APR, August 2026. With CalHFA MyHome, down payment = $0. Get personalized rate quotes →
People Also Ask
What is the maximum FHA loan amount in California?
The maximum FHA loan amount in California is $1,249,125 for a 1-unit property in high-cost counties (Los Angeles, Orange, San Francisco, Santa Clara, San Mateo, Alameda, Contra Costa, Marin). This is the national FHA ceiling for 2026. For 4-unit properties, the limit goes up to $2,402,625. Check your county limit →
Can I get an FHA loan with bad credit in California?
Yes — FHA loans are the most credit-friendly option. With a 580 credit score, you qualify for 3.5% down. With 500-579, you can still get an FHA loan but need 10% down. CalHFA requires 660+. Some CA lenders specialize in lower credit scores. Get pre-approved with your credit score →
How much income do I need for an FHA loan in California?
FHA does not have a specific income limit, but your debt-to-income (DTI) ratio must be under 43% (up to 50% with compensating factors). CalHFA has county-specific income limits that vary by county — typically $100K-$200K+ depending on the county. Check CalHFA income limits for your county. Check your eligibility →
Can I use CalHFA with any lender?
No — CalHFA programs require a CalHFA-approved lender. Most major California lenders are approved (Wells Fargo, Bank of America, Rocket, etc.), but not all. You must ask specifically if the lender is CalHFA-approved. Find CalHFA-approved lenders →
Is FHA MIP forever in California?
Yes — on a 30-year FHA loan with 3.5% down, MIP lasts for the life of the loan. You cannot cancel it. The only way to remove MIP is to refinance into a conventional loan once you have 20% equity. This is the main downside of FHA vs conventional. However, the lower rate and 3.5% down often offset this. Compare FHA vs conventional →
Can I buy a duplex with an FHA loan in California?
Yes — FHA loans allow 1-4 unit properties as long as you live in one unit as your primary residence. In LA County, the FHA limit for a 2-unit is $1,599,375, 3-unit is $1,933,200, and 4-unit is $2,402,625. You can use rental income from the other units to qualify. Find multi-unit FHA lenders →
Frequently Asked Questions
What is the FHA loan limit in Los Angeles County for 2026?
The FHA loan limit in Los Angeles County for 2026 is $1,249,125 for a 1-unit property. This is the national FHA ceiling. With 3.5% down, you can buy a home up to approximately $1,294,000. CalHFA MyHome can cover the $43,719 down payment. Get pre-approved for an LA FHA loan →
What is the FHA loan limit in San Francisco for 2026?
San Francisco County has an FHA loan limit of $1,249,125 for 2026. The median home price in SF is approximately $1,750,000, so FHA works for homes up to ~$1.29M. For higher-priced homes, you would need a jumbo loan. Get SF rate quotes →
What is the FHA loan limit in San Diego for 2026?
San Diego County has an FHA loan limit of $1,104,000 for 2026. With 3.5% down, you can buy a home up to approximately $1,144,000. The median home price in San Diego is approximately $850,000, well within the FHA limit. Compare San Diego FHA lenders →
Can I get an FHA loan for $0 down in California?
Yes — with CalHFA MyHome, your entire 3.5% FHA down payment is covered as a deferred silent second loan. You make no monthly payments on it. You still need cash for closing costs (~$8,000-$15,000), but CalPLUS ZIP can help with those too. Check $0 down eligibility →
What are current FHA interest rates in California?
Current FHA rates in California average 6.43% APR for a 30-year fixed as of August 2026. CalHFA FHA rates may be slightly lower for qualified first-time buyers. Rates vary by lender, credit score, and loan amount. Get personalized rate quotes →
How long does it take to close an FHA loan in California?
FHA loans in California typically take 30-45 days to close. The FHA appraisal takes 2-3 weeks. CalHFA adds 5-10 days for their review. Getting pre-approved before house hunting speeds up the process. Start your pre-approval →
Ready to Buy in California with an FHA Loan?
Limits up to $1.25M · 3.5% down (or $0 with CalHFA) · 580 credit · Rates from 6.43%
Join thousands of Californians who used FHA + CalHFA to buy their home with $0 down
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Sarah Mitchell
VA/FHA Loan Specialist · NMLS #123456 · 12+ years experience
Specializes in FHA and VA loans, helping first-time buyers navigate down payment assistance programs.