§ 51522 Dream For All Definitions

• •This law is about a special program called 'California Dream for All' to help people buy their first home.
• •A 'shared appreciation loan' is a type of loan where you pay back what you borrowed plus a share of how much your home's value went up when you sell or refinance it.
• •The loan is like a second mortgage, but you don’t have to pay it back right away—only when you sell or refinance your home.
• •This program is for first-time homebuyers, meaning people who haven’t owned a home before or in a long time.

Imagine you buy your first house for $300,000, and you get a $60,000 shared appreciation loan from this program to help pay for it.

Years later, you sell the house for $400,000. The home’s value went up by $100,000. You’ll have to pay back the $60,000 loan plus a share of that $100,000 increase, depending on the program’s rules. This helps you buy the house now, but you share some of the profit when you sell.