Housing Market in San Diego

Buying a home in San Diego isn’t easy. With median home prices approaching $885,000, many local families and first-time buyers feel priced out. According to recent reports, a buyer would need to earn over $240,000 annually to comfortably afford the median-priced home using traditional mortgage standards. But with the right mortgage programs and guidance, owning a home in San Diego is still within reach.

Lending Bee offers personalized solutions and access to a wide range of mortgage assistance programs. These options reduce down payments, cover closing costs, and provide low-interest loans—making homeownership possible even in one of California’s most expensive housing markets.

San Diego Housing Commission (SDHC) Programs

The San Diego Housing Commission offers two key assistance programs based on household income. Lending Bee works directly with homebuyers to navigate these programs and apply with participating lenders.

SDHC Program for Low-Income Households

If your income is below 80% of the Area Median Income (AMI), you may qualify for significant down payment help. The SDHC offers a deferred-payment loan of up to 19% of the home’s purchase price. In addition, you may receive a closing cost assistance grant of up to $10,000.

This program uses a second-trust-deed loan at just 3% interest. You won’t have to make payments for 30 years, unless you sell the home, refinance, or move out. For buyers struggling to save for a traditional down payment, this structure removes one of the biggest barriers to homeownership.

SDHC Program for Moderate-Income Households

If your income falls between 80% and 150% of AMI, you can still qualify for valuable assistance. The SDHC offers a $40,000 deferred-payment loan and a $10,000 grant toward closing costs.

This program uses a 4% simple interest rate, and no payments are due during the first five years. The grant is fully forgiven after three years if the home remains your primary residence. Lending Bee helps buyers determine if their household qualifies and prepares all necessary documentation to apply.

County of San Diego DCCA / CalHome Program

For those purchasing homes in unincorporated San Diego or partner cities such as Poway, Encinitas, and Solana Beach, the County of San Diego offers the DCCA / CalHome Program. This initiative offers both down payment and closing cost assistance with flexible terms.

Eligible buyers can receive up to 17% of the home’s purchase price for the down payment, plus up to 4% (capped at $10,000) for closing costs. The loan is deferred, meaning no payments are required until you sell, refinance, or move out of the home.

Lending Bee helps clients determine eligibility and whether this program can be used in combination with other resources for maximum savings.

H.O.P.E. Grant for San Diego Teachers

San Diego recently introduced the H.O.P.E. grant program specifically for educators. Funded through a public-private partnership with Lennar Homes and administered by the Urban League of San Diego County, this grant provides over $40,000 in assistance to qualifying teachers.

This initiative focuses on homes in District 5 neighborhoods like Scripps Ranch and Rancho Bernardo. Funds are distributed on a first-come, first-served basis. Applications opened March 1, and demand is high.

Lending Bee works closely with local educators to secure funding and ensure that all qualifications are met before applying.

State-Level Mortgage Programs

California offers statewide mortgage assistance through the California Housing Finance Agency (CalHFA). Lending Bee is experienced in helping clients use these programs in conjunction with city and county options.

CalHFA MyHome Assistance Program

The CalHFA MyHome program provides down payment and closing cost assistance of up to 3.5% of the purchase price. This loan is deferred and can be used alongside CalHFA’s first mortgage programs.

Because these funds are often combined with local grants or tax credits, Lending Bee ensures buyers use the full stack of available support to reduce out-of-pocket costs.

Mortgage Credit Certificate (MCC)

The MCC is a federal tax credit that helps first-time buyers save money every year. It allows you to claim up to 20% of your mortgage interest as a federal tax credit, directly reducing your tax liability. That savings can make a big difference in your monthly budget.

In San Diego, the MCC is still available to eligible buyers, and Lending Bee helps clients apply during the loan approval process.

Federal Loan Programs That Offer Flexibility

In addition to local and state assistance, Lending Bee offers access to flexible federal loan programs that support affordable homeownership in San Diego.

FHA Loans

FHA loans are insured by the Federal Housing Administration and offer easier credit qualifications. These loans require a down payment as low as 3.5% and allow up to 6% of the home’s price to go toward closing costs.

Lending Bee helps clients determine whether an FHA loan is the best fit, especially when used alongside local down payment assistance programs.

VA Loans

For veterans, active-duty service members, and eligible surviving spouses, VA loans provide 100% financing with no private mortgage insurance (PMI). This is one of the most affordable loan options available, and Lending Bee is proud to support military families throughout San Diego.

USDA Loans

In select rural parts of San Diego County, USDA loans offer zero-down financing. These loans also feature competitive rates and reduced mortgage insurance. Lending Bee helps clients confirm property eligibility and guides them through the USDA loan application process.

Good Neighbor Next Door Program

Offered by the U.S. Department of Housing and Urban Development (HUD), this program gives a 50% discount on homes to teachers, law enforcement officers, firefighters, and EMTs who commit to living in the property for at least three years. Lending Bee helps clients navigate this program’s requirements and find qualifying properties.

Lending Bee Provides a Clear Path to Homeownership

Buying a home in San Diego requires more than a pre-approval letter. It demands expert guidance, smart use of available programs, and a personalized strategy. Lending Bee offers all of that—and more.

We assess your financial profile to find the best combination of assistance programs. We ensure paperwork is submitted correctly and on time. Our team connects you with mortgage lenders who participate in city, county, and state programs. Most importantly, we make the process easier, faster, and more affordable.

We’ve helped hundreds of clients across San Diego County become homeowners, even when they thought it wasn’t possible. Whether you’re a first-time buyer, a teacher, or a veteran, Lending Bee finds the smartest solution for your needs.

Making San Diego Affordable—One Family at a Time

Affordable homeownership is more than a dream—it’s a plan. Lending Bee helps you unlock mortgage programs that reduce upfront costs, lower your interest rate, and stretch your budget further.

By combining assistance from local, state, and federal sources, we make it possible to own a home in neighborhoods across San Diego, from Chula Vista to Escondido, Oceanside to La Mesa.

Let Lending Bee guide your journey. With the right mortgage strategy and expert support, San Diego homeownership is within reach.